NHS pay review body: twenty-sixth report 2012 - Official Documents

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Figure 2.8: Growth in median gross weekly pay for the NHSPRB and other employee groups, April 2001-2011 Index of gross weekly pay for full time employees (April 2001 = 100) 150 140 130 120 110 100 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 NHSPRB Public sector Source: OME analysis of ASHE. Dashed vertical lines indicate discontinuities in the 2004 and 2006 ASHE surveys. All employees Private sector Table 2.6: Growth in gross weekly pay percentiles for full time employees between 2001 and 2011 10th percentile Growth between April 2001 and April 2011 (%) 25th percentile Median 75th percentile 90th percentile NHSPRB 44 42 41 43 54 All employees 35 33 33 35 37 Public sector 42 42 38 41 44 Private sector 32 29 30 31 35 Source: OME analysis of ASHE. 2.17 For many occupations in our remit group, such as registered clinical staff, the NHS is the major employer; for others, such as administrative and clerical staff, the NHS competes in a wider labour market. Direct comparisons between the average pay of our remit group and other sectors are difficult to make, as the characteristics of our remit group may differ significantly from any comparator group. 2.18 There have been several attempts to quantify the difference in pay between the public and private sectors, using econometric techniques in order to account for differences in the characteristics of the respective workforces. Recent examples of such analysis have been published by the Institute for Fiscal Studies (IFS) 21 and the Office for National Statistics (ONS) 22 : 21 IFS (February 2011), Green Budget Chapter 7: Public Sector Pay and Pensions. Available at: http://www.ifs.org.uk/ publications/5460. 22 Damant.A and Jenkins.J (July 2011), Estimating Differences in Public and Private Sector Pay, Office for National Statistics. 17
18 • • The IFS estimated that, for the period January 2009 to September 2010, public sector workers were paid on average 7.5% more than private sector workers, taking into account their gender, age, level of education and qualifications held. The IFS found that the differential had increased since 2008, but was not significant in London or the South East; The ONS estimated that the differential in average hourly pay (excluding overtime) in favour of the public sector was 7.8% in April 2010, compared with 5.3% in April 2007. 2.19 The IFS also estimated the effect on the average pay differential between the public and private sectors implied by the current policy of a two-year pay freeze: its calculations suggested that the differential would reduce to 0.9% in favour of the public sector by the end of the current pay freeze in 2013. 2.20 Though these analyses are useful to some extent, there are limitations regarding their applicability to our remit group: the differential for the NHS alone may be different to that of the wider public sector. Additionally, there may be occupations or groups of occupations where the differential against the private sector, taking into account their particular characteristics, may be substantially different from an overall average differential23 . This may not be possible to address within a pay system specifically designed to deliver equal pay for work of equal value in the NHS. Membership of the NHS Pension Scheme 2.21 The Department of Health provided estimates of the percentage of non-medical staff (on a headcount basis) in England who are members of the NHS Pension Scheme. Figure 2.9 shows that, overall, 86% of staff contributed to the NHS Pension Scheme in both 2009 and 2010, and that the percentage of staff contributing to the scheme tended to increase with AfC bands. 2.22 The Department’s figures also demonstrated that there is an association between age and scheme membership: staff aged under 30 or over 59 were least likely to contribute to the scheme. Figure 2.10 shows that the effects of lower membership rates for the lowest AfC bands, and the youngest and oldest age groups, are additive: less than half of staff aged under 25 and in AfC Band 1 were members of the scheme in September 2010. 23 For example, a highly-specialist scientist in our remit group could have a negative differential, compared to private sector workers with comparable qualifications.
Page 1 and 2: NHS Pay Review Body Twenty-Sixth Re
Page 3 and 4: ii © Crown copyright 2012 You may
Page 6 and 7: Contents Summary of Recommendations
Page 8 and 9: level since August 1994. We have co
Page 10 and 11: Chapter 1 - Introduction and Backgr
Page 12 and 13: in his 20 June 2011 letter that the
Page 14 and 15: 1.21 At the time of submission of t
Page 16 and 17: Chapter 2 - Recruitment, Retention
Page 18 and 19: Table 2.1: Change in NHS workforce
Page 20 and 21: Table 2.3: Leaving and joining rate
Page 22 and 23: Distribution of Staff on Agenda for
Page 24 and 25: Table 2.5: Median gross weekly pay
Page 28 and 29: Figure 2.9: Estimated pension membe
Page 30 and 31: 3.4 3.5 Figure 3.1: Distribution of
Page 32 and 33: Figure 3.4: Composition of FTE staf
Page 34 and 35: Inflation 3.10 In the context of th
Page 36 and 37: 3.15 The OBR forecast in November 2
Page 38 and 39: 3.22 The Government noted that infl
Page 40 and 41: of components of CPI and RPI over t
Page 42 and 43: Table 3.1: NHS revenue since 2000/0
Page 44 and 45: 3.46 The Department added that rece
Page 46 and 47: surplus on its Departmental Expendi
Page 48 and 49: Evidence from the Parties The Healt
Page 50 and 51: 3.83 We make our assessment of the
Page 52 and 53: staff median earnings across the ec
Page 54 and 55: equired to seek evidence or advice
Page 56 and 57: 4.17 For this report, Unite initial
Page 58 and 59: Table 4.4: Staffing establishments
Page 60 and 61: pre-registration trainee pharmacist
Page 62 and 63: Proposal for a National Recruitment
Page 64 and 65: 4.47 UCATT has drawn to our attenti
Page 66 and 67: Chapter 5 - General Workforce Issue
Page 68 and 69: • • • • • • Specialist
Page 70 and 71: 5.19 The 2011 NHS Staff Survey in E
Page 72 and 73: Our Comment 5.34 From the evidence
Page 74 and 75: planning process could become fragm
Page 76 and 77:
Staff Bodies 5.60 The Staff Side sa
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Chapter 6 - A Forward Look 6.1 In t
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Data and Evidence Requirements 6.13
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74 PROTECT UNTIL PUBLICATION PROTEC
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76 PROTECT UNTIL PUBLICATION 114
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80 PROTECT UNTIL PUBLICATION PROTEC
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82 Deputy First Minister & CabinetS
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Appendix B Recommended Agenda For C
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C2 C3 86 Figure C3: Composition of
Page 97 and 98:
Table C4: Ambulance 88 England FTE
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Note that, in years when the number
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Table D3: HCHS Paybill per FTE (£)
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Table D7: HCHS Workforce (FTE) 1,8
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APPENDIX F Previous Reports Of The
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APPENDIX G Glossary AfC Agenda for
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