Pay negotiations for 2009-10: Update

A message from the Director of Human Resources:

The University & Colleges Employers Association (UCEA), representing 153 higher education employers, met last week with Unison, Unite, UCU and other unions representing staff in the higher education sector for the final meeting of the pay negotiations for 2009-10.

The employers built upon earlier constructive proposals on a wide range of issues raised by the five trade unions and put forward their final pay offer of 0.5% for the year 1 August 2009 to 31 July 2010.

The UCEA believes this final offer, improving on the 0.4% offer made on 19 May 2009, is considered, realistic and responsible under the current circumstances, and set against stringent limits of affordability in the sector as well as the context of the pay increases received last year.

Current financial pressures faced by the sector include the cost of the present three-year pay deal which has provided increases of a minimum of 15.9% and increases in the employers’ pension contributions (for example, a 2% increase in costs from October 2009 for those employers in the USS scheme).

With RPI running at minus 1.6%, and expected by the Treasury to fall further, the UCEA believes this offer clearly maintains the value of the recent substantial increases in pay.

In addition employers have also offered to work with the trade unions on a range of issues through joint working groups. These will cover joint work to:

  • Take forward a range of equalities issues
  • Further evaluate pay modernisation through implementation of the Framework Agreement
  • Improve the collection of sector pay data
  • Increase understanding in relation to HE funding and sustainability issues affecting financial decision-making

The revised 0.5% pay offer for 2009-10 is in addition to the incremental payments equal to 3% that approximately two-thirds of higher education staff will receive.

The increased offer was made following an extensive consultation exercise with the higher education institutions, all of which are operating in an increasingly difficult economic environment.

Trade unions are now being asked to reflect on the offer and proposals and consult with their members.

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