30 November 2008
Branch thanks members as council set
to pay out back money before Christmas
The City of Edinburgh Council has announced
that it will pay the 3% pay rise for this
year before Christmas (including back money).
Despite the fact that there is, as yet, no
national agreement with the unions, it appears
CoSLA is supporting the payments.
The Unite and GMB unions rejected the offer
earlier this month while UNISON members voted
narrowly to accept. Even though UNISON represents
most members across Scotland, we cannot 'outvote'
the other two unions because of the constitution
of the national negotiating body. So the dispute
remains technically unresolved.
"Our understanding is that Unite and
GMB have still to make their position clear
but, in the absence of any clear strategy
as to what action they have in mind, it would
be wrong to delay our members getting their
money before Christmas - especially in the
current financial situation", said John
Stevenson, Branch President.
"UNISON was always clear that substantial
additional action would be needed to get any
more out of the councils. It was our view
that rejecting with no plan to escalate was
a non-starter. We were honest with members
about that and they made their views known
in the ballot", he added.
"Of course we have concerns that the
bargaining machinery is being side-stepped
by some councils in paying up now. That is
something the unions and the employers are
now going to have to take a hard look at.
UNISON will start the process of reviewing
the campaign later this week."
Thanks
John added, "Members showed great resolve
in the two days of strike action. We know
the ballot presented a difficult decision
for people but be in no doubt that this pay
rise would not have been won without your
action.
"We must remember that, without the
action, we would have been tied to a three-year
deal of only 2.5% a year - or latterly to
2.5% this year instead of the 3% that has
been won.
"UNISON members in Edinburgh were magnificent
during the action - especially through the
torrential rain on the first strike day. They
can be proud of what they achieved."
Recruit new members
"The only bit that always makes you
angry is that they won the pay rise for themselves
and also for the minority who are not in the
union or who didn't take the action. Our members
have the moral high ground and this must be
built on as we move into the final stages
of Single Status.
"The best way to do that is to get the
non-members in your area to join the union.
Remind them that only union members get to
vote!", added John
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12
Nov: Scottish local government members accept
a two year pay deal UNISON
is a democratic organisation; we have consulted
all our members and respect their decision.
The closeness of the result is a clear message
to local authorities that staff are unhappy
with the present pay offer
10 Oct: UNISON
to recommend rejection of new pay offer
"a 3% increase does not
deliver the kind of help they need. Bankers
and fat cats in the city get help - it is
time for hard-pressed public service workers
to get that help" Dougie
Black
"members will need to be
prepared to increase the level of their activity.
There is no point simply voting to reject
the offer - we have to intensify our industrial
and political campaigning", Stephanie
Herd
 "City
of Edinburgh Branch supported the ballot and
the recommendation to reject but warned that
only increased campaigning and industrial
action will bring any improved offer",
Agnes Pekevicius, Branch
Secretary
An immediate statement from UNISON on
the local government pay dispute and suspension
of next week's strike.
2 Oct 2008: UNISON, Scotland's
largest local government union, said that an
improved pay offer from Scottish local government
employers meant that the union would suspend
next week's selective strike action, so that
members could be consulted.
Dougie Black, UNISON regional
officer, and leader of the negotiators said
"After two strikes and previous fruitless negotiations,
I'm pleased that we now have a new offer. It
is at a level - 3% this year and 2.5% for next
year - that needs to go back to members to get
their view. In the meantime we have agreed to
suspend the selective action to allow this to
happen."
In Edinburgh, this will mean that
the strike of Contact Centre members for 6 October
is now suspended.
UNISON
calls on Council Leaders to resolve pay dispute
Services grind to a halt as members
respond magnificently to the call to action
A further day of action took place
on 24th Sept, to take forward our campaign for
a decent pay rise and a decent wage for all
our members. Last month's council service disruption
was repeated on Wednesday 24th Sept 2008 after
employers failed to improve the pay offer.
The branch would like to thank
all our members who took a further day of strike
action in support of a decent pay offer, especially
for our low paid members.
Cold, wet, very very wet. But
at 7.15 this morning UNISON pickets turned out
in force at Waverley Court to be joined by UNISON
General Secretary Dave Prentis, Scottish Secretary
Matt Smith and lead negotiator Dougie Black.
