Pay freeze!

Issues related to pay, contracts, Agenda for Change, the NHS, the BPS, unions, etc.
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Post by kooky »

Hannah_c - yep you heard right about workers earning under 21k

New dimension - pay freeze probably means that there will be no uplift in the annual cost of living rise. This is obviously going to affect spine points in the sense that they will stay the same without the cost of living increase each year. Going up the spine points has nothing to do with cost of living, more a mini promotion based on KSF/PDR so is unlikely to be affected. Could you imagine if they stopped people going up spine points?!

In real terms it is a pay cut as VAT has risen to 20% from 17.5% although the companies pay this they always pass on the cost to the consumer. Goods will inevitably become more expensive and inflation will go up reducing spending power, therefore pay cut.
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Post by baa »

They're also cutting the overall level of funding (I typed dunging :lol: ) for the NHS, although it won't go below something - inflation? we won't get as much each year as we have been getting previously. I am so bad at economics :shock:

IAPT funding has been confirmed for one more year ... /DH_116919 so the rollout will continue as planned.
At least I'm not as mad as that one!
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Post by Bella »

I spoke to our HR department and they had no clue - they were waiting on information from the trust, I hope it wont vary across trusts (depending on their budgets). It needs to be standardised to be fair for all.

I would think that we would still get increments, but they would be frozen (they go up a little each year) and the cost of living will also be frozen. However, that doesn't seem like much of a freeze as increments are around 1k, plus with the incomes tax limit being raised?
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Post by BenJMan »

I'd had the answer from a number of sources but got an official communication this morning which confirmed spine point progression is not affected, only the cost of living changes.

It also confirmed that the 'chancellor' (I use the term loosely these days) made a mistake when announcing details of the £250 rise for those earning under £21,000. Apparently it is 'at least' £250, not a flat rate of £250.
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Post by Bella »

Lol Gideon. So that's even better for the low earners then, that's good news.

And we get spine points, that with the increase in tax allowance means we wont be to bad then.
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Post by tyro »

My concern is that there is still going to be a review into public sector pensions, which may result in the decision that public sector workers have to pay a higher proportion of their earnings as pension contributions.

If this happens, it would result in an actually decrease in the money we take home at the end of the month, combined with higher VAT means it could feel very prickly!
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Post by Bella »

You could always opt for a different pension scheme?
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