Chapter 4 - Annual awards
Appendices
- Though the Department has the discretion to set the amount and distribution of SCS awards, annual awards will be influenced by Government policy and objectives and the CPS Pay and Reward Strategy.
- It is Government policy that performance, as assessed in annual reports, should be the principle factor in determining individual annual awards. This policy applies to SCS staff and to all other Civil Service staff.
- Each year, Government pay policy is informed by the recommendations of the pay review bodies. The SSRB is the Governmental review body with responsibility for the pay of all SCS staff. It will report each February, making recommendations to the Government which will be considered by Cabinet before the Government publishes its response. These recommendations will have implications for the pay of CPS SCS staff each year.
- The Chancellor of the Exchequer has set the following framework for all public sector pay:
- pay settlements and earnings growth should be realistic, moderate and affordable;
- the cost of any pay increase should be offset, or more than offset, by efficiencies and other economies. The aim is to hold the overall costs of running Government to around or below current levels in cash terms;
- there should be no presumption that all efficiency savings (from whatever source) are available to plough back into the paybill. Taxpayers should also benefit from the increased efficiency in the public sector; and
- there will be no central pay settlement norms.
- To determine individual awards each year, the following committees have been established:
- a Senior Pay Committee, comprising an external representative, to oversee and approve individual awards and to set the criteria and amounts of the award elements; and
- three (one per management level) Recommending Committees to recommend individual awards.
- The Senior Pay Committee will comprise:
- the Director of Corporate Services;
- a PTDD representative; and
- an external representative.
- Staff at ACCP level
- Recommendation of award: A Recommending Committee comprising the 3 HQ Directors + 2 CCPs on rotation
- Approval of award: Senior Pay Committee
- Staff at CCP level
- Recommendation of award: A Recommending Committee comprising the 3 HQ Directors
- Approval of award: Senior Pay Committee
- Staff at HQ Director level
- The DPP will act as the Recommending Committee for the HQ Directors and the awards will be approved by the Senior Pay Committee.
- Annual awards will be made each year based on the following criteria:
- performance;
- juniority; and
- job loading and additional job weight.
- Each year, the criteria will be reviewed by the Senior Pay Committee and staff will be notified of the weight of criteria that have been applied in making the awards.
- The Government has reaffirmed its commitment to individual performance as the most significant determinant of annual pay awards. The overall performance assessment marking will be the primary factor upon which awards will be based.
- In setting the flat rates for performance increases each year, the Senior Pay Committee will be guided by the recommended progression rates and the award distribution as well as the overall cost.
- The current SSRB recommendations are shown at Appendix 1.
- The SCS operates a performance appraisal system with 6 box markings. In addition a "+" marking may be awarded at box 2 and 3 level. The full definition of box markings are attached at Appendix 2. The SCS appraisal system includes the 3+ and 2+ box markings to reflect the performance of those "who show many of the qualities and the level of achievement of the higher marking but whose performance falls just short of the higher box". Staff who receive a + marking will receive an award for performance between the fixed amounts set for the two box markings.
- The size of performance increases for the + markings will depend on the number of + markings awarded. The higher the proportion of + markings, the lower the award will be. If x% of box 2s and 3s are 2+s and 3+s, the increase will be equal to the higher markings, less x% of the difference between the two full markings.
- For example: box 3 = £1000, box 2 = £2000 and box 1 = £3000
- if 25% of box 2s and 3s are 2+s and 3+s, the payment for + markings will be equal to the higher marking, less 25% of the difference between the two full markings, ie box 3+ = £1750, box 2+ = £2750.
- if 10% of box 2s and 3s are 2+s and 3+s, the payment for + markings will be equal to the higher marking, less 10% of the difference between the two full markings, ie box 3+ = £1900, box 2+ =£2900.
- This element of the award is intended to apply to individuals who are in the lower range of the payband and are performing to the same standards as their colleagues in equivalent posts, but who for historical reasons are earning significantly less than them.
