PAY PROGRESSION POLICY
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1 Classification: Policy Lead Author: David Hargreaves, Deputy Director of Human Resources Additional author(s): N/A HR Ref: p_pp_3_ Authors Division: Human Resources Unique ID: HR2(10) Issue number: 3 Expiry Date: September 2018 Contents Page Section 2 Who should read this document? 2 Practice Points 2 What s new in this version? 2 Policy guideline 3 Delegation of Authority 3 Applicability of the Pay Progression Policy 4 Voluntary Contract Changes 5 Deferral of Pay Progression and Appeals 5 Conduct 5 Performance 6 Appraisal and Contribution Framework 7 Attendance 8 Mandatory Training 9 Administration 10 Roles and responsibilities 15 Monitoring 9 Implementation 10 Review 11 Document control 12 Policy Implementation 12 Monitoring and Review 13 Endorsement Screening Equality Analysis Outcomes Page 1 of 10
2 Who should read this document? All staff employed on incremental payscales. Key Practice Points Pay progression should not be seen as an automatic right by staff but rather is something to be earned and is a reward that is dependent on satisfactory conduct, performance, attendance and demonstration of competence and positive behaviours(for application refer to Para 4 on page 4). Where staff cannot demonstrate one or more of these competences/behaviours etc., in most circumstances and as appropriate to their contract, staff should be dealt with through the appropriate Trust policy and should have their pay progression deferred. However, it is the expectation of the Trust that staff who demonstrate a good standard of conduct and performance, who have a satisfactory level of attendance and who undertake mandatory training and demonstrate competence will progress annually through the increments in their salary band. What is new in this version? 1. Removal of references to gateways and application of policy at gateways. 2. References to and explanantion of Contribution Framework (formerly Performance Framework). Policy guideline 1. Policy statement The Trust seeks to foster a culture of high performance, good conduct and satisfactory attendance and believes that linking pay progression to these factors is a legitimate means of supporting the promotion of such a culture. The Trust believes that patient care can best be supported through such a culture and as such expects staff to be competent, to perform to an acceptable standard, to behave appropriately and to attend work on a regular basis. Managers are expected to foster such a culture through their own behaviours and the application of the policies of the Trust in a consistent and equitable manner across their areas of responsibility. Pay progression should not be seen as an automatic right by staff but rather is something to be earned and is a reward that is dependent on satisfactory conduct, performance, attendance and demonstration of competence and positive behaviours(for application refer to Para 4 on page 4). Where staff cannot demonstrate one or more of these competences/behaviours etc., in most circumstances and as appropriate to their contract, staff should be dealt with through the appropriate Trust policy and should have their pay progression deferred. Page 2 of 10
3 However, it is the expectation of the Trust that staff who demonstrate a good standard of conduct and performance, who have a satisfactory level of attendance and who undertake mandatory training and demonstrate competence will progress annually through the increments in their salary band. 2. Delegation of Authority Directors of Operations and equivalent Senior Managers are responsible for determining who has delegated responsibilities for pay progression deferral/approval and for the resolution of any appeals and ensure that those staff are familiar with their roles under this and the associated policies. It would generally be accepted that the authority for pay progression deferral/progression would be with the ward or departmental manager rather than a first line supervisor with any appeals being heard by the lead nurse or Senior Manager for an area. Where this is not the case then it should be made clear to staff who has this responsibility. 3. Applicability of the Pay Progression Policy Staff should note that each Agenda for Change pay band has between 2 and 8 increments and that each increment equates to an increase of between 1.4% and 6.4% with an average pay increase of 3.73%. As such compliance with this policy and the associated policies referred to which underpin the policy bring significant rewards to staff as well as benefiting both patients and colleagues through the behaviours, attendance and competencies demonstrated. The applicability of aspects of this policy to staff employed under Agenda for Change terms and conditions will depend on whether they hold post November 2009 contracts or not and the sections that apply are set out in the table below. [Note: following changes made as a result of AfC pay Circular 2/2013]. Section Post November Other contracts 2009 contracts Conduct Applies Applies Contribution Framework Applies Applies Performance Applies Applies Attendance Applies Does not apply Mandatory training Applies Applies All staff are expected to have a record of good conduct in the 12 months prior to their pay progression date, to have had a satisfactory review under the Contribution Framework and demonstrate compliance with mandatory training. Staff who are appointed to a post on or after 1 st November 2009 or who have undertaken a voluntary contract change since that date are also required to demonstrate satisfactory attendance. Page 3 of 10