Balloons, a battle bus and a huge
ad trailer made it a carnival atmosphere. Oh,
but it was wet!
Dave went on to visit pickets at the city chambers
and made an attempt to hand out leaflets which
pretty soon became pulp as the rain bucketted
down.
The Branch thanks all pickets for putting up
with the weather. From the response they got
it was clear the public are on our side. And
a big thanks to all the members who came out
in one of the most solid strikes in years. Together
we will win a fair deal.
10 Reasons why you need to strike
on 20 August
 UNISON's
local government members have voted 70% in favour
of a 'Yes' vote for a programme of strike action
over this year's pay offer. The first 24hour
walkout will go ahead on 20 August. Make sure
you're there. By supporting the strike, you
can send a clear message to the employers that
pay is an issue that will not go away.
Why should I strike?
Inflation is still rising and is set to continue.
The 2.5% pay offer is already a pay cut. Food
is up 6%, transport 7%, mortgages 8%, electricity
and only recently gas up by an additional 35%.
Pay in the private sector is rising by 4%.
I don't agree with the pay offer -but why
strike action?
You are doing more for less. Pay rises have
been below inflation for five years. It's time
to take a stand against low pay.
Is my pay really that bad?
Local government workers are amongst the lowest
paid in the public sector. Three-quarters of
the workforce are women, but there's a 40% gap
between part-time women's and full-time men's
hourly pay. A 2.5% pay rise will have a damaging
effect on women's pay and would widen the gap
between local government pay and rest of economy
too.
Shouldn't I be more worried about losing my
job through 'efficiencies'?
The union are fighting to protect them. But
we need to make a stand on pay now to protect
your standard of living and show that we value
what we do for local communities - even if the
employers don't.
Can local government employers afford to pay
more?
This year councils agreed that they did not
need to increase council tax - some even cut
it! We also know that many/some councils have
already budgeted for larger pay rises than that
on offer. We don't want big increases in council
tax, but our members are the local services.
We know that local councils have saved at least
£200million in efficiency savings over
the last two years - achieved by our members
Management often talk of "affordability",
but it is a question of whether they can afford
NOT to give their employees a decent wage. If
they are to recruit and retain staff in vital
jobs, they will have to pay them a living wage
- otherwise people will vote with their feet.
You can't keep cutting budgets and expect the
lowest paid to fill the gap. As at 1 April,
2007 unallocated reserves in Scottish councils
were at least £100 million.
But the government won't change its pay policy
- will it?
Pressure made the government find £2.7billion
to rescue people hit by scrapping the 10p tax
band. It can change its mind again, and we've
already told the employers that it's 'no deal'.
Will l lose pay when I'm on strike?
Your employer won't pay you and there won't
be strike pay, but branches do have discretion
to help members with hardship payments for those
who need it most.
Can I really afford to strike? Money is so
tight at the moment.
We know it's a tough decision but doing nothing
now will mean even more hardship next year.
Your pay is not keeping up with price rises.
Will my employer pick on me?
You aren't alone. UNISON has over 100,000 members
in local government and other employers delivering
services for councils. If we stand together,
they can't pick us off and they'll know we mean
business.
I'm not a member but I want to strike.
Non-members can join the union at any time,
and can still take part in the action.
top
YES BALLOT VOTE
Pay Update July 2008
UNISON calls for a YES vote in the ballot
Ballot papers started to go out on 1st July
asking over 100,000 UNISON members working for
Scotland's local councils if they are willing
to strike in rejection of a 2.5% per year pay
offer. The Ballot will close on the 31 July.
Details of the strike action will then be decided.
If you don't receive a ballot, or want to
join UNISON phone the UNISON Direct Helpline
0845 355 0845. This line is open until 28 July,
Mon-Fri 6am till Midnight and 9am till 4pm on
Saturday and Sunday.
Campaign under way for YES vote in Pay ballot
The local government trade unions submitted
a claim for 5% or £1,000 a year (whichever
was the greater) plus increased annual leave.
The employers responded with an offer of 2.5%
a year for the next three years - with no re-opener
clause.
Stephanie Herd, Chair of UNISON's Scottish
Local Government Group said "For our low-paid
members, this offer represents an increase of
46p an hour after three years. It is time that
CoSLA realised that members are serious about
the unacceptable nature of this offer. We will
be balloting our members over July, urging them
to Vote, and to Vote YES. UNISON along with
GMB and UNITE (T&G) have also agreed to establish
a joint group to co-ordinate the trade unions'
programme of action."