- This element is designed, over time, to address some of the pay anomalies which exist as a result of former centralised pay structures and policies. This is a long term objective and not one which can be achieved quickly.
- The Recommending Committees have the discretion to award the additional payment, in accordance with the criteria set by the Senior Pay Committee (SPC) each year. The criteria will be set after consideration of, for example, the number of years in the management tier and the relative position of individuals in their payband. This is subject to overall affordability.
- Job loading is defined as the volume of work done (as opposed to the number of hours worked) and is separate to the performance of the postholder. Job loading is assessed qualitatively in SCS performance appraisal reports.
- The Recommending Committees' discretion to make an additional payment under this element will be in accordance with the criteria set by the SPC. Awards will be limited to circumstances where the post is particularly heavily loaded compared with other similar posts. There are two types of payment:
- non-consolidated non-pensionable one-off lump sum payment - if the loading is viewed as temporary; and
- consolidated pensionable award -if the loading is permanent.
- Additional job weight is defined as the additional responsibilities undertaken during the year resulting in an increase in job weight.
- Where there is a small increase in job weight over the year which has not been reflected in a formal re-evaluation of the JESP score, or where the JESP score increases (but not sufficiently to necessitate a review of the individual's salary and payband following a promotion or an additional milestone of achievement, (see chapter 3)), as a result of:
- a move to a similarly weighted post;
- a permanent change in the job weight of the current post, of only 1 JESP point; or
- a temporary change in the job weight of the current post;
- non-consolidated non-pensionable one-off lump sum payment - if the additional job weight is seen as temporary (for example, if the individual took on a complex project that was outside the duties of their post); and
- consolidated pensionable award - if the loading is permanent (for example, taking on additional responsibilities).
- The Recommending Committees will be provided with a record of previous changes in JESP score, and if, for example, a member of staff moves from 9 to 8, they will receive no award should they subsequently move back from 8 to 9. However, an award may be made (to reflect the 1 point increase) if an individual moves from 9 to 8 and then to 10.
- The majority of moves between paybands will follow a promotion or an additional milestone of achievement. In addition, as part of the annual awards process, the Recommending Committees will also review the appropriateness of the current payband. When making decisions about the pay and payband of staff, the same criteria that are used for initial placement will be used:
- the JESP score; and
- the level of headroom. From 1997, exceptionally high performers may be considered for a move to a higher payband in order to provide them with additional headroom and scope for progression.
- Movement to a higher payband will not automatically mean an increase in salary, unless the individual's salary is less than the minimum of their new payband, or the individual has been promoted.
- The reporting year for SCS staff runs from 1 April to 31 March. The annual award date for SCS staff is 1 April. Annual awards will be paid as soon as possible after the Senior Pay Committee has finalised individual awards, backdated to 1 April. This is subject to any staging process of the award that the Government may introduce in any one year.
- The criteria for eligibility for an award is:
- a box 3 marking, or above, in the PAR ending 31 March prior to the award date;
- 6 months' service or more in the same management level during the appraisal year; and
- at least three months' attendance during the appraisal reporting year (1 April to 31 March). Where appropriate, pro-rata awards will be paid to reflect the combined period of attendance and paid leave.
- The award due will depend upon the management level in which the officer has served six months or more. The type of award will be the same whether the individual is permanently promoted into the management level or temporary promoted, and is based on the following:
- Six months or more in the management level:
In order to receive an award based on the individual's current management level, six months or more must have been served in the current management level as at the end of the appraisal year. (ie must have been promoted, or on TP, on or before 1 October of the previous year). The award will be paid from 1 April. - Six months or less in the management level:
Where an individual has served less than 6 months in the current management level as at the end of the reporting year (ie promoted, or on TP, on or after 2 October of the previous year) an award will be due based on the lower level/designation, using the box mark attained in the lower level. The award will be paid from 1 April. - The award determination process comprises the following main stages:
- The Senior Pay Committee will review the award criteria and flat rate increases for performance and for the other elements every year. The flat rate amounts will be informed by:
- the box-marking distributions;
- the target distribution of awards;
- the rates of progression through paybands suggested by the SSRB;
- the number of awards for additional elements recommended by the Recommending Committees; and
- the overall cost.
