Teachers’ Pay Award 2015 – HR Advice - Update 9 July 2015
Further to our update a few weeks ago, the Consultation draft of the Teachers’ Pay &
Conditions Document 2015 was issued on 7 July, and although the consultation does
not close until 30 July, the Secretary of State has clearly decided to continue with the
Review Body’s pay recommendations in full.
NOTE: Although it is extremely unlikely that there will be any change, the new pay
structure is not in force until the final Document is published – almost certainly during
August 2015.
As previously communicated, the recommendations are as follows:
Main Pay Range
 An uplift of 1% to the minima of the range
 An uplift of 2% to the maxima of the range
Upper Pay Range, Leading Practitioner Range, Unqualified Teachers Range
 An uplift of 1% to the minima and maxima of the range
Allowances in the national framework i.e. Teaching and Learning Responsibility
Payments (TLRs) and Special Education Needs (SEN) allowances
 An uplift of 1% to the minima and maxima of the TLR payment and SEN allowance
ranges
Leadership group range
 An uplift of 1% to the minima of the overall leadership group range
 No uplift to the maxima of the overall leadership group range
 An uplift of 1% to the minima of each of the eight head teacher group pay ranges
 No uplift to the maxima of each of the eight head teacher group pay ranges
The statutory position
 Any teacher on the minimum of the Main, Upper and Unqualified Teacher Pay
Ranges on 1 September must have their salary increased by at least 1%.
 Any member on the minimum of the Leadership Pay Range and any headteacher
on the minimum point of the relevant group pay range on 1 September must have
their salary increased by at least 1%.
 Any teacher in receipt of the minimum TLR1, TLR2, TLR3 or SEN Allowance on 1
September, must have that payment increased by at least 1%
 Any and all other increases (to individual teachers and to pay scales operated by
schools) are entirely discretionary and the Government expects that any decision
to increase the salaries or allowances of those above the minimum will be linked to
performance. NB increases above the minimum of any Range can be any
percentage from 0% upwards (but see next bullet)
 Any increases to those on the maximum of any pay range must not increase pay
above the new maximum for that pay range (proposed 1% for Upper and
Unqualified Pay Ranges, 2% for Main Pay Range, 0% for Leadership Pay Range
and Group Ranges and 1% for TLR and SEN allowances.)
The Government’s approach, presupposes schools do not operate pay scales.
However, most schools wanted to continue to operate a pay scale and this
necessitates a more consistent application of any award – i.e. an inflationary increase
has to be applied to all scale points on those scales and to individual teachers on
those scale points. To not do so would skew the scale, erode differentials between
points and leave individual staff on the same point but on different values.
The statutory position also has to be viewed in the context of individual Pay Policies
and clearly the anomalous increase of 2% was not anticipated when Pay Polices were
set last year and this increase may present some challenges.
Application of the award
You will be aware that given the considerable freedoms now available to schools and
academies in relation to pay, we seek to provide guidance on the range of options
available and in relation to the 2015 Pay Award, these are set out below. These must
be considered in the context of your Pay Policy, the pay structure you have adopted
(eg number of scale points) and the statutory position set out above.
In additionally Academies are not bound by the terms of the Pay Award, subject to
relevant provisions in their Pay Policy.
1. The simplest and least controversial option is to apply the 2% to the maximum
point on the Main Pay scale, and apply it to all staff on that point, and to apply 1%
to all other points and staff (other than maxima for leadership groups/range).
2. Some schools have expressed concerns about the affordability of the 2% increase
on the Main Pay Range. In this context the following options may be considered.
However, schools and academies are advised to give very careful consideration to
the genuine financial difficulties (the difference between 1% and 2% is
approximately £350 per teacher), as non-application of the 2% is likely to lead to
conflict with staff and the trade unions (see below).
2a. Apply the 2% to the maximum point on the Main Pay scale and apply it all staff on
that point. Apply 1% to maximum of all Upper and Unqualified scales and apply to
all staff on those points. Apply 1% to all minima points and all staff on those points.
Apply less than 1% to the points in-between, either on the main or all ranges, to
offset the costs of the 2%.
o This is permitted by existing pay policies which refer to “applying the pay
award”, as the pay award applies only to the minima and maxima of the pay
ranges. It will however distort the pay scales and is likely to be very
unpopular with staff.
