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Agenda item

Finance and Resources Committee - 17th June 2010 - Employment Costs - CG/10/128

Minutes:

At this juncture all officers affected by the proposals contained within the following item of business left the meeting in accordance with Standing Order 25.

 

 

 

DECLARATIONS OF INTEREST

 

Prior to the consideration of the following item of business, a number of members declared interests as follows:-

 

Depute Provost Dunbar and Councillors Dean, Fletcher, McCaig and John West declared interests as members of the Appeals Committee, left the meeting and took no part in the Council’s deliberations thereon. Councillor Cormack declared an interest as Convener of the Appeals Committee, left the meeting and took no part in the Council’s deliberations thereon.

 

A number of members declared interests and chose not to withdraw from the meeting, namely Councillor Crockett (as a member of the Appeals Committee and Unite (who formed part of the deputation before the Council)); Councillor Farquharson (as a member of the Appeals Committee); Councillor Graham (as a member of Unite); Councillors Ironside, Kevin Stewart and Yuill (as members of Unison (who formed part of the deputation before the Council)); and Councillor Kiddie (as a retired member of Unison).

 

 

With reference to Article 6 of the minute of meeting of the Finance and Resources Committee of 17th June 2010, which had been referred to it for consideration by five members of that Committee, the Council had before it (1) a report by the Director of Corporate Governance which outlined the outcome of a period of consultation with trade unions and the wider workforce since the 2010/11 budget speech, which indicated a requirement to save £4.5million from employment costs; and (2) the decision of the Finance and Resources Committee, to approve the recommendations contained within the report, namely (a) that the Committee agree that given the abnormal financial pressures facing the Council, the increment that was due to paid from 1st April 2010 to relevant staff employed under the SJC for Local Government Employees, be deferred until 1st April 2011; and (b) that officers enter into further discussions with trade unions with a view to reviewing employment costs, including conditions of service, for all employment groups.

 

In terms of Standing Order 10(2), the Council received a deputation from Karen Maxfield, Secretary of the local Unison branch, Mike Middleton