Schools’ HR Advisory Service Dear Colleague, School teachers’ pay award 2015/16 The 2015 School Teachers’ Pay and Conditions Document (STPCD) has now been finalised and was published on 10 August 2015. It is anticipated that discussions on school pay policies including decisions on what pay award to apply will already be taking place or be scheduled. The LGA and DfE have produced documents to assist with those discussions. This document seeks replicate the key points published by those bodies for Headteachers, Governing Bodies, School Business Managers and those dealing with HR and finance to consider. The principles underlying the core non-pay conditions remain unchanged. The 2015 STPCD contains figures for the following salary ranges: Leadership range Head teacher group ranges Main Pay Range Upper Pay Range Unqualified range Leading Practitioner range It does not specify pay points within the minima and maxima of these ranges. The School Teachers’ Review Body (STRB) recommendations for the pay award for 2015/16 have been accepted in full by the Government. These recommendations, which relate to the national pay ranges, rather than to the pay of individual teachers, are as follows: 1% uplift to the minima of all the pay ranges 1% uplift to the maxima of the Upper Pay Range, Unqualified Range and Leading Practitioner range 2% uplift to the maximum of the Main Pay Range No uplift to the maximum of the Leadership Pay Range No uplift to the maxima of the eight Headteacher group ranges Individual school pay policies for 2014/15 will have set out the basis for determining the level of any pay progression for the school’s teachers, including the Headteacher, from 1 September 2015. All pay decisions must be made on objective criteria so that there is no discriminatory effect on any teacher or group of teachers with a particular protected characteristic under the Equality Act 2010. Schools are free to withhold progression pay without any requirement to initiate or consider capability proceedings. There should be scope, where justified by consistently excellent performance, for the most able teachers to progress rapidly. It is up to each school to decide for itself how best to implement the arrangements and develop its policies accordingly. No single approach will suit all schools. School appraisal policies need to continue to reflect the links between performance and pay. In September 2015 it will be a statutory requirement to uplift the salary of teachers paid on the minima of the ranges by 1%, i.e. to ensure no teacher is paid below the national range. Other than this, whilst schools are not obliged to do so, they may decide to set their own pay points within a pay range in their local policies, if they judge it appropriate to their needs. One option is to continue to use the previous pay scale points (uprated as appropriate) as the basis for an annual pay award. For those schools using the HCC payroll solution offered via Serco it should be noted that from 01 September, adjustments will be made to ensure those being paid on the bottom of a range have their pay adjusted, ensuring each school is compliant with the statutory pay framework. Whilst previously indicating that it would not do so the LGA has produced such points, set out in Appendix 1. Hertfordshire has continued to produce reference points to date to offer a framework for consideration since they were removed from the STPCD. The figures for inner and outer London have been removed to avoid confusion as they do not apply in Hertfordshire. The England and Wales figures are for those schools outside of the fringe area. Under Section 3, Paragraph 5, the STPCD states; “When making their annual pay determinations, relevant bodies will need to consider how to apply uplifts set out in Part 2 of the Document to individual salaries and pay ranges, and how to take account of the uplift to the national framework in making individual pay progression decisions”. Note that Appendix 1 contains two values for the maximum point of the Main Pay Range, demonstrating the values of both a 1% and a 2% uplift. The LGA do not specifically recommend the adoption of either a 1% or a 2% uplift to the salaries of teachers at the top of the Main Pay Range, but merely provide the figures for both, a position which Herts for Learning mirrors. This is because, notwithstanding the 2% uplift to the maxima of the national range, relevant bodies have the option of differentiating the award at the maximum if their 2014 pay and appraisal policies provide a sound evidence-based process for doing so. The 2% uplift to the maxima of the main pay range from September 2015 does not mean that all teachers currently on the maxima should receive a salary increase of 2% – a 2% increase should only be awarded where it is merited by performance. Freezing of the maximum point of the leadership group range and the maxima of the eight Headteacher group ranges does not mean those points must be frozen where they apply when a Headteacher who is not at the top of a school group range; or to a Deputy or Assistant Headteacher. For this reason Appendix 1 contains alternative values for these points, one set remaining at 2014 levels, the other uplifted by 1%. For the avoidance of doubt, Headteachers on the maximum of their Headteacher pay group will not be eligible for pay progression from September 2015. 