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UK Armed Forces Pay Review Body 2015

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Old 23rd Sep 2014, 15:35
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UK Armed Forces Pay Review Body 2015

The Armed Forces Pay Review Body are doing their rounds ahead of the 2015 pay award. This is the brief the Chair, Mr John Steel, received from Danny Alexander:

29 July 2014

Dear John

PUBLIC SECTOR PAY 2015-16

I would like to thank you for your work on the 2014-15 pay round. I am strongly convinced of the role of the pay review bodies in determining national pay awards in the public sector and appreciate the important part the pay review bodies have played over the last four years. For a number of review bodies this has included providing expert advice and oversight of wider reforms to pay policy and systems of allowances, in addition to the annual award. I am confident the changes brought about by the pay review body recommendations in these areas are making a significant contribution to the improvement and delivery of public services.

2. You will have seen that for the 2014-15 pay round there were some review body recommendations which, after careful consideration, the Government decided were unaffordable at this time. I hope you will appreciate this was a difficult decision and that the Government continues to greatly value the contribution of the pay review bodies in delivering robust, evidence-based pay outcomes for public sector workers.

3. The Autumn Statement of 2013 highlighted the important role in consolidation that public sector pay restraint has played. The fiscal forecast shows the public finances returning to a more sustainable position. However, the fiscal challenge remains and the Government believes that the case for continued pay restraint across the public sector remains strong. Detailed evidence will be provided during pay review process, but at the highest level, reasons for this include:

a. Recruitment and retention: While recognising some variation between remit groups, the evidence so far is that, given the current labour market position, there are unlikely to be significant recruitment and retention issues for the majority of public sector workforces over the next year.

b. Affordability: Pay restraint remains a crucial part of the consolidation plans that are continuing to help put the UK back on to the path of fiscal sustainability – and continued restraint in relation to public sector pay will help to protect jobs in the public sector and support the quality of public services.

4. In the 2013 Budget the Government announced its policy that public sector pay awards would be an average of up to 1 per cent in 2015-16.

5. The pay review bodies will want to consider the evidence carefully in producing their reports. In particular, what award is justified within the bounds of pay restraint and whether there is a case for a higher award to particular groups of staff, relative to the rest of the workforce, due to particular recruitment and retention difficulties.

6. Pay awards should be applied to the basic salary based on the normal interpretation of basic salary in each workforce. This definition does not include overtime or any regular payments such as London weighting, recruitment or retention premia or other allowances.

7. Following the Government’s announcement in the 2013 Spending Review, substantial reforms to progression pay have been taken forward or are already underway across the public sector. As in the 2014-15 pay round, the Government also asks the pay review bodies to again consider the impact of their remit group’s progression structure and its distribution among staff in recommending annual pay awards.

8. I look forward to your recommendations, and reiterate my thanks for the invaluable contribution made by the Armed Forces’ Pay Review Body during the course of this Parliament.
It seems the Treasury has a less optimistic opinion of the labour market than the recent figures would have us believe. They are also much more optimistic about our retention figures than our official statistics seem to express.

Still, I'm sure our 'independent' body will provide the correct advice to their lords and masters….
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Old 23rd Sep 2014, 15:59
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And have you seen what MPs are being awarded?
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Old 23rd Sep 2014, 16:16
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Mr Boo said a review of evidence had shown that economic forecasts were improving while MPs' salaries had "fallen behind" others working in comparable public sector roles.
Ah but the evidence shows that the economic forecasts are improving, so that is ok, isn't it?

Did their pay body not get the memo from the Treasury stating that it was not true?

9%

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Old 23rd Sep 2014, 18:12
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You will have seen that for the 2014-15 pay round there were some review body recommendations which, after careful consideration, the Government decided were unaffordable at this time.
within the bounds of pay restraint
I don't know why they bother.

STH
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Old 23rd Sep 2014, 18:35
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The "unpaid" pay review body generally "do" it for...ticks towards their OBE, MBE, other Senior Honours, Political "Help" etc, etc....
Let's face it, a total Con...!

OAP
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Old 23rd Sep 2014, 20:39
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Employee turnover in HM Treasury is circa 25% and they've a 1% pay award, I'm sure turnover in the Armed forces is much lower. MPs salaries are set by IPSA independent of HM Treasury guidance.

Pay and expenses for MPs - UK Parliament
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Old 23rd Sep 2014, 22:28
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MPs get rewarded for putting the country £1.3 trillion in the red? That makes perfect sense.
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Old 24th Sep 2014, 01:21
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Really!?

