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Policy & Resources Committee consider pay negotiations amidst the COVID-19 crisis

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Monday 23 March 2020

The Policy & Resources Committee have met over the weekend to consider their approach to pay negotiations across all public sector employees given the COVID-19 situation.

Only three pay groups have negotiations outstanding from 2019 - Agenda for Change (AfC), JESCC and Teachers and Lecturers. Therefore, the Committee, acting on its mandate for employment related matters, has decided to implement pay awards based on the latest offers made in respect of 2019.

Given the exceptional and unprecedented circumstances, all negotiations for 2020 and future years are now being paused given the enormity of potential and unquantified demands on public funding.

The Policy & Resources Committee has agreed that all staff in the Agenda for Change pay group, which includes nurses and other health care professionals, will receive a 5% pay increase effective from January 2019, and a further 5% increase with effect from September 2019. This means those staff will see their salaries increase by slightly over 10% and back pay will be processed immediately.

Pay awards are also being made for JESCC staff with effect from 1 October 2019 and Teachers and Lecturers with effect from 1 September 2019.

Deputy Gavin St Pier, President of the Policy & Resources Committee said:

'Even before this crisis arrived in our Island, we had publicly recognised the need for nurses to receive a pay increase above those awarded to other public sector employees. This is right and fair.

However, the ramifications of Covid-19 are likely to continue to have serious implications for public finances and on individual households. We want to get the back pay into pay packets as quickly as possible, especially for the AfC group. Some will have partners whose own income may have become less certain. A lot is going to be asked of the AfC group in the weeks ahead and it's not fair that they should wait any longer.

Businesses are already turning to the States of Guernsey for financial support. Many Islanders are understandably worried about their jobs and worried what that will mean for their families. All pay discussions for 2020 are therefore being put on hold in light of the unprecedented uncertainty faced by the Guernsey community during the ongoing coronavirus crisis until we better understand the final cost of managing this crisis.

We are not closing the door on dialogue around the potential further pay increases for Agenda for Change staff in 2021, but it would be irresponsible to make any commitment now with our community facing this threat. We must realise that our entire economy and public finances may look very different in 2021 and, as a result, we make no apology for taking this stance on our pay and negotiations right across the public sector in the public interest.'

Deputy Jonathan Le Tocq, Policy & Resources Committee member with responsibility for employer matters, said:

'Given the situation we now face, we must look across the public sector and draw a line under this and therefore pause further pay negotiations until further notice. We hope our employees understand and are with us and their colleagues in all areas of the public sector, as well as with the wider community. Many public sector workers have already gone above and beyond as we face the threat of COVID-19. And we cannot thank them enough.'

Early notification of this decision, albeit at short notice, has been communicated to Union Representation and our employees in advance of publication of this decision.

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