PROPOSAL FOR RECRUITMENT AND RETENTION PREMIA
– JCNC SUB-GROUP
15/09/2011 AC/v1
Proposal for Recruitment and Retention Premia ’s
September 2011
D R A F T
1. Introduction
This proposal sets out the background as to why recruitment and retention premia was implemented at the Trust, the justification for carrying out reviews and the procedure to be applied when reviewing recruitment and retention premia to those staff groups who currently receive the recruitment and retention premia.
2. Background - Agenda for Change in Context
A recruitment and retention premia is expressed in Section 5.1 of the latest version, amendment 24 of the NHS Terms and Conditions of Service Handbook. It states:
‘A recruitment and retention premium is an addition to the pay of an individual post or specific group of posts where market pressures would otherwise prevent the employer from being able to recruit staff to and retain staff in, sufficient numbers for the posts concerned, at the normal salary for a job of that weight.
’
The handbook Section 5.8 to 5.11 provides the following information regarding short term and long term recruitment and retention premia:
‘5.8 Short-term recruitment and retention premia will apply where the labour market conditions giving rise to recruitment and retention problems are expected to be shortterm and where the need for the premium is expected to disappear or reduce in the foreseeable future.
5.9 Long-term recruitment and retention premia will apply where the relevant labour market conditions are more deep-rooted and the need for the premium is not expected to vary significantly in the foreseeable future.
5.10 Short-term recruitment and retention premia:
• may be awarded on a one-off basis or for a fixed-term;
• will be regularly reviewed;
• may be withdrawn or have the value adjusted, subject to a notice period of six months; and
• will not be pensionable or count for purposes of overtime, unsocial hours payments or any other payments linked to basic pay.
5.11 Long-term recruitment and retention premia:
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PROPOSAL FOR RECRUITMENT AND RETENTION PREMIA
– JCNC SUB-GROUP
15/09/2011 AC/v1
• will be awarded on a long-term basis;
• will have their values regularly reviewed;
• may be awarded to new staff at a different value to that which applies to existing staff; and
• will be pensionable, and will count for the purposes of overtime, unsocial hours payments and any other payments linked to basic pay. ‘
The review is explained in Annex J (Appendix 1) of the NHS Terms and Conditions of
Handbook and says that the review should consider, amongst other factors:
How far the recruitment and retention premia have allowed the NHS organisation to reduce its vacancy rates and turnover;
The likely impact on vacancies of removing or reducing a recruitment and retention premium;
Any changes in labour market circumstances.
It also states:
The principle consistent with equal pay for work of equal value should be that where the need for a recruitment and retention premium is reduced or has ended, short-term premia should be reduced or withdrawn as soon as possible, consistent with the protection period in Section 5. Long-term premia should be adjusted or withdrawn for anyone offered a qualifying post after the decision to withdraw or reduce the premium has been made.
Annex R (Appendix 2) provides the details for the withdrawal of nationally agreed recruitment and retention premia and transitional arrangements. These national arrangements were provided to a specific list of jobs for which there was prima facie evidence that a premium was necessary to ensure the position of the NHS was maintained during the transitional period.
However, the Hartley Employment Tribunal determined that the National Recruitment and Retention Premia (NRRP) in payment to maintenance craft workers was justified until 31 March 2011 but must cease after that date unless a review demonstrated continuing justification. The Tribunal also determined that any protection would need to be justified. On that basis the NHS Staff Council commissioned a review which recommended that all NRRP including those paid to maintenance craft workers and chaplains should cease after 31 March 2011 or be converted to a local RRP where appropriate.
Annex R states that the transitional arrangements should be protected for a transitional period of two years as follows:
•
•
Year one: 100% - 100% of payment at current value
Year two: 50% - 50% of the payment at current value.
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PROPOSAL FOR RECRUITMENT AND RETENTION PREMIA
– JCNC SUB-GROUP
15/09/2011 AC/v1
On 1 April 2013 all payments will cease, subject to the outcome of a Staff Council review demonstrating evidence to support continuation of a National Recruitment and
Retention Premia.
3. Justification for Reviews
Northampton General Hospital has not consistently applied the review process set out in the NHS Terms and Conditions of Service Handbook as no reviews for either shortterm or longterm recruitment and retention premia’s have taken place in the Trust for most staff groups since Agenda for Change was implemented.
Historically, it is believed that a number of the staff groups receiving the payment have done so following receipt of the Cost of Living Supplement (CoLs) prior to the introduction of agenda for change.
