Contents List
1.
Introduction
2.
Principles underpinning Pay and Reward
3.
Determination of Pay
4.
Salary on Appointment
5.
Salary on Promotion
6.
Pay Progression
7.
Cost of Living Awards
8.
HERA Re-Grading
9.
Performance Awards
10.
Allowances
11.
Market Supplements
12.
Retention Supplements
13.
Pay Protection
14.
Pay Processing and Calculations
15.
Delegation of Authorisation for Pay Levels
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1.
INTRODUCTION
This policy sets out the arrangements for salary and related allowances paid to staff at the
College. It details the arrangements for determination of salary and the method of pay progression for all staff.
2.
PRINCIPLES UNDERPINNING PAY AND REWARD
The College competes in the local, national and international market for talented staff of high calibre. To maintain its position of excellence, it must be able to recruit and retain high quality staff whose particular expertise may be in short supply. The primary aim of the College’s pay and reward procedures is to ensure fair and transparent arrangements which support the recruitment and retention of the highest quality staff.
Pay and reward is a complex matter with multiple procedures and policies to ensure a transparent system for all staff. A number of principles underpin the way in which the College deals with the pay and reward of its employees:
 Participation in the JNCHES (Joint Negotiation Committee for Higher Education Staff) national pay bargaining arrangements
 The adoption of the single salary spine for grades 1-9

The application of common gradings across all groups

The allocation of all staff to the pay and grading structure on the basis of job evaluation, which enables transparent, consistent and fair judgements to be made

The adoption of appropriate transparent pay mechanisms for addressing specific challenges such as retention and market rates

The College is committed to equality of opportunity in employment and will ensure that all staff receive equal pay for work of equal value and for work rated as equivalent