This is the first time in many years that the
three main trade unions are united in rejecting
the employers offer on pay - giving us the opportunity
to campaign jointly wherever possible.
The timetable so far is....
- w/c 9 June - members bulletin highlighting
the increased cost of living
- w/c 16 June - local press releases for use
by branches
- w/c 23 June - members bulletin highlighting
low pay. A further members bulletin urging
members to vote 'YES'. Posters urging members
to vote 'YES' to strike action will also be
available to branches, and further branch/stewards
briefings will ensure you are kept up to date
with any developments.
The ballot period will take place in July
and the type of action that is being proposed
is;
- a one day all out strike across all of Scotland
- a national rolling programme of selective
action
- further days of action if required
Edinburgh consultation rejects pay offer
9 May 2008: Members responding to the Branch's
pay consultation have voted to reject the offer
and are prepared to take industrial action in
pursuit of a better offer.
However, Branch Officers are concerned at the
number of members responding. The Branch Office
received reports from 10 meetings of members
across the Council and 84 individual members
used the online 'Have Your Say on Pay' form.
The vote was almost 4-1 to reject the offer
but only about 1.5-1 when it came to specifically
saying they would take strike action. Disappointingly
only 5% of the elegible branch members responded.
"UNISON, along with the GMB & UNITE (T&G) had
recommended rejection of this offer, but warned
that to achieve an improved offer would require
sustained and significant industrial action
on the part of members," said John Stevenson,
Branch President.
"We will now have to wait for the results
across Scotland before the Scottish UNISON leadership
takes a view on the way forward", he added.
Previous news....
Scotland's local government unions reject
three-year pay offer
You can have your say on the pay offer
- set up and attend workplace or area meetings
- use the online consultation by clicking
here (now closed)
9 April 2008: Three unions representing
Scotland's Local Government workers (UNISON,
GMB and Unite (T&G)) have rejected a three-year
pay offer from CoSLA, the Local Government employers,
it was announced today.
The CoSLA offer given in early March, spanned
three years, proposing rises of 2.5% in 2008,
2.5% in 2009 and a further 2.5% in 2010. The
trade unions have been taking soundings from
their members on this offer. The unions submitted
a pay claim looking for a rise of £1,000
or 5% in 2008, last November.
"Negotiators have managed improve
the original offer from 2.2%, then to 2.3% and
recently to 2.5%. But 2.5% in each of the next
three years is still not good enough. We will
have to decide together whether industrial action
is an option for trying to get a better deal",
said Irene Stout, Branch Equalities
Officer and Local Governmentt Committee rep.
Trade union side secretary Dougie Black of
UNISON Scotland said: "All three trade unions
have rejected the employers offer. There is
a great deal of anger at the employers insistence
on a 3 year deal and their continuing refusal
to agree a reopener clause linked to inflation.
The offer is already less than inflation, and
without a re-opener clause our members are being
asked to buy a pig in a poke."
Alec McLuckie, Senior Organiser of GMB Scotland
said: "Clearly rejection of this offer places
us on a course for industrial action, and all
three trade unions recognise the need to coordinate
a joint campaign supported by campaigning materials
and briefings outlining our concerns with the
offer."
Jimmy Farrelly, Senior Organiser of Unite (T&G
Scottish section) said: "The offer doesn't approach
the current rate of inflation, let alone begin
to catch up the loss staff have suffered over
recent years and it skews the pay scales, increasing
the gap between higher and lower paid - for
our lowest paid workers the increase after 3
years is around 50p! This is effectively a pay
cut."
The unions will now call on their members in
Local Government to reject the employers offer
in a full consultation.
Dougie Black said: "Councillors should be aware
that our members are serious about this offer
being unacceptable. CoSLA have said they want
to make 'efficiency savings so they can reinvest
in services. One of those investments should
be in the workforce that delivers these services.
If you want first class public services, if
you want the sick and elderly cared for, your
children well-educated and protected and your
streets clean and safe, cutting the pay of public
sector workers is the wrong way to go about
it."
top
Branch and Scotland reject pay
offer
18 Feb 08: UNISON has rejected
a three-year pay offer from CoSLA, the Local
Government employers, it was announced today.