4 4. Voluntary Contract Changes A voluntary contract change will change an existing employee into a post October November 2009 contract holder and a revised statement of particulars (written contract of employment) will be issued by Human Resources. An individual will be deemed to have chosen to have entered into a voluntary contract change if they: Successfully apply for and take up a new appointment with the Trust regardless of whether or not the individuals banding is changed. Instigate a permanent change to their hours of work or a temporary change of a duration of 12 months or more. Retire and then return to either the same or an alternative post with the Trust. Returned from a career break of over 12 months which commenced on or after the 1 st November 2009 Have accepted a downgrading or transfer as a consequence of disciplinary action However, any of the above changes will be disregarded in the following circumstances and the existing contract status maintained with contract status being continued to be considered as other: Where the change in hours or a reduction in banding is as a consequence of maternity leave and the change occurs immediately following the employee s latest return to work date Where the change in hours or take up of another post is as a consequence of organisational change, or is at the request of management. Where the change is made as a reasonable adjustment in order to accommodate an employee s disability. Where the change is undertaken as an agreed action outside of formal procedure in order to assist with either performance or attendance management. Where the change of hours, band or post is a temporary change that is envisaged to be of less than 12 months duration. Where an individual is re-banded as a consequence of the duties of their post changing. Page 4 of 10
5 5. Deferral of Pay Progression and Appeals As indicated above deferral of pay progression may be for one or more reasons. If there is more than one aspect of the employees conduct, behaviours or attendance that would lead to a deferral only one deferral of 12 months would be applied at any one time. This would not however preclude pay progression being deferred in successive years if formal concerns continue. If a member of staff has their pay progression withheld for a period of 12 months then, for example, an increment which would have normally been due on the 1 st August 2017 will not be granted and will not be considered again to be granted until 1 st August If the increment is granted on 1 st August 2018 then it is paid from that date and no arrears are due. Where an increment is similarly deferred for a period of 6 months then the same principles will apply. Set out below are the circumstances in which pay progression would be deferred subject to the individual s contract type i.e. post November 2009 or otherwise. 6. Conduct If a member of staff is issued with a formal disciplinary sanction then their pay progression is withheld for a period of 12 months e.g. an increment which would have been due on the 1 st August 2017 will not be granted and not be considered again to be granted until 1 st August If the increment is granted on 1 st August 2018 then it is paid from that date and no arrears are due. The individual will be notified of the deferral of pay progression in the letter confirming the disciplinary sanction taken by the manager under the Trust Disciplinary Procedure and Human Resources staff will ensure that the incremental date is amended in ESR. Staff may appeal against any disciplinary sanction and the associated incremental progression under the provisions set out in the Disciplinary Procedure. 7. Performance If a member of staff is issued with a formal sanction following application of the Trust s Performance Management Procedure then their pay progression is withheld for a period of 12 months e.g. an increment which would have been due on the 1 st August 2017 will not be granted and not be considered again to be granted until 1 st August If the increment is granted on 1 st August 2018 then it is paid from that date and no arrears are due. The individual will be notified of the deferral of pay progression in the letter confirming the formal sanction taken by the manager under the Trust s Performance Management Procedure and Human Resources staff will ensure that the incremental date is amended in ESR. Page 5 of 10
6 Staff may appeal against any formal sanction and the associated incremental progression under the provisions set out in the Performance Management Procedure 8. Appraisal and the Contribution Framework On April 1st, 2014, Salford Royal launched its new Contribution Framework to further support our people as they in turn support the Trust on its journey to become the safest NHS organisation in the country. To achieve this vision, every member of our team will be expected to play a part, both individually and as a team member. We want to ensure that our people are motivated and proud to deliver the highest standards of safe, clean and personal care, through respectful teamwork and best practice. The Contribution Framework has been developed to help us achieve this. At the centre of the framework are the Trust s four values of Patient and customer focus Accountability Continuous improvement Respect There was a transitional process as the new framework was introduced during 2014/15. This involved closing down existing processes, using the old paperwork, before moving onto the new system. New arrangements for pay progression, linked to employee performance, applied to appraisal objectives from April 2013 for incremental pay progression post April Provided the appropriate level of performance and delivery was achieved during the review period, individuals will have progressed from pay point to pay