The College is committed to undertaking regular equal pay audits
The principles outlined in this policy relate to both internally and externally funded posts.
3.
DETERMINATION OF PAY
The Universities and College Employers Association (UCEA), in partnership with the Trades
Unions, developed the Pay Modernisation Framework Agreement in 2003 to provide a framework to modernise pay arrangements with the specific aim of promoting equality, transparency and harmonisation to ensure equal pay is delivered for work of equal value.
Following this, a national single pay scale was introduced in 2006. The creation of the grading structure and the allocation of staff to grades was based on the outcomes of institution-wide job evaluation outcomes and negotiated in partnership between individual institutions and their recognised Trade Unions.
A copy of the College’s single pay spine for staff in grades 1-9 can be downloaded from the HR website. The grade of all posts is determined through the use of the Higher Education Role
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Analysis (HERA) job evaluation scheme. Further information regarding HERA is available from the Human Resources web pages.
Grade 10 Roles
Senior roles that are evaluated through HERA as a grade 10 sit outside of the national pay framework and the single pay spine. Since August 2012 salaries have been determined by Hay evaluation with reference to the relevant market rates. This includes senior administrative staff in professional services departments as well as the Faculty Deans and Vice Principals.
Senior Administrative roles in grade 10 fall within three distinct salary groups labelled A, B and
C and these groups form the basis of a sustainable pay structure of these staff. Each role has been given an evaluative score by Hay, which is then used to determine the correct salary group. Each salary group has a base salary with two or three additional contribution points available for those who show exceptional sustained performance and/or undertake addition duties which would not be sufficient to justify the role moving to the next group in the structure. There is no automatic progression from one point to the next.
The salaries of the roles of Principal and College Secretary are determined and reviewed by the
Remuneration Committee which reports to the College’s Council.
Professoriate
In 2010, the College implemented a Professorial Pay Banding Scheme which provides transparent criteria, recognising excellence in Research, Teaching, External Engagement and
Impact and Leadership and Enhancement, for conferment of the title of Professor and for progression within the professorial pay scale. A copy of the professorial pay scale is available on the HR website.
4.
SALARY ON APPOINTMENT
Grades 1 - 9
All salary offers must be made within the standard incremental points of the grade at which the role has been evaluated. In addition, employees should normally be appointed on the first incremental point of the designated grade because of the learning curve of the job.
An appointment at anything other than the first point of the grade must be based on an assessment of the new recruit’s ability to perform the job at the fully competent level and the anticipated contribution they will make in comparison with that of existing staff in the department and (where applicable) in similar positions across the College. Authorisation to appoint above the bottom point of the grade must be sought from HR and the relevant Head of Department before confirming a salary offer with a prospective employee.
Appointment to a salary beyond the first point may also be justified where the prospective employee is in receipt of a salary and benefits package in excess of the value of the package on offer and has a significant amount of relevant experience. In such circumstances, the objective would be to make an offer at the minimum point required to secure the appointment. Where justification for this increase relates to the appointee’s current or previous salary, any
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agreement made will be subject to verification of the stated current salary i.e. through confirmation from the appropriate referee, a recent pay-slip or other relevant evidence.
The contribution points at the top of each grade should not be used for starting salary unless there are exceptional circumstances. In such cases, authorisation must be sought from the
Director of Human Resources before confirming a salary offer with the prospective employee.
Grade 10 Roles
All grade 10 senior staff salaries are determined locally and must be approved by the Principal before an offer of employment is made. The Principal will take into account the outcome of the Hay evaluations, market data, internal relativities and the prospective employee’s current/previous salary and benefits package when agreeing the salary package to be offered.
Senior administrative staff on grade 10 will be appointed to the appropriate salary group on the senior administrative staff pay structure as determined by Hay evaluation.
Professoriate
When an appointment to Chair is made, the Chair of the interview panel (usually the Principal) will review the appointee’s CV and application with the Faculty Dean in relation to the
Professorial Pay Banding Scheme in order to determine at which salary band and level the prospective employee should be appointed. The Professorial Appointment Banding Form is then completed and returned to HR alongside the standard appointment documentation.
Temporary Salary Enhancement
Under exceptional circumstances where there are difficulties securing an appointment, it may be necessary to consider offering a temporary salary supplement to the prospective employee.
This should be proportionate and for a fixed period of no more than two years. A full justification and any relevant evidence to support the payment should be retained in HR. No offer of this kind should be made without the approval of the Principal and Director of HR.
5.
SALARY ON PROMOTION
On promotion staff should normally be placed on the first incremental point of the grade relevant to the post. Where promotion is to the next grade and the scale overlaps with the individual’s existing salary, it is appropriate to offer additional remuneration to ensure that the individual is at least one increment better off as a result of their promotion.
These arrangements apply equally to secondments to posts at a higher grade.
Professoriate
The band and level to be assigned to a recently promoted Chair will be determined by the
Academic Staff and Titles Committee (ASTC). Whilst it would normally be expected that a newly promoted Professor would be assigned to band 1, this would not be appropriate in all cases.
Members of academic staff being considered for promotion to professor by ASTC will be asked to submit a Form 1 alongside their CV. This will be assessed by the Faculty Dean and a
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recommendation on each element score and the overall band and level will be made to the
ASTC.
The academic member of staff will then be notified of their banding results when their promotion is confirmed to them.
6.
PAY PROGRESSION
Grades 1 -9
In addition to any annual cost of living award, increases in salary may also take place through incremental progression. The normal expectation is that pay will progress through the grade at the rate of one increment annually up to the contribution threshold. There will be no automatic, service-related progression beyond this point and contribution points will only be available to staff who meet the criteria set out in the Performance Award Scheme.
Incremental progression takes place with effect from 1 August each year provided that the employee was in role on 31 January that year. Otherwise progression will take place the following year.
Grade 10 Roles
There are no incremental salary points for staff in Grades 10 with movement through the grade being performance related. The pay rates for staff in Grade 10 are determined by Hay evaluation with reference to market rates. Any adjustment to salary will be made with effect from 1 August that year following a review by the Principal, Vice Principal Staffing, Registrar and College Secretary and Director of Human Resources.
Professoriate