The claim has also been rejected by the other
two local government trade unions.
The unions had submitted a pay
claim looking for a rise of £1,000 or
5% in 2008 last November. CoSLA responded last
week with an offer spanning three years, proposing
rises of 2.2% in 2008, 2.3% in 2009 and a further
2.2% in 2010. The meeting didn't agree any improvements
to the offer, despite its rejection by the unions.
Irene Stout, Branch Equalities
Officer and a member of UNISON Scotland Local
Government Committee, said: "We now need to
bring home to councillors that our members are
serious about this offer being unacceptable.
CoSLA have said they want to make 'efficiency
savings so they can reinvest these in services.
One of those investments should be in the workforce
that delivers these services. If you want first
class public services, if you want the sick
and elderly cared for, your children well-educated
and protected and your streets clean and safe,
cutting the pay of public sector workers is
the wrong way to go about it." "
Recent deals
CoSLA have reached with Scotland's
teachers gave higher pay rises (2.25%, 2.5%
and 2.4% over three years), and many councils
have already budgeted for higher pay settlements
in 2008. UNISON is now calling on its members
in Local Government to put pressure on their
employers to increase the offer at the next
negotiating meeting on 3 March.
Motion Proposed by John
Ross (Services for Communities) and Irene Stout
(Services for Communities) and passed at the
Branch AGM on 18 February 2008
"This meeting supports the
decision of the Scottish Local Government Committee
to reject the derisory three year pay offer
as tabled by the Employers at the Scottish Joint
Council and note UNISON's rejection has been
supported by all unions party to the claim.
The pay offer was framed round
increases of 2.2% (2008/09), 2.3% (2009/2010)
and 2.2% (2010/2011). We note this issue is
on the agenda for the next meeting of the Scottish
Joint Council.
If there is no movement in the
offer at that time we call upon our negotiators
to withdraw from further discussions and to
immediately put in place the required processes
for an Industrial Action ballot."
top
SCOTTISH LOCAL GOVERNMENT PAY
CLAIM 2008
Submitted by the
TRADE UNION SIDE OF THE SCOTTISH JOINT COUNCIL
FOR LOCAL GOVERNMENT IN SCOTLAND.
To the
EMPLOYERS' SIDE OF THE SCOTTISH JOINT COUNCIL
FOR LOCAL GOVERNMENT IN SCOTLAND.
THE CLAIM
INTRODUCTION TO TRADE UNION
CLAIM
The second and final stage of
the current pay settlement expires on 31st March
2008. This is the fifth pay claim and set of
negotiations under the separate Scottish bargaining
machinery of the Scottish Joint Council for
local government employees and the Scottish
Executive's financial arrangements.
This year's claim is lodged against
the background of:
-
the major contribution made
by employees in the service delivery challenges
arising from Shared Services, Efficiency
Savings, Best Value Regime with the demand
for continuous improvement and greater flexibility.
The trade unions re-affirm their
commitment to service delivery of the highest
standard based on shared principles of: democracy,
fairness excellency, partnership and long term
investment. In order to achieve the aim of high
quality services the workforce must be well
rewarded, trained, motivated with security of
employment.
Local government in Scotland continues
to face recruitment and retention problems as
reported in IDS reports. This year's claim seeks
to take some measures to rectify these difficulties.
The trade union's claim seeks
to maintain the living standards of members
and is weighted in favour of lower part of the
pay spine; these elements should be reflected
in the settlement.
TRADE UNION CLAIM
The Trade Union Side of the Scottish
Joint Council submit to the Employers' Side
a claim seeking a revision of the spinal column
of hourly rates and the spinal column of annual
and hourly rates for former APT & C Staff
and Manual Employees, last revised by circulars
(SJC/26 & SJC/27).
The trade union's claim seeks:
-
That the settlement should
run for a period of one (1) year with effect
from 1st April 2008 to 31st March
2009.
-
An increase on all Spinal
Column Points of £0.51835 per hour
(The equivalent of £1,000 per annum)
or 5% whichever is the greater.
-
An increase in annual leave
entitlement by three days resulting in amending
the first sentence in paragraph 7.3 of Part
2 to read: "The minimum paid full
annual leave entitlement is twenty three
days." (Excluding all Public Holidays)
-
An additional one day's
public holiday.
