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Modernising Prison Service pay systems Richard Earl 4 th December 2007. Background. Equate development in mid to late 1990s and Phase 1 implementation in 2000 Unimplemented Equate the basis of litigation supported by PCS Phase 2 abandoned in 2002
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Modernising Prison Service pay systemsRichard Earl4th December 2007
Background • Equate development in mid to late 1990s and Phase 1 implementation in 2000 • Unimplemented Equate the basis of litigation supported by PCS • Phase 2 abandoned in 2002 • HMPS Management Board approved the development of a new JES in 2005
Equal Pay • Benchmark evaluations conducted using Equate were used as the basis for equal pay claims with (mainly) female admin staff comparing themselves with (mainly) male prison officers • Litigation begun in 1999 included ‘rated as equivalent’ and ‘equal value’ claims • Equal value claims subjected to evaluations by an independent expert as well as partisan experts • No consensus reached on the overall outcome of the evaluations
Equal Pay • Bailey v HMPS eventually settled out of tribunal in February 2006 • A new pay scale was applied for (mainly) admin grades from April 2006 costing £8m approx together with lump sums amounting to around £35m • In September 2006, a claim was issued by Laytons solicitors, acting on a conditional fee arrangement, on behalf of 1600 staff • Settlement agreed with Laytons in February 2007, broadly in line with the parameters of Bailey • HMPS now extending the deal to the remaining 3000 staff who have not brought claims but potentially might do so
Further Equal Pay claims and Age Discrimination claims • Equal pay claims based on the length of pay scales supported by Prospect • Age Discrimination claims based on scale length supported by PCS. Eleven test cases received so far. • Equal pay grievances received from a number of psychologists comparing themselves with prison officers
Development of a new JES - Profile • In 2005, HMPS Management Board commissioned a new, universal JES for all grades except NHS and SCS • Detailed work followed settlement of Bailey litigation. Cornwell Management Consultants assisted • Analytical, factor-based scheme developed. Refinements made after around 900 evaluations. • Scheme currently in final consultation with trade unions
Development of new JES - Profile • Advisory Group used throughout to test ideas and thinking • Two independent reviews conducted on the JES itself and its application • Trade unions have adopted different approaches
Issues and challenges in JE development • Equality Review • Relevant factors • Weighting • Use of half-levels • Role profile approach • Equal Pay vulnerability introduced by the JES itself
Moving to a new pay and grading system • Market survey • Contribution Management • Funding constraints • Workforce Modernisation • Red and Green circling • Impact Assessments conducted, including a full Equal Pay Review
Next Steps • Finalise the JES • Paybill modelling to examine the cost of different pay & grading options • Contribution Management proposals • Establishment restructuring • Negotiations with trade unions • Roll out – early implementers?