point on an annual basis. Incremental pay progression for all pay points, within each pay band, will be conditional upon individuals demonstrating that they have the requisite knowledge and skills/competencies for their role and that they have demonstrated the required level of performance and delivery during the review period. For pay bands 1 to 7, 8A and 8B this will apply to all the pay points in each pay Band. For pay bands 8C, 8D and 9 this will apply for the first 4 pay points in the band only. Staff will progress through the last two pay points in these pay bands only when they are assessed as having met the required level of performance. Pay progression for this level of performance will be nonrecurring and reviewed on an annual basis Staff must have participated in an annual appraisal and failure to do so may lead to their pay progression being deferred either by a period of 12 months or until such time as the appraisal is undertaken depending on the reasons for the appraisal not being undertaken. Where staff are off sick, for instance, this may lead to a delay in the appraisal being carried out leading to a deferral and subsequent reinstatement of any increment that may be approved. If staff fail to attend for appraisal without good cause then pay progression may be deferred for a period of 12 months. Page 6 of 10
7 Staff may not opt out of this policy by not participating in the appraisal process. Where the member of staff believes that the manager has erred in fact when deferring their pay progression as a consequence of failing to have an appraisal they should raise this with their manager and ask them to review their decision. If after raising the matter with their manager the individual believes that the deferral has been applied incorrectly then they should write within 7 days of their manager confirming the decision to the Deputy Director of Human Resources setting out why they feel the deferral inappropriate. The appeal will then be heard by a senior manager or senior nurse along with a member of Human Resources and the employee will attend the appeal and may be accompanied by their trade union representative or a work colleague. Where an appeal considers that pay progression should not have been withheld then it the pay progression date will be reinstated and any arrears due paid. 9. Attendance The Human Resources Directorate will review levels of non-attendance on an ongoing basis and will engage staff organisations in discussions on the trigger points to be applied to staff where deferral of pay progression due to nonattendance due to sickness, authorised and unauthorised, or for unauthorised absence is to be considered. Sickness absence is generally viewed as being genuine and where absence is taken inappropriately then Counter Fraud may be involved and/or disciplinary action taken. The trigger points are currently 28 and 56 calendar days of sickness in the 12 months up to the end of the month prior to the month in which pay progression would be due. Where a member of staff has sickness absence in excess of 28 or 56 days then their pay progression date should be deferred by 6 and 12 months respectively. The following absences should be excluded: Absence due to a pregnancy related condition, i.e. an illness during pregnancy caused by the pregnancy and certificated as such by either a doctor or midwife. Absence accepted through available evidence as being due to an industrial injury. Absence where Occupational Health consider that an employee has a terminal condition or a condition that would be likely to allow for a successful ill health retirement application to be made and such an application is in progress. Absences solely due to a recognised disability where it would be appropriate to discount them as a reasonable adjustment. It is for the manager to notify the individual member of staff at the return to work interview following the period of absence that triggers the deferral or, Page 7 of 10
8 if the absence is ongoing, to notify the individual of the deferral prior to it taking effect as part of their normal processes of keeping in touch. The manager should confirm the 6 or 12 month deferment in writing and advise the member of staff of the right to appeal. Where the member of staff believes that the manager has erred in fact when considering their absence and deferring their pay progression they should raise this with their manager and ask them to review their decision. If after raising the matter with their manager the individual believes that the deferral has been applied incorrectly then they should write within 7 days of their manager confirming the decision to the Deputy Director of Human Resources setting out why they feel the deferral inappropriate. Any appeal will be considered on the basis of: An error in fact i.e. the absence record is incorrect. An error in sanction i.e. the incorrect pay progression deferral has been applied. An error has been made in failing to exclude the absences referred to above which would if excluded have reduced the absence to below one of the trigger points. Appeals on the basis that the absences were genuine or certificated will not be considered. Appeals will not be heard in other circumstances. The appeal will then be heard by a senior manager or senior nurse along with a member of Human Resources and the employee will attend the appeal and may be accompanied by their trade union representative or a work colleague. Where at appeal it is considered that pay progression should not have been withheld then it the pay progression date will be reinstated and any arrears due paid. The manager may wish to discuss pay progression, particularly where disability may be an issue and may do so with a member of the Human Resources Directorate. The manager needs to advise the Human Resources Administration staff of any deferral as soon as it is determined. 