The Cost of Living supplement was transferred to a long term recruitment and retention premia and Annex 2: Guidance on frequently asked questions Part 2 Section 4
Footnote number 1 says that where a member of staff is in receipt of a CoLs based
RRP (4.7 and 46.5) and is promoted within the same Trust they would continue to receive it providing they remain in the staff group meeting the eligibility criteria which suggests it can be removed if the eligibility criteria no longer remains. Annex H
(Appendix 3) of the NHS Terms and Conditions of Service Handbook demonstrates that
Northampton General Hospital is no longer within a high cost living area.
The Trust is in a position to review the short-term recruitment and retention premia and provide six months notice that it will cease as long as a review is carried out.
The Hartley Employment Tribunal determined that the national recruitment and retention payment (NRRP) should cease for maintenance and craft workers and for chaplains from 2011 and all NRRP should cease from 2013. The NRRP was agreed for a list of jobs with a prima facie case.
There have been significant changes to our economic climate.
Other Trust’s within the East Midlands Region no longer pay Recruitment and Retention premia’s.
4. Process for Review
The process that will be applied is as follows:
Staff group lists will be produced of all those staff receiving either a Short Term or Long Term Recruitment and Retention Premia
The staff group lists will be distributed out to the HR Business Partners who in conjunction with the most appropriate senior manager will carry out the review on the basis of the criteria in Annex J
The findings from review will be prepared as a business case (Appendix 4 provides the headings for the business case)
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PROPOSAL FOR RECRUITMENT AND RETENTION PREMIA
– JCNC SUB-GROUP
15/09/2011 AC/v1
The Business case will be presented to a panel to determine whether the premia will remain in place for a period of twelve months or will cease
The panel will consist of the Deputy Director of HR, a member of the
Transformation Decisions Group, the HR Project Lead for Transformation and 2 members of Staff Side from the JCNC sub-group. (Conduct of Panel – Appendix
5)
The decision made by the panel will be final
The panel will initially meet during September 2011 to review all existing premia’s at one of the JCNC sub-group meetings. This has been set for 29 September
2011
Thereafter the panel will be set up on a case by case basis for those staff groups applying for a recruitment and retention premia. The same process will apply for these cases ie: a Business Case will be prepared by the most appropriate manager.
Andrea Chown
Deputy Director of Human Resources
September 2011
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PROPOSAL FOR RECRUITMENT AND RETENTION PREMIA
– JCNC SUB-GROUP
15/09/2011 AC/v1
APPENDIX 1
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PROPOSAL FOR RECRUITMENT AND RETENTION PREMIA
– JCNC SUB-GROUP
15/09/2011 AC/v1
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PROPOSAL FOR RECRUITMENT AND RETENTION PREMIA
– JCNC SUB-GROUP
15/09/2011 AC/v1
APPENDIX 2
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PROPOSAL FOR RECRUITMENT AND RETENTION PREMIA
– JCNC SUB-GROUP
15/09/2011 AC/v1
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PROPOSAL FOR RECRUITMENT AND RETENTION PREMIA
– JCNC SUB-GROUP
15/09/2011 AC/v1
APPENDIX 3
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PROPOSAL FOR RECRUITMENT AND RETENTION PREMIA
– JCNC SUB-GROUP
15/09/2011 AC/v1
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PROPOSAL FOR RECRUITMENT AND RETENTION PREMIA
– JCNC SUB-GROUP
15/09/2011 AC/v1
APPENDIX 4
e
Background
Recruitment issues
Retention issues
Market Place assessment – Benchmarking through local labour market
Recommendations
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PROPOSAL FOR RECRUITMENT AND RETENTION PREMIA
– JCNC SUB-GROUP
15/09/2011 AC/v1
APPENDIX 5
D R A F T
Code of Conduct for Review Panels
The panel will consist of the Deputy Director of HR, a member of the
Transformation Decisions Group, the HR Project Lead for Transformation and 2 members of Staff Side from the JCNC sub-group.
The Deputy Director of Human Resources will act as Chair of the Panel
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-
-
The role of the Chairperson is to ensure that: there is the opportunity for free and frank discussion members respect the right of each panellist to voice their opinion consensus of agreement to be reached
The Panel will ensure that full and accurate records are kept ensuring any local documentation is completed.
The Panel will take place during a JCNC sub-group meeting at the end of
September 2011.
All discussion and decisions within a Panel must remain strictly confidential until such time as it is appropriate for the decision to be published.
Where possible, no individual Panel member should sit on a Panel if they have a conflict of interest such as they are in receipt of a Recruitment and Retention premia.
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