So in ref to item 3a...has nobody told Dan that some of the major airlines have started recruiting?

The AFPRB better move fast to keep up with the mountain of applications that just landed on BA's mat as of the closing date of yesterday for the managed path!

Interesting times ahead for all. But at least, according to Danny, we don't have a recruitment and retention issue. It would appear they don't value experience. Just how much does an aircraft accident cost these days anyway?

It's also a good job that we don't have any upcoming areas of concern where some of that experience may prove handy!

Last edited by Rotate; 24th Sep 2014 at 01:22. Reason: typo
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Old 24th Sep 2014, 07:07
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AFPRB

Sadly these annual reports are not independent and never have been. Whilst in the good times that's less important and visible the last 4 years highlight how they are fully meshed with policy from No 11.

The RAF as a whole don't have a retention issue IMHO. Outside of redundancy periods 10% leave every year. Currently that's just over 3 000 folks. Recruitment I'm not so sure about given it has been so low over recent years and is still way off what is needed to steady numbers: currently 1800 joining annually. You can all do the math. Nice new advert so I'm sure it will be fine...
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Old 24th Sep 2014, 10:01
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Do you remember what happened when the review bodies WERE more or less independent - 30% for the miners for example

You can't separate what people get from what is available to pay them.............
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Old 24th Sep 2014, 12:35
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HH - fine - just don't call it a gold nugget if it is really a turd dipped in glitter! (i.e. 'independent')
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Old 24th Sep 2014, 16:29
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So let me see if I understand.

When times are good and the economy is booming, keeping a lid on inflationary pressures is cited as the reason for a sub-inflation rise.

When times are bad, affordability is cited as the excuse, sorry, reason for the same limited rise.

Is there ever a good time to pay the military what they are actually worth?
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Old 24th Sep 2014, 18:11
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Originally Posted by Melchett01
Is there ever a good time to pay the military what they are actually worth?
To ask the question is to answer it as I'm sure you already knew.
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Old 24th Sep 2014, 18:23
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6. Pay awards should be applied to the basic salary based on the normal interpretation of basic salary in each workforce. This definition does not include overtime or any regular payments such as London weighting, recruitment or retention premia or other allowances.
Does this mean I should expect a 0.8%-1% basic pay rise, and they'll claw back last year's X factor increase by not increasing flying pay....?
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Old 24th Sep 2014, 18:33
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Guess the recommended % increase.

I make an uneducated but cynical guess it will be around just less than a 1 % increase.
Price Waterhouse Coopers website say the UK economy is showing positive growth trends, and we could be the 5th largest economy in the world, overtaking France.
But of course this is all relative.
Inflation was 1.5% in August....
I met some of the AFPRB once, decent enough people, high achievers etc.
Thing is HM Forces are just taken for granted, they have no political clout to punch with, most are quite young and green, don't vote, cant strike and can be bossed around at will.
When you wise up a bit (30 something plus in my feeble admittance) its too late
Its not hard to figure how it will go.
I wish more serving people (my old mates, what's left in) would simply tell their bosses to go forth and multiply, and then leave, to be honest.


Believe me there are jobs and roles and better pay and treatment outside for every single last one of you reading this if you are minded to leave.
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Old 24th Sep 2014, 19:48
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HS, if you can PM me details of a job that pays what I earn now (or more!), compensates for the loss of pension a little, and lets me live somewhere closer to home then you'll be on my Christmas card list for life
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Old 24th Sep 2014, 23:58
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Depends, what do you earn now?
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Old 25th Sep 2014, 06:34
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HS, if you can PM me details of a job that pays what I earn now (or more!), compensates for the loss of pension a little, and lets me live somewhere closer to home then you'll be on my Christmas card list for life
You forgot to factor in the massive improvement in quality of life which most people seem to benefit from when they leave. I certainly did, along with the pay rises, living where I want, etc etc. Pension may not be as good, but you might never get to take it. Live life. YOLO as my son tells me.

S-D
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Old 25th Sep 2014, 08:25
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How to weigh this one up?
Public sector unionised groups going on strike over similar poor rises vs Monarch staff taking a 30% pay cut and a redundancy programme.


Not sure of the answer!
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Old 25th Sep 2014, 08:29
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Admin blunty, I hear pvr rate is around 16% at the moment and not slowing down....
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