3% pay rise demanded by council workers is branded 'outrageous'

Published on Wednesday 25 November 2009 22:04

SCOTTISH ministers were last night under pressure to intervene early in a pay row between councils and their employees as the two sides braced themselves for a protracted dispute.

A pay claim submitted by unions yesterday is for a 3 per cent or 600 rise – whichever is greater – and a minimum pay rate of 7 an hour.

Senior council figures branded the claim "outrageous" in the current economic climate.

Members of the Convention of Scottish Local Authorities (Cosla) have been pushing for a pay freeze of up to five years to help cope with the increasing strain on council finances.

The entrenched positions mean industrial action – including strikes causing a massive disruption to services – could take place early next year if no agreement can be found on the payment of Scotland's 150,000 council employees.

Dougie Black, Unison's lead negotiator, said: "This claim is simply an attempt by our members to maintain their standard of living in the teeth of what is predicted to be increasing inflationary pressures.

"Our members in Scotland's local councils have delivered around 200 million worth of efficiency savings, with a loss of around 7,000 jobs. It is only fair councils should share these efficiency savings with staff as well as council tax payers."

Cosla insisted it would consult its members before making a formal response. But Michael Cook, the body's strategic human resource management spokesman, warned: "Local government and the public sector more generally are facing a future financial and economic climate which will present unprecedented challenges.

"These challenges will require a careful balance between pay restraint and affordability."

Privately, many council leaders are seething about the pay claim, made at a time when their budgets are decreasing in real terms because of efficiency savings needed to help address the UK's recession debt of more than 1 trillion.

One senior councillor, who asked not to be named, said: "The fact the unions have made such an outrageous claim will only harden the resolve of many council leaders to press for a pay freeze."

Last night, opposition parties called on finance secretary John Swinney to step in.

Labour's local government spokesman Michael McMahon said: "SNP ministers should not stand on the sidelines and wash their hands of this."

Scottish Lib Dem leader Tavish Scott added: "The finance secretary needs to get around the table early to head off any threat of industrial action."

But Mr Swinney looks set to resist calls to get involved as he did last year when local government staff held two one-day strikes.

A Scottish Government spokesman said: "It is the responsibility of councils through Cosla and the unions to reach an agreement."

Susie Squire, of the Taxpayers, Alliance, said: "This claim shows how out of touch they are with what is happening with the rest of the economy."