10. Mandatory Training Managers will make their staff aware through local induction and appraisal of the training that they consider to be mandatory for them to undertake and of the frequency that they are required to undertake it. They will also make them aware of how the training can be accessed and of what they should do should they have problems in accessing the training. Managers should have due regard to the Trust s policy on Mandatory Training as well as any local or Divisional requirements. Where staff fail to complete their mandatory training, within the required period, then, unless there are exceptional mitigating circumstances, the manager will be expected to defer the individual s pay progression for a Page 8 of 10
9 period of up to 12 months. Where the manager does not defer pay progression they will need to positively approve such progression and make a note of the exceptional circumstances that lead to such action. Given that mandatory training at its most onerous is an annual requirement then poor time management will not be accepted as a valid reason for not attending. Where the member of staff believes that the manager has erred in fact when deferring their increment as a consequence of failing to undertake mandatory training they should raise this with their manager and ask them to review their decision. If after raising the matter with their manager the individual believes that the deferral has been applied incorrectly then they should write within 7 days of their manager confirming the decision to the Deputy Director of Human Resources setting out why they feel the deferral inappropriate. The appeal will then be heard by a senior manager or senior nurse along with a member of Human Resources and the employee will attend the appeal and may be accompanied by their trade union representative or a work colleague. Where at appeal it is considered that pay progression should not have been withheld then the pay progression date will be reinstated and any arrears due paid. 11. Administration Three months before the month in which an incremental date falls Human Resources Administration staff will managers a list of staff who are due to have pay progression and will also write to the member of staff to advise them of this. They will ensure that ESR is updated with the appropriate contract status to allow post October 2009 contract holders and others to be identified and they will ensure that new staff and voluntary contract changes are recorded as such and issued with the appropriate documentation. Managers will return a pro-forma to the Human Resources Administration staff by the end of the month prior to which an individual s pay progression is due, to authorise pay progression or deferment. If pay progression is to be deferred on grounds of non-attendance (ref. para 6.4. above) or for any other reason then the manager will confirm if that deferral is for 6 or 12 months. The pro-forma is attached at appendix A (to be attached) Human Resources staff supporting managers through Disciplinary or Performance Management hearings will defer pay progression dates following any formal sanctions being taken at such a hearing. Explanation of terms & Definitions N/A Page 9 of 10
10 Roles and responsibilities 1. The Executive Director of Organisational Development and Corporate Affairs will be responsible to the Trust Board for the operation of this policy through the Deputy Director of Human Resources. 2. The Deputy Director of Human Resources will ensure that managers are supported in the operation of the policy, both administratively and through the provision of support to managers in managing conduct, performance, behaviour and attendance. 3. The Associate Director of Learning and Development is responsible for ensuring the appropriateness and availability of mandatory training to all staff to allow them to achieve the training necessary to meet the requirements of that policy and also the availability of training on appraisal to allow managers to undertake meaningful appraisals and set SMART objectives. 4. Executive Directors, Directors of Operations and equivalent Senior Managers are responsible for ensuring the implementation of the policy within their areas of responsibility and determining who has delegated responsibilities for pay progression deferral/approval and resolution of any appeals. 5. Managers are responsible for ensuring that their staff have annual appraisals, that their staff s performance and conduct is managed, that they are encouraged and have reasonable opportunity to undertake their mandatory training and achieve competences, that their sickness is recorded and that they receive return to work interviews. Managers are also responsible for determining and advising staff of any pay progression deferral, of justifying the reason for any such deferral or otherwise and for submitting any pro-forma informing the Human Resources administrative team of any annual incremental pay advancement or deferral as appropriate in a timely manner. Managers are responsible for ensuring the fair application of the Trust policies associated with conduct, competence, attendance and mandatory training in their areas. 6. Individual members of staff have a responsibility to undertake their mandatory training as specified by the Trust or their manager, to take part in the appraisal process, to behave appropriately at work, to undertake their work in a competent manner and to attend work on a regular basis. Page 10 of 10
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