Market Rate Supplement Policy

Transcription

1 Market Rate Supplement Policy EQUALITY IMPACT ASSESSMENT 1. Document Responsibility Richard Atkinson 2. Date of Assessment 11 August Date of CLT Approval 18 August 2014 (College Leadership Team) 5 September 2014 (JCNC) 4. Date of Governors Approval Not Applicable 5. Date of Future Review 24 Months 6. Purpose of Policy or Document (What does this cover?) To provide guidance on the College s Policy on paying additional salary due to shortage of skills within specific job roles. How could this Policy/Document impact on the Protected Characteristics listed? Race Disability Gender Pregnancy/Maternity Religion/Belief Sexual Orientation Age Gender Reassignment Marriage & Civil Partnership Accessible to all No Disproportionate Positive Negative Evidence (from consultation, sources of advice, guidance and feedback) In accordance with College requirements and JCNC Agreement If you have ticked the Negative box of any of the above please complete details of the Actions necessary below Actions required Date Comments Action Taken Received NA NA NA NA Equality Assessment carried out by: (Please list staff members involve in process) Pat Congerton Mike Emery Market Rate Supplement Policy (Final) - 5 September 2014 Page 1 of 7

2 EQUALITY MONITORING/REVIEW 1. Name of Policy or Document Market Rate Supplement Policy 2. Document Responsibility 3. Date Created / Modified 4. Purpose of Policy or Document 5. Complaint/Issues arising How could this Policy/Document impact on the Protected Characteristics listed? Race Disability Gender Pregnancy/Maternity Religion/Belief Sexual Orientation Age Gender Reassignment Marriage & Civil Partnership Accessible to all No Disproportionate Positive Negative Evidence (from consultation, sources of advice, guidance and feedback) If you have ticked the Negative box of any of the above please complete details of the Actions necessary below Actions required Date Comments Received Action Taken Equality Monitoring/Review carried out by: ( Please list staff members involved in process) Date of Equality Monitoring/Review: Market Rate Supplement Policy (Final) - 5 September 2014 Page 2 of 7

3 Market Rate Supplement Policy Introduction Middlesbrough College is committed to recruiting, developing and retaining a diverse, flexible and talented workforce to deliver excellence in Further Education. From time to time the College faces a shortage of skills in key disciplines and therefore has to seek to identify innovative recruitment methods and strategies to attract and / or retain suitably skilled candidates in shortage disciplines. A Market Rate Supplement is one such method that the College may use to do this. The Market Rate Supplement Policy is intended to apply in circumstances where the College is facing difficulties recruiting to or retaining suitably qualified staff in key areas or in specific market conditions. The College has a transparent salary scale structure for each category of staff groups and these have been the subject of consultation with the relevant Trades Unions. The salaries for all posts are determined by factors which include the nature of the work, the duties involved, and the level of responsibility, and they have been benchmarked within the FE Sector. All recruitment and retention strategies are in line with current employment practice. The Market Rate Supplement Policy is non-contractual and payments will be made entirely at the discretion of the College. The College reserves the right to withdraw the policy if, for example, the Market Rate Supplement ceases to deliver the aims that the policy seeks to achieve. Market Rate Supplement Policy (Final) - 5 September 2014 Page 3 of 7

4 Purpose and Scope The College has developed the Market Rate Supplement Policy to ensure that the College is able to take account of market forces in cases where the College faces difficulties attracting, recruiting or retaining staff. The Market Rate Supplement Policy is designed to ensure that the College: Awards a Market Rate Supplement in a fair, consistent, transparent and robust manner. Complies with equal pay legislation e.g. in ensuring it has and keeps under review objective evidence which supports the need to offer Market Rate Supplements in order to attract and retain suitably skilled staff. In the event such payments are no longer required in order to achieve the College s aims, the Market Rate Supplement would be withdrawn. Implements a Market Rate Supplement in appropriate cases and adopts appropriate mechanisms for removing them when they are no longer warranted by labour market conditions etc. The College will make every effort to recruit and/or retain staff on salaries within the salary scales for the relevant job before any Market Rate Supplement is considered. When considering the need for a Market Rate Supplement, the College will take account of the current Terms and Conditions and other work-related factors. Market Rate Supplement A Market Rate Supplement is distinct from salary and, in appropriate circumstances, may be paid as a supplement to the salary. This could be for a specific individual post, or group of posts, where labour market pressures increase market pay rates, such that they have presented the College with real difficulties in being able to recruit and/or retain staff at the salary of the grade for the post. The College will at its discretion make payments on a temporary basis. However should, for example, labour market conditions change and market pay rates fall, or where an employee moves to a different post that does not attract a Market Rate Supplement, their entitlement to the payment will cease and the premium be withdrawn. The Market Rate Supplement is non-consolidated and is paid separately to basic salary and it is not considered as part of the hourly rate for overtime or premium hours calculations. Market Rate Supplement Policy (Final) - 5 September 2014 Page 4 of 7

