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Pay Model Structure and Living Wage

Pay Model Structure and Living Wage | South Lanarkshire Council
TitlePay Model Structure and Living Wage
Council ResourceFinance and Corporate
Aims and ObjectivesIt is proposed that the Council restructure the current pay model over a two year period.

The current pay structure is made up of Grades and Levels, starting from Grade 1, Level 1 to Grade 6. Each Level
includes a number of spinal column points which employees incrementally progress through. In terms of equalities,
there should be a clear rationale as to progression through the grades and long incremental scales can be viewed as
discriminatory and difficult to justify. In particular, women can be disadvantaged through more frequent breaks in their
career. In addition, complexity in the grades can give rise to unequal treatment in placement, either through recruitment
or career progression.

By removing the lowest spinal column points within grades, the grade structure will reduce to a maximum of three spinal column points in each level in Year 1 and achieve two spinal column point levels in Year 2. Grade 1, Level 1 will remain at a single point, reflecting the speed with which an employee becomes competent at that level. It is also proposed that Grade 3 Level 1 be removed as the spinal column points in Grade 2 Level 4 and Grade 3 Level 1 overlap and contain the same points.
ConclusionThe current pay structure is made up of Grades and Levels, starting from Grade 1, Level 1 to Grade 6. Each Level includes a number of spinal column points which employees incrementally progress through. In terms of equalities, there should be a clear rationale as to progression through the grades and long incremental scales can be viewed as discriminatory and difficult to justify. In particular, women can be disadvantaged through more frequent breaks in their career. In addition, complexity in the grades can give rise to unequal treatment in placement, either through recruitment or career progression.

The impact of the change will be monitored and reported through the Council's Mainstreaming Equality report.

The proposed changes would benefit all employees. The reduction in the number of spinal column points in each grade level reduces the time taken, in some cases by four years, for employees to reach the ceiling point in their grade, and to reach their maximum earnings. It will bring clarity of pay application, simplifying the process for employees and managers.
Completion date18/7/2018
Contact Email addressequalities@southlanarkshire.gov.uk