The Trade Union Side considers
that the claim is realistic, modest and fair.
The following pages expand on the main points
and give justification for them. It is hoped
that the Employers' Side will give our claim
full consideration and respond favourably within
the agreed timetable.
PREVIOUS TRADE UNION CLAIMS
Since 1999 and the formation of
the Scottish Joint Council, there has been four
previous claims submitted by the trade union
side:~
1999
The First claim to be submitted
was:~
-
A general increase of £500
or 5% whichever is the greater.
-
Further action to end low
pay.
-
Scottish Joint Council Joint
Working Party on employee friendly and family
friendly flexibility.
The following settlement was reached:
| Date
of salary revision
1 April 1999 |
Circular
No
SJC/6 |
Settlement
3.3% |
2000
The Second claim to be submitted
was:~:
-
A minimum rate of £5.00
per hour; with
-
An increase of 5% on all
pay points; or
-
A flat rate increase of
£500.
The following settlement was reached:
.
| Date
of salary revision
1 April 2000
1 October 2000
1 February 2001
1 March 2002
1 April 2003 |
Circular
No
SJC/9
SJC/9
SJC/9
SJC/9
SJC/9 |
Settlement
2%. This settlement was reached following
industrial action.
1%
3%
£500
4% |
2004
The Third claim to be submitted
was:~:
The following settlement was reached:
| Date
of salary revision
1 April 2004
1 April 2005 |
Circular
No
SJC/18
SJC/18 |
Settlement
2.95%
2.5% |
2006
The fourth claim to be submitted
was:~
-
The settlement should run
for a period of two years with effect from
1 April 2006 to 31 March 2008.
-
An increase that accommodates
either a percentage and/or a fixed sum (for
example £1,000 or 5% whichever is
the greater), or a combination of both,
applicable to all Spinal Column Points.
-
A revision of the bottom
Spinal Column Points.
The following settlement was reached:
| Date
of salary revision
1 April 2006
1 April 2007 |
Circular
No
SJC/26 & 27
SJC/26 & 27 |
Settlement
2.5%
2.5% |
CURRENT GRADES AND STRUCTURE
The Former Manual Workers Grades
w.e.f. 1 April 2007 (Revised SJC/26):-
Grade 1 £215.03
Grade 2 £222.27
Grade 3 £229.86
Grade 4 £237.17
Grade 5 £244.53
Grade 6 £251.90
Grade 7 £260.47
Grade 8 £273.13
and lower foreperson at £283.60
and higher foreperson £295.86
The Spinal Column Points of
Annual Salaries w.e.f. 1 April 2007 (Revised
SJC/26)
General Scale Grades
SCP 3-10 - £11,211 to £14,241
SCP 10-12 - £14,241 to £14,940
SCP 13-15 - £15,201 to £15,828
Administrative, Professional,
Technical & Clerical Grades (APT&C)
SCP 15-18 - £15,828 to £16,932
SCP 19-22 - £17,352 to £18,783
SCP 23-26 - £19,311 to £21,189
SCP 27-30 - £21,861 to £24,201
SCP 31-34 - £24,942 to £27,165
Technical Grades
SCP 13-16 - £15,201 to £16,185
SCP 17-21 - £16,494 to
£18,318
SCP 22-26 - £18,783 to £21,189
SCP 27-30 - £21,861 to £24,201
SCP 31-34 - £24,942 to
£27,165
Principle Officer Grades
determined by each local authority
From SCP 35 - £27,714 to
SCP 73 - £ 68,568
The Spinal Column of Hourly
Rates (Revised SJC/27)
From SCP 1 - £5.81
- To SCP 123 - £35.74
Pay Settlements - General
One-quarter of new deals are at
or above 4.0% for the three months to and including
September 07, which are mainly from the manufacturing
sector (Incomes Data Services, October 07)
-
This period is the quietest
time of year for pay bargaining, particularly
in the private sector. In addition, a number
of higher deals monitored in the chemicals,
pharmaceuticals and oil sectors have fallen
out of this period's analysis.
Pay Settlements - Public Sector
The current NJC agreement expired
on 31st March 2007 for employees
of local authorities in England, Wales and Northern
Ireland.
The Trade Union Side of the National
Joint Council submitted on 14th February
2007 a claim for a one year settlement of 5%
or £1,000 (whichever is the greater) creating
a minimum of £6.30 per hour.