2b. If your Pay Policy currently indicates that you will apply inflationary increases
across all scales and teachers, amend the Pay Policy (following staff consultation)
before 1 September. However the timing of the publication of TPCD makes it
extremely difficult to manage a meaningful consultation by September in which
case the pay award will have to be applied in line with existing Policies as above.
The suggested amendment would be to Inflationary increases (3.2):
“The school will ensure that the values of the minimum point of each pay range in this
Policy are in line with the minimum of the corresponding ranges set out in the Teachers’
Pay and Conditions Document. The values of points on the scales above the minimum will
be determined annually by the Governing Body. In making its determination the Governing
Body will have regard to any national pay award and any requirements set out in Teachers’
Pay and Conditions.”
This amendment will allow schools to either:
Apply 1% to all points and teachers on the Main Pay Range (and 1% to all other
points and teachers as permitted).
 This option will leave schools with a Main Scale with a maximum below the
national maximum. This may not be sustainable in the long term,
particularly if other schools are offering the higher maximum.
or
ii.
Apply 1% to the maximum point on their Main Pay scale, and apply that to
individual teachers on that point but allow for 2% to be awarded to those that
demonstrate exceptional performance. Schools will need to be very careful in
being able to objectively and robustly demonstrate differential performance to
avoid equal pay claims.
 Schools adopting this approach are advised to denote the salary associated
with a 2% increase as progression stage/Point 6a (or similar) – to avoid
ambiguity regarding what salary a teacher paid at progression stage/Point 6
is being paid.
i.
If you wish to amend your Pay Policy, we attach an example of a consultation
paper which may assist you (with thanks to MB). You must adapt this to your own
circumstances and bear in mind the opportunity to consult staff within the required
timescale.
Allowances
The position regarding allowances is the same. The minima must be increased.
Anything above this is discretionary and should be considered as for the pay scales.
Pay Policy
Our revised Draft is currently with Unions for consultation and will be published in its
final version as soon as the final TPCD 2015 is published. We have amended the
section on inflationary increases as indicated above (2b) to ensure schools have
maximum flexibility in the future.
The union position
Schools should be aware that certainly some of the professional associations are
strongly opposed to discretionary application of inflationary increases and will expect
all employers to apply 1% to all teachers (except leaders on the top of the group
ranges) and 2% to those on the top of the Main Scale.
The NASUWT have issued advice to its members to insist upon a strict application of
the national pay award. It has however, in our view, misrepresented the statutory
position by implying that it is mandatory for schools to increase the maxima of their
pay ranges to the levels set out in TPCD. However, this is not mandatory – only the
minima must be increased – all other increases are discretionary, but must be
considered in line with your pay policy. ASCL have issued more moderate advice and
we expect further advice from other Unions in due course.
Reference Pay Points
Finally, the Government has indicated that they will not be publishing reference points
for any of the scales. We have however provided these for your information (as
helpfully published by ASCL). You will need to amend where you have adopted a
different pay structure/number of points.
Note:


The Leadership range is complicated by the fact that the leadership group may not
receive an increase if at the top point of their relevant group size, but as there is an
overlap of points between group sizes, they may receive an increase on the same
point where it is not the top of a group size.
The Main Pay Range has two amounts at the top to reflect the issues discussed.
Where 2% is being applied to the top of the Main Pay Range, use the Point 6a
figure. Where 1% is being applied delete 6a and use the Point 6 figure.
The Future
We do not anticipate that the recent budget announcement that Public Sector Pay will
be restricted to 1% will alter this year’s pay award, although this will not be certain until
the consultation period ends and the final TPCD is published. Nor can we be certain
that this will not lead to higher award in the future – after all a 1% restriction on public
sector pay has been the Government’s position for the last few years and this has not
been applied universally this year.
Payroll
Payroll will not apply any uplift to teacher’s pay on 1 September. Schools will need to
advice Payroll of the relevant pay for individual staff in accordance with instructions
issued by them in due course.
