Employment Relations in tough times – key issues and RCN responses

1. Employment Relations in tough times – key issues and RCN responses Josie Irwin Head of Employment Relations Joint Representatives Conference 17th & 18th June 2011

2. Outline • External environmental factors • The key challenges in respect of pay, pensions, working lives and workplace • Responses national, regional and local levels • The reality of being a rep • The role of the NHS Pay Review Body – how important is it? • How far can we hold the line? Tactics and the long grass • A strategy for the future – organising and preparing

3. External Environment • Continuing economic uncertainty, low growth, high inflation • Public sector pay freeze • A feeding frenzy against the public sector from ‘red top’ media • Impact of financial constraint on the NHS • England - cost improvements 4% year on year • Scotland - NHS Boards need to make 3.7% savings • Wales 10.7% cut by 2011-13 • NI - real terms 2.2% cut by 2014/15 • NHS reforms • ‘Pay decisions should be led by healthcare employers not imposed by government’ • Foundation Trust ‘freedoms’ • Private providers may not provide AfC • Devolved administrations • Industrial action

4. Employer responses • ‘Continuing the pay bill will bust the system’ • ‘A deal on no increments would have been a big help’

5. Challenges: Agenda for Change • Building perception that AfC is inflexible • Employers’ reaction to the rejection of proposal to freeze increments and PR around the royal wedding • Increasing local pressure on AfC • Pressure on NHS Employers to ‘deliver’ • Authority of the NHS Staff Council • Staff side capacity • Staff side relationships – particularly in newly merged Trusts • Communication flows

6. Attacks on terms and conditions Plymouth Hospitals Sheffield Children Royal Cornwall Leeds Partnership Poole Royal Surrey Royal Orthopaedic Hospital Kettering General Burton Hospitals Sherwood Forest East Lancashire Christie (Manchester) Birmingham Women’s Salford Morecambe Bay University Hospital Central Manchester University and others …..?

7. Pensions • Recommendations from Hutton • CARE • Increase contributions • Protect lower paid • Retirement age to increase in line with state retirement age, 65 for M & F 2018 • 3% increase in contributions • RPI to CPI • Fair Deal • Total Reward • Nothing has been decide yet • Accrued rights will be protected

8. Working lives 2009 Employment Survey • 61% said workload was too heavy • 54% too busy to give the care they’d like to (45% not enough time to do their job, 53% unpaid o/t 2011) • 55% under too much pressure • 55% said staffing inadequate • 42% said short staffing compromises patient care once or twice per week (64% happy with care 2011) • Increase in job moves due to stress 31% (23% 07) • CPD 6.1 days • 61% had a PDR (77% 2011) • 8% had experienced violence (15% MHTs)

9. TU concerns and questions to employers • What are the flexibilities required by employers? • If we agree ‘flexibilities’, the employers will just come back for more • What is the bargain, what’s in it for staff? • The need to make savings means continued pressure on AfC • How far can we hold the line?

10. The reality of being a rep • Facilities being challenged • Partnership under strain • More demands, more complexity, less time, more stress • But massive scope to make a difference • Exciting and interesting times ……………… • Energy in collective action

12. Has the NHS Pay Review Body got a future? • Consensus that a national framework is desirable • A valuable role in reviewing good practice • A powerful independent voice • Benchmarking recruitment, retention, morale and motivation • An opportunity to provide evidence of the impact of policy across UK

13. How far can we hold the line? • Communication • Co-ordination • Challenge • Organise • Resist • Support – joint workshops and roadshows • Prepare for the long haul • Ensure data on MyRCN is up to date!