The employers' side of National
Joint Council for Local Government Services
on the 24th August 2007 made a revised
offer of 2.45% on spinal column points 5 to
49 and 3.4% on spinal column point 4 to give
a minimum rate of £6.00 per hour.
The Trade Union Side of the NJC
are seeking to conclude the 2007/2008 pay deal
as soon as possible based on the employer's
offer made on 24 August 2007
Scottish Teachers Settlements
The Scottish Negotiation Committee
for Teachers reached the under noted agreement:~
From 1 April 2007 an increase
on all spinal column points of 2.25%
Police Support Staff in Scotland
The Police Support Staff
Council (Scotland) have agreed a settlement
of an increase 2.45% on all spinal column points
from 1st September 2007
National Health Service in
Scotland
The Scottish Executive decided
not to stage the settlement of 2.5% with effect
from 1 April, 2007 with a supplementary increase
of £400 flat rate for those on points
1 to 7 and an additional £38 for those
on pay points 8 to 18 with effect from 1st
November 2007. The lowest pay point in the NHS
with effect from 1 April 2007 is Band 1, Point
1 - £12,077 per annum or £231.62
per week is the equivalent of £6.26 per
hour.
Further Education Colleges
In England.
Colleges of Further Eduction in
England have been offered 2% with effect from
1st August 2007 and a further 1%
on 1st February 2008. The offer also
includes an underpinning of a minimum £500
for those on scale points 4 to 11 resulting
in the lowest point (4) being £12,237
per annum or 234.69 per week and based on a
37 hour week 6.34 per hour
The Statutory Minimum Wage
The Statutory National Minimum
Wage with effect from 1st October
2007 is
-
for those age over 21 is
£5.35 an hour/£197.95 per week/£10,321
per annum based on a 37 hour week
-
for those age 18-21 is £4.45
an hour/£164.65 per week/£8,584
per annum based on a 37 hour week
-
for those 16 -17 is £3.30
an hour/£122.10 per week/£6,366
per annum based on a 37 hour week
Issues influencing Scottish
Local Government Pay
The trade unions claim that there
exists within Scottish local government a continuous
problem of low pay. The national minimum wage
is 92% of the lowest Spinal Column Point.
In 2005, a survey conducted by
CoSLA revealed that 60% of the local government
APT & C Staff workforce was paid between
spinal column points 3 - 15 (This equates to
£11,211 to £15,828)
The latest government statistics
reveal average earnings in the private sector
are growing at a rate of 3.7% compared with
2.7% in the public sector. Over to past year
to July 2007 the gap was greater with the private
sector at 4.1% and 2.3% in the public sector.
A number of Scottish local authorities
reported recruitment and retention problems
for a number of key posts.
Affordability
The Scottish Executive in its
paper "Policy for Scottish Public Sector
Pay Groups" has stated that it shall
comply with the Treasury's public sector pay
policy limiting basic awards to no more than
2%.
The trade unions seek to work
with the Employers to try to promote the need
for increased resources for both services and
pay to the Scottish Government.
Efficiency Savings
The contribution and endeavours
of local authority workforce in securing efficiency
savings through continuous improvement under
Best Value Regime should be reflected in the
settlement.
Conditions of Service Claims
The annual leave entitlement and
public holidays for employees is now one of
the lowest in the EU. A number of councils already
have local agreements with a higher minimum
leave entitlement.
TRADE UNION TARGETS
The TUC continues to campaign
for a national minimum wage of £6.75 per
hour or £13,022 per annum with no lower
youth rate.
Currently £6.61 is point
13 on the hourly spinal Column, and point 8
is £12,501 annual spinal column.
The London Living Wage (Determined
by the GLA) stands at £7.20 per hour or
£13,890
Half of the male median earnings
are £8.28 or £306.50 per week or
£15,980 per annum.
ECONOMIC FACTORS
Unemployment
The seasonally adjusted unemployment
rate in Scotland was 4.6% (UK rate 5.5%) in
the June to August 2007 period, down 0.2 percentage
points (UK 0.1%) on the same period a year earlier.
The rates for men and women in June to August
2007 were 4.9% (UK 5.8%) and 4.4% (UK 5.1%)
respectively.