Members of the Professoriate also do not automatically progress through salary levels.
Professors will normally have their professorial pay band re-assessed on a two yearly basis.
Detailed arrangements for the ongoing operation of the Professorial Banding arrangements are under development.
7.
COST OF LIVING AWARDS
UCEA and the Higher Education Trades Unions (EIS, GMB, UCU, Unison and Unite) undertake pay negotiations nationally on an annual basis through JNCHES. The final cost of living award as recommended by UCEA is applied to all basic salaries. Additional allowances, including
Head of Department allowances and London Allowance, do not normally receive cost of living increases. Any agreed increases are normally paid with effect from 1 August.
8.
HERA RE-GRADING
The College recognises that roles may develop or grow in line with operational requirements and/or that restructuring of roles may be necessary from time to time. The HERA Re-Grading
Procedure provides a consistent, transparent and equitable procedure for assessing permanent
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and substantial changes to existing roles using the HERA job evaluation system. A copy of the
Re-Grading Policy is available from the Human Resources web pages.
9.
PERFORMANCE AWARDS
Performance awards are payments made in addition to the normal salary increments (where applicable), for exceptional performance. There are three types of award:
1.
contribution point(s) (incremental progression above the main scale for the post);
2.
accelerated incrementation within grade (more rapid progression through the main scale for the post); or
3.
one-off payment (a non-pensionable and non-consolidated award)
One off payments should be used to recognise an individual’s contribution in achieving College and departmental objectives, over and above the normal expectations for the role and which does not generally form part of normal day to day duties.
Additional increments and contribution points are paid to recognise an individual’s application of additional knowledge, skills and additional duties which are ongoing and increase their contribution in achieving College and departmental objectives, over and above both the normal expectation of the role and normal day to day duties. Applications from members of staff and recommendations from managers should only be submitted where an exceptional case can be made. The panel will only approve applications and recommendations for contribution pay where genuinely exceptional levels of performance can be demonstrated.
Performance award applications are usually considered on an annual basis by the Academic
Staffing and Titles Committee for academic staff and by the Performance Award Panel for non academic staff.
The performance award procedure applies to all members of staff excluding members of the professoriate as increased academic standing is reviewed through the Professorial Pay
Banding Scheme. Applications from senior staff in grade 10 will be reviewed by the Principal,
Deputy Principal, Registrar and College Secretary and Director or Deputy Director of Human
Resources.
A copy of the Performance Award Policy and Procedure is available from the Human
Resources web pages.
10.
ALLOWANCES
London Allowance
As a College of the University of London and in recognition that the cost of living in the local and London areas is higher than the rest of the UK, the College pays pensionable London
Allowance of £2,134 in addition to basic salary. This allowance is payable to all staff groups and is pro-rated for part time staff. London Allowance is not affected by the annual cost of living awards.
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London Allowance is capped at £2,134 per annum and is not taken into consideration for overtime payments.
Head of Department Allowances
The College has a standard Head of Department Allowance which is paid to all Heads of
Department for the duration of their Headship. The Allowance is reviewed on a three yearly basis and is not normally pensionable.
Associate Dean Allowance
Employees appointed to the role of Associate Dean will receive an additional allowance for the duration of their appointment. The allowance will cease when they no longer undertake the role of Associate Dean. In addition, an additional sum each year to support their research and/or training, subject to negotiation and approval by the relevant Head of Department and
Faculty Dean, is also available. These additional allowances will cease when the employee no longer undertakes the role of Associate Dean. Associate Dean allowances are reviewed on a three yearly basis and are not pensionable.
Acting Up Allowances
The College recognises that there are times when it is necessary for an employee to take on the role of a more senior colleague for a temporary period. This provides cover for the College and developmental opportunities for the employee involved. Where the employee takes on responsibility of the more senior role for at least four weeks, for any reason other than the annual leave of the other employee, it is considered appropriate that some financial recognition of this should be made. However, it should be noted that reasonable cover for colleagues is expected from all members of staff.
The acting allowance should be the difference between the employee’s existing salary and the minimum point on the scale for the higher graded post, provided that the employee benefits by at least one incremental point. Once the qualifying period of four weeks has been satisfied, the acting allowance will be paid with effect from the first day of acting up.
The above provision does not apply where the employee only undertakes part of the duties and responsibilities of a higher graded post. However, it may be decided that the employee should receive a one off payment or an appropriate percentage of the acting allowance, where he or she performs duties outside the scope of their post for an extended period or where the additional duties and responsibilities involved are exceptionally onerous.
A copy of the College’s Acting Up Policy is available from Human Resources web pages.
11.
MARKET SUPPLEMENTS
The College recognises the need to attract and retain staff recognised for their expertise, skill or specialism within a particular field. A market supplement is an addition to the normal salary for a post and provides a transparent mechanism in cases where the evaluated grade does not match the market rate.
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The College has a Market Supplements Policy which outlines when a payment of a market supplement might be appropriate, the process by which these cases are considered and approved, the conditions applied to them and how this will be monitored. Market supplements will only be paid where there is sufficient evidence to support the case for the supplement. The evidence will provide the ‘material reason’ for a higher pay level than other posts in the same grade.
A copy of the Market Supplement Policy is available from the Human Resources web pages.
12.
RETENTION SUPPLEMENTS
A retention supplement may be made to an individual because of their personal market worth.
It is a separately identified payment, made in addition to the established salary for a role, which is essential to increase total pay to a level sufficient to retain staff in competitive market conditions while maintaining the link between pay and job evaluation.
The College recognises and accepts that members of staff may, at some point during their employment, wish to further their careers and explore new opportunities with other institutions. It is important to note that there is no contractual entitlement to a retention supplement. However, in exceptional circumstances, when a member of staff’s personal market worth has significant strategic value, the College may offer a competitive pay package in order to retain them. Any retention supplement will be time limited and evidence to support the need for a supplement must be retained. All retention supplements must be approved by the Principal and the Director of Human Resources.
A copy of the College’s Retention Policy is available from the Human Resources web pages.
13.
PAY PROTECTION
The College offers transitional pay protection to members of staff in a limited number of circumstances including:

Staff whose posts have been red-circled (see below) as a result of job evaluation

Staff redeployed into a lower paid job in accordance with the College’s redeployment arrangements for redundancy situations.

Staff whose market supplement payment is to be reduced or removed following a review of market conditions
Red circling is the process of protecting the pay of an employee whose current pay is higher than the grade established for their role by job evaluation. Red circling may apply where the size or scope of a role has reduced as a result of restructuring, operational changes or the introduction of new technology,
Pay protection will not apply when a member of staff changes to a lower grade due to:
 Returning to a substantive post following a secondment to a higher grade
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
Redeployment in accordance with the College’s Capability Policy and Procedure

Applying and accepting a new role at a lower salary when not at risk of redundancy
Different periods of pay protection have been afforded in the past. However, following more recent guidance and prevailing case law, short term protection of no more than 2 years is offered to provide time for staff to accommodate the financial impact of a reduced salary. The member of staff’s salary will be frozen at their current level and they will not be entitled to receive cost of living awards during the period of pay protection.
Where cost of living increases result in a frozen salary becoming lower than or equal to the correct salary grade, the member of staff will no longer be red-circled and normal cost of living awards will be applied in future.
Should a member of staff’s salary remain red-circled at the end of the period of pay protection, their salary will be reduced to the pay point on the correct grade that is closest to their current salary. This will include any contribution points available for the correct grade if necessary.
14.
PAY PROCESSING AND CALCULATIONS
Salary payments for all staff will be made monthly, in arrears, by direct credit transfer.
Payment will usually be made on the 27 th of the month or before if the 27 th falls on a weekend of Public or College holiday.
Part time members of staff, including casual staff, variable hour staff and visiting teachers, will be paid on a pro-rata basis equivalent to the full time salary and evaluated grade.
15. DELEGATION OF AUTHORITY FOR PAY LEVELS
Pay Level/Supplement Authorisation
Head of Department Grades 1-5
Grades 6-9 (excluding academic roles)
Academic
Head of Department
Faculty Dean
Faculty Dean & Principal Professorial
Grade 10 - Senior Administrative Roles
Grade 10 - Faculty Dean & Vice Principal
Registrar or Principal
Principal
Principal & College Secretary
Market Supplements
Remuneration Committee
Principal & Director of HR
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Retention Payments
Temporary Salary Enhancements
Performance Awards (including contribution points and accelerated increments)
Principal & Director of HR
Principal & Director of HR
Performance Award
Panel/ASTC
Policy Schedule
Policy Title
Policy Owner
Policy lead contact
Consultation with College Unions
Approving Body
Date of Approval
Date of implementation
Version Number
Pay Policy
Human Resources
Deputy Director of Human Resources
UCU, UNITE and GMB
Remuneration Committee
September 2013
September 2013
2 – updated September 2014
Review Interval Three yearly
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