Example Consultation Paper
Context
The School Teachers Review Body(STRB) (under direction from the Department for
Education) has removed incremental pay rises based on length of service, and made all pay
rises for teachers performance related. This is enforced by Ofsted, who check that teacher
pay awards are performance based. In response to this, and following consultation, Governors
introduced a pay policy that retained the principle of scale points within the pay range,
allowing teachers to know what their pay is likely to be as they move through their careers.
This also allows the school to:
 Apply performance related pay rationally, consistently and fairly,
 Plan its budget
There was no intention to move away from the principle that the school would implement
national inflationary pay awards, and in all cases since then the school has done so.
The Financial Situation for Schools
National pay awards have not been funded by Government for some time. Schools have had
to pay them from existing “flat cash” or (some cases eg Sixth Form funding) sharply reducing
budgets. At the same time, there has been a significant increase in the costs of employing
teachers in the shape of an increase to employers’ National Insurance contributions, and
employers’ contribution to the Teachers’ pension scheme (neither of which increases
teachers’ take home pay, but effectively represents a cut to school budgets). This will not
change in 2015-16 and is unlikely to change for at least the next two years. This places schools
in a very difficult financial position.
The School anticipated and has budgeted for a 1% inflationary increase in teachers’ pay from
September 2015. Through careful financial planning and the high productivity levels of its
teachers and support staff the school can afford to deliver this, and remain financially viable
until the end of the 2017 – 2018 school year (this is as far ahead as it is possible to plan).
The proposed/actual changes are
The 2015-16 National Pay Award
Main Pay Range
 An uplift of 1% to the minima of the range
 An uplift of 2% to the maxima of the range
Upper Pay Range, Leading Practitioner Range, Unqualified Teachers Range
 An uplift of 1% to the minima and maxima of the range
Allowances in the national framework i.e. Teaching and Learning Responsibility Payments (TLRs) and
Special Education Needs (SEN) allowances
 An uplift of 1% to the minima and maxima of the TLR payment and SEN allowance ranges
Leadership group range
 An uplift of 1% to the minima of the overall leadership group range
 No uplift to the maxima of the overall leadership group range
 An uplift of 1% to the minima of each of the eight head teacher group pay ranges
 No uplift to the maxima of each of the eight head teacher group pay ranges
These recommendations assume that there are no scale points within pay ranges, as this is the
preferred position of the Department for Education.
The decision not to set a single national inflationary percentage increase, and to increase the
maxima of the main range by more than the minima was not anticipated, and makes it
extremely difficult for schools such as ours that have decided to retain pay scales and to
mirror national inflationary pay awards. The decision to increase the minima but not the
maxima of leadership scales has a similar effect.
Our Proposal for Staff Consultation
The Governing Body proposes that:
 All points on the school’s teacher pay scale, together with all allowances, are increased
by 1% from September 2015
 To allow this, the paragraph on Inflationary Increases in our Pay Policy be changed
from:
o The value of pay ranges, including any performance pay progression stages, will be
increased annually in accordance with the inflationary percentage determined
nationally. All teachers and support staff will receive any nationally agreed inflationary
increase.
To
o The school will ensure that the values of the minimum point of each pay range
in this Policy are in line with the minimum of the corresponding ranges set out in
the Teachers’ Pay and Conditions Document. The values of points on the
scales above the minimum will be determined annually by the Governing Body.
In making its determination the Governing Body will have regard to any national
pay award and any requirements set out in Teachers’ Pay and Conditions.
The alternative to this amendment whilst maintaining the sustainability of our budget would be
to increase the highest point on our Main Pay Range by 2%, the lowest by 1%, and the points
between them by significantly less than 1% in order to offset the cost of the 2% rise at the top
point. Although allowable within our existing policy, and in line with the 2015 STRB
recommendation, this would distort our salary range, and penalise those who are not either
at the top or the bottom point of it.
Proposals for dealing with the STRB recommendations on leadership pay will need to be
determined by the Governing Body as there is an obvious conflict of interest that makes it
inappropriate for Senior Leaders in school to be advising the Governing Body on this, or to be
party to this decision making process.
The Governing Body will need to make a decision on teacher’s pay early in September to
ensure that any inflationary increase appears in teachers’ September pay.
Responses to the proposals set out above are invited from all staff and should be
made via email to xxxxx by xxxxx 2015.