However, the seasonally adjusted
claimant count rate (Scotland) in September
2007 was 2.7%, unchanged from August 2007 and
down 0.5 percentage points since September 2006.
The seasonally adjusted number of claimants
in September 2007 was 73,800, down 600 on August
2007, and down 13,600 since September 2006.
Inflation
CPI (Consumer Price Index) annual
inflation - the Government's target measure
- was 1.8 per cent in September, unchanged from
August.
Large downward contributions to the change in
the CPI annual rate came from:
- Housing and household services, due to
gas and electricity bills which both fell
as a result of the continued phasing in
of recent tariff reductions. Over the same
period last year, average gas and electricity
bills rose; and
- Clothing and footwear as prices overall
rose by less than last September especially
for men's outerwear. In particular, prices
for winter coats fell this year, compared
with sharp increases a year ago.
The largest upward effect on the
CPI annual rate came from food and non-alcoholic
beverages, where price increases were recorded
for a number of dairy products including:
- Milk, cheese and eggs, due to widely publicised
price increases for shop bought milk, particularly
at supermarkets. The average price of a
pint of milk rose by around 4 pence per
pint in September, a record one month increase;
and
- Oils and fats, where average prices for
both margarine and butter increased in September
by over 15%.
A large, partially offsetting
downward effect within food came from vegetables,
due to price changes on some winter vegetables
and tomatoes.
RPI (Retail Price Index) inflation fell to 3.9%
in September, down from 4.1% in August, mainly
due to average mortgage interest payments. Average
rates were largely unchanged in September, but
rose a year ago, when most lenders passed on
the quarter point rise in the Bank of England
Bank rate announced in August 2006. Mortgage
interest payments are excluded from the CPI.
Other factors influencing the RPI were similar
to those affecting the CPI. RPIX inflation -
the all items RPI excluding mortgage interest
payments - was 2.8% in September, up from 2.7%
in August.
As an internationally comparable measure of
inflation, the CPI shows that the UK inflation
rate in August, at 1.8%, was close to the provisional
figure for the European Union as a whole of
1.9%.
House Prices
The annual rate of house price
inflation in Scotland is now 14.2%, above the
UK average of 10.7%, according to the latest
Quarterly Scottish House Price Index from the
Bank of Scotland. Prices in Scotland rose by
0.7% in Q3 2007.
The average price of a house in
Scotland is currently £141,158. Although
this is 29% less than the UK average of £198,898,
Greater London prices are now just 2.3 times
higher than those in Scotland, compared with
3.0 times in Q3 2002, signalling a higher rate
of house price increase in Scotland.
Average Earnings
Manufacturing average earnings
(excluding bonus, not seasonally adjusted) rose
3.8% in the year to August 2007. Similar
earnings rose by 3.8% in the whole economy,
by 4.0% in the private sector and 3.3% in
the public sector. Average earnings in services
rose by 4.0%, and earnings in private sector
services rose by 4.2%.
Manufacturing average earnings
(including bonus, not seasonally adjusted) rose
2.8% in the year to August 2007. Similar earnings
for the whole economy rose 4.2%, private sector
earnings rose 4.5%, and public sector earnings
rose 3.0%. Average earnings rose 4.5% in services
and private sector services earnings
rose 5.0%.
Average Earnings Forecast
The Treasury's latest summary
of forecasts shows average earnings expected
to rise, on average, by:
- Citigroup forecast 4.6%; ING
Financial Markets 4.3%; Morgan Stanley 4.2%;
Economic Perspectives 4.2%.
CONCLUSION
The 2006 - 2008 SJC Agreement
did not maintain our members pay at the level
of inflation across the two years of the settlement,
or average earnings. Our claim seeks to address
this further relative decline in local government
workers earnings.
The steady rise in the rate of
inflation clearly shows the damaging effects
on the cost of living on our members over the
last two years. Above inflation increases in
key areas such as housing, fuel and energy,
council tax and childcare costs support our
evidence for a pay award substantially above
the rate of inflation. Our claim is a mixed
percentage and flat rate claim which seeks to
address the high cost of living for low paid
staff who, proportionately, are hit far harder
by any cost of living increases than those on
the higher pay bands.
For these reasons, we believe
that our claim is a just one, well supported
by evidence, and one we hope is given the very
serious consideration it deserves.
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