- The Senior Pay Committee will determine the proportion of pay that will be used to reflect performance (which will be at least 80%). The Senior Pay Committee will also decide the relative importance of the additional elements when setting the criteria. They may attach different weights to the additional elements in any particular year and so set different amounts for the flat rates for the additional elements.
- This will allow the Senior Pay Committee to set, for each payband:
Principles
The mechanism for determining awards
Criteria for award calculation
Performance
+ Markings
The figures above are for illustrative purposes only and should not be viewed as indicative of actual awards.
Juniority
Job loading and additional job weight
the Recommending Committees have the discretion to reward the increase through this element of the annual award. There are two types of payment:
Appropriateness of the current payband
Procedures
Eligibility for awards
An individual recruited to the SCS from outside the Civil Service on or after 2 October in the year immediately prior to the award date is not entitled to an award for that year.
Type of award
An individual promoted into the SCS from a grade/post below the SCS between 1 April and 1 August, will remain eligible for consideration of a full lower grade/designation award, for the period 1 April of the previous year to 31 March in the year of promotion, as this will have been worked in the lower grade/designation. The award, payable from 1 August, will be added to their SCS salary. The individual will then be eligible for consideration of a full award the following April as in the above paragraphs.
Stages in the award determination process
| Stage 1: | The Senior Pay Committee will set the criteria and the flat rate amounts for each of the award elements, for each payband; |
| Stage 2: | The Recommending Committees will recommend those individuals who merit an additional award element on the basis of the criteria set; and |
| Stage 3: | The Senior Pay Committee will consider the recommended awards to ensure that the overall pay distribution is met. |
Stage 1: Senior Pay Committee
- the performance increase for each box marking; and
- the amounts that can be paid for each of the additional elements, which will allow the Recommending Committees to gauge the impact of their decisions.
- The Senior Pay Committee will also review the consolidated maximum within each payband, each year.
- The Recommending Committees will consider each individual's annual report and will decide whether they are eligible for additional payments for any of the non-performance elements:
- juniority; and
- job loading and additional job weight.
- The factors that lead to Recommending Committees recommending awards will be recorded. Individual members of staff will be provided with a breakdown of their total award and the factors upon which the elements of the award were based.
- When recommending an award for job loading and additional job weight, the committees will decide whether the factor is permanent, or temporary (in which case the payment will be non-consolidated and non-pensionable).
- When the three Recommending Committees have recommended all the individual awards, the Senior Pay Committee will consider the awards in aggregate to ensure consistency. The Committee will review the amounts of the flat rate increases in the light of the actual awards to be made in order to ensure that the pay distribution meets the overall cost constraint and reflects the pay distribution recommended by the SSRB.
- The grievance procedures apply, as set out in Chapter 10 of the Performance Appraisal Manual, in relation to individual appeals against box markings.
- In addition an appeal may be made only on the grounds that the award was not decided in accordance with the published criteria and procedures. There will be two stages of appeal:
- An appeal should first be made to the Recommending Committee which took the original individual decision.
- If the dispute is not resolved, a further appeal can be made to the Senior Pay Committee which will be specially constituted as follows:
- Within the CPS, PTDD will monitor the operation of the awards process. Externally, Cabinet Office (OPS) and the SSRB will scrutinise Departmental pay systems and the awards made to staff. OPS will hold a detailed database of information on all SCS members.
Stage 2: Recommending Committees
Stage 3: Senior Pay Committee
Appeals
For staff at ACCP level:
DCOS, an external representative and a CCP who is neither a member of the Recommending Committee that took the decision being appealed or the appellant's reporting officer.
For staff at CCP level and HQ Director level:
DPP and an external representative.