2 Schools generally have greater flexibility to decide how they wish to reward their leadership teams to reflect individual performance and the challenges of the post. However the pay of Headteachers or leadership teams in post only have to be reviewed when there have been significant changes to responsibilities since September 2014. Note that ultimately it is for schools to determine how they translate the uplift to the national ranges in to their own pay decisions, ensuring that they are consistent with the provisions of the school’s pay policy. For those schools using the HCC payroll solution offered via Serco it should be noted that from 01 September, adjustments will be made to ensure that all those being paid on the bottom of a range have their pay adjusted ensuring that each school is compliant with the pay framework. The Performance Related Pay screen for teachers will be open from September, however schools should not amend records until appraisal recommendations have been approved by the Governing Body. In August all teachers on the HCC payroll were moved to a M0, U0 and L0 salary point which in effect is a free entry facility in the pay system. The reference points have been uplifted to take account of the STRB recommendations. Main Range points 1-5, Upper Pay Range points 1-3, the Leading Practitioner Range and Leadership Range points 1-42 have been uplifted by 1%. Main Range point 6 has been uplifted by 2% and Leadership Range point 43 has not been uplifted. TLRs and SEN allowances have been uplifted to comply with the statutory ranges, for these allowances only; schools will be invited to submit a spreadsheet of the uplifts that they wish to apply. In future it is hoped that these will be incorporated into the Performance Related Pay portal screen, enabling schools to submit the uplifts determined by the Governing Body for those allowances. The HCC payroll system does not contain group size information. It has therefore not been possible to build in functionality to address the requirement to not apply an award to Headteachers paid at the top of their group. Governing Bodies will need to consider whether this applies to them before confirming the position to apply to their Headteacher. Pay policies: Schools must ensure their pay policies are clear that performance-related progression provides the basis for all decisions on pay, for classroom teachers and leaders. Schools should review their pay and appraisal policies annually to clarify their approach to making performance-based pay decisions, and to set out how pay decisions will take account of performance in applying any uplift to the national pay range framework. The DfE guidance related to the implementation of the 2015 STPCD may be found via the following link: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/452050/Imple menting-your-school_s-approach-to-pay.pdf 3 LEADERSHIP GROUP PAY RANGE Discretionary Reference Points 2015/16 England & Wales Fringe 2015 2015 2014 2014 38,598 39,660 1 38,215 39,267 39,564 40,629 2 39,172 40,226 40,552 41,616 3 40,150 41,203 41,562 42,631 4 41,150 42,208 42,597 43,667 5 42,175 43,234 43,665 44,733 6 43,232 44,290 44,841 45,911 7 44,397 45,456 45,876 46,939 8 45,421 46,474 47,021 48,088 9 46,555 47,611 48,228 49,295 10 47,750 48,806 49,481 50,544 11 48,991 50,043 50,620 51,690 12 50,118 51,178 51,886 52,956 13 51,372 52,431 53,180 54,247 14 52,653 53,709 54,503 55,566 15 53,963 55,015 55,951 57,020 16 55,397 56,455 57,237 58,312 17 56,670 57,734 58,096 59,151 18* 58,096 59,151 58,677 59,743 18 58,096 59,151 60,131 61,198 19 59,535 60,592 61,623 62,694 20 61,012 62,073 62,521 63,585 21* 62,521 63,585 63,147 64,221 21 62,521 63,585 64,715 65,785 22 64,074 65,133 66,318 67,383 23 65,661 66,715 67,290 68,350 24* 67,290 68,350 67,963 69,034 24 67,290 68,350 69,652 70,717 25 68,962 70,016 71,375 72,446 26 70,668 71,728 72,419 73,474 27* 72,419 73,474 73,144 74,209 27 72,419 73,474 74,958 76,022 28 74,215 75,269 76,814 77,884 29 76,053 77,112 78,726 79,789 30 77,946 78,999 79,872 80,932 31* 79,872 80,932 80,671 81,742 31 79,872 80,932 82,676 83,747 32 81,857 82,917 84,731 85,801 33 83,892 84,951 86,825 87,896 34 85,965 87,025 88,102 89,162 35* 88,102 89,162 88,984 90,054 35 88,102 89,162 91,187 92,254 36 90,284 91,340 93,454 94,521 37 92,528 93,585 95,766 96,833 38 94,817 95,874 97,128 98,182 39* 97,128 98,182 98,100 99,164 39 97,128 98,182 4 100,548 101,619 40 99,552 100,612 103,060 104,128 41 102,039 103,097 105,642 106,712 42 104,596 105,655 107,210 108,271 43 107,210 108,271 * Scale points to be applied only to Headteachers at the top of the school group range in the academic year 2014/15, indicating no uplift for 2015/16. MAIN PAY RANGE Discretionary Reference Points 2015/16 England & Wales 2015 2014 22,244 Minimum M1 22,023 24,002 M2 23,764 25,932 M3 25,675 27,927 M4 27,650 30,128 M5 29,829 32,509 M6a 32,187 32,831 Maximum M6b Fringe 2015 2014 23,313 23,082 25,070 24,821 26,999 26,731 29,001 28,713 31,196 30,887 33,577 33,244 33,909 UPPER PAY RANGE Discretionary Reference Points 2015/16 England & Wales Fringe 2015 2015 2014 2014 35,218 36,287 Minimum U1 34,869 35,927 36,523 37,590 U2 36,161 37,217 37,871 38,941 Maximum U3 37,496 38,555 UNQUALIFIED TEACHER PAY RANGE Discretionary Reference Points 2015/16 England & Wales 2015 2014 16,298 Minimum 1 16,136 18,194 2 18,013 20,088 3 19,889 21,984 4 21,766 23,881 5 23,644 25,776 Maximum 6 25,520 Fringe 2015 2014 17,368 17,196 19,262 19,071 21,158 20,948 23,053 22,824 24,949 24,701 26,843 26,577 Leading Practitioner Range 2015/16 England and Wales £38,598 to £58,677 Fringe £39,660 to £59,743 Additional Allowance Ranges TLR3 TLR2 TLR1 SEN £517 to £2,577 £2,613 to £6,386 £7,546 to £12,770 £2,064 to £4,075 5