Public sector pay policy 2021 to 2022: technical guide

9. Pay Policy Quick Reference

Guaranteed Pay Increases and Thresholds

• Cash underpin of £800 for those earning a full-time equivalent salary of £25,000 or less.
• Basic pay increase of 2 per cent for those with a full-time equivalent salary of more than £25,000 and up to £40,000.
• Basic pay increase of 1 per cent for those with a full-time equivalent salary of more than £40,000 and up to £80,000. Limits the basic pay increase for those earning £80,000 or more to £800.

Low pay measures

• Requirement for employers to pay the real Living Wage (£9.50 per hour).
• Cash underpin of £800 for those earning a full-time equivalent salary of £25,000 or less.

Addressing inequalities

• Provides the flexibility for employers to use up to 0.5 per cent of paybill savings to address evidenced equality or pay coherence issues.
• Employers will also be able to carry forward any unused paybill savings from 2020-21, potentially taking total flexibilities for 2021-22 to a maximum of 1 per cent.

Other Elements

• Retains the position on progression as a matter for discussion between employers and their staff and/or representatives (limited to a maximum of 1.5 per cent for Chief Executives).
• Introduces discretion for individual employers to consider working towards standardising to a 35 hour working week if and when it is practical to do so.
• Continues the commitment to No Compulsory Redundancy.
• Maintains the suspension of non-consolidated payments (bonuses).
• Continues the expectation to deliver a 10 per cent reduction in the remuneration package for all new Chief Executive appointments.

Scottish Chief Executive Pay Framework 2021-22 (base pay)

Chairs & Members Daily Fee Framework 2021-22 (gross daily fees)