5 The Market Rate Supplement payment will be subject to the following criteria: It is not subject to increases under any pay awards. It is subject to the normal statutory deductions including Income Tax and National Insurance. It is non-pensionable (if applicable). It will be included in calculations for the purposes of other payments such as Maternity / Adoption, Paternity and Sick Pay. It will be paid pro rata for part-time staff. Employees who leave the College s employment following receipt of a payment of a Market Rate Supplement will be required to repay the monies on a pro rata basis. By accepting a Market Rate Supplement, an employee agrees and consents to Middlesbrough College making such deductions from salary and/or from any outstanding amounts payable to him/her on or before the termination of the employee s employment. Eligibility Internal or external applicants for new or existing posts are eligible to be considered for Market Rate Supplements. There should be demonstrable evidence of: 1 Difficulty to attract, recruit and/or retain suitably qualified and experienced employees and or shortages in key disciplines. 2 Average salary of comparable roles in the external market. There should be sufficient evidence that market pay is higher than the salary range for the grade of the post. 3 The employee s last salary payslip from previous employer. Market Rate Supplements may be applied to both permanent and fixed term posts. An application for a Market Rate Supplement should be forwarded to the Director of Human Resources and any payment of a Market Rate Supplement will be considered and agreed by the Principal / Chief Executive or, in their absence, the Staffing Panel. Any agreed Market Rate Supplement is payable monthly for an agreed period, which is based upon the circumstances of the case. The data used to determine the figure shall be recorded, so it can be used periodically to reassess whether the Market Rate Supplement remains justified and whether the value remains appropriate (or should be adjusted). If, after reasonable investigation, data cannot be found to assess the market level of the post in question, or to support payment of a supplement, then no Market Rate Supplement is payable. Market Rate Supplement Policy (Final) - 5 September 2014 Page 5 of 7

6 Types of Market Rate Supplement (Teaching & Vocational) The College has two types of Market Rate Supplement and seeks to compare the position of the College s salary to salary for relevant jobs comparable in the external market. Teaching Supplements are potentially available to those who are likely to be experienced teaching staff and who can in any event demonstrate they have commanded or could command a higher salary within a teaching post, e.g. an experienced Maths Teacher working in the Secondary Education sector earning in excess of the College s Lecturer Single Pay Spine. An application can be made for the College to consider payment of a supplement in order to recruit/retain the individual in the face of competition from the labour market. Comparable external data will be sought by the Director of Human Resources to establish the average salary for the external market compared with the top of the relevant pay scale. Based on this information the amount of any supplement would be determined at the discretion of the Principal / Chief Executive, or in their absence, the Staffing Panel. Any agreed Teaching Supplement would be payable monthly or annually for an agreed period and would be based on the circumstances of each case. Vocational Supplements are potentially available to those who are likely to be vocationally experienced and who can in any event demonstrate they have commanded or could command a higher salary within their subject specialism, e.g. an experienced Engineer earning a salary in excess of the College s Lecturer Single Pay Spine An application can be made for the College to consider payment of a supplement in order to recruit/retain the individual in the face of competition from the labour market. Comparable external data will be sought by the Director of Human Resources to establish the median salary for the external market compared with the top of the relevant pay scale. Based on this information the amount of any supplement would be determined at the discretion of the Principal / Chief Executive, or in their absence, the Staffing Panel. Any agreed Vocational Supplement would be payable monthly or annually for an agreed period and would be based on the circumstances for each case. Market Rate Supplement Policy (Final) - 5 September 2014 Page 6 of 7

7 Review of Market Rate Supplement Where a Market Rate Supplement has been payable, it is important to review the Market Rate Supplement at the end of the agreed period. To be eligible for a Market Rate Supplement there must not only be a higher market salary offered by the College, there must also be a demonstrable difficulty in recruiting or retaining staff. When reviewing the Market Rate Supplement an assessment shall be made as to whether this difficulty still exists before continued payment of the Market Rate Supplement is approved. Policy Review A Market Rate Supplement is a temporary payment and subject to regular review. There is no right of appeal by the individual against a decision to remove or reduce a Market Rate Supplement. However, a summary of the market intelligence will be shared with the individual to show how the review was conducted and the sources of information that were used during the review, and which contributed to the Staffing Panel s decision. Market Rate Supplement Policy (Final) - 5 September 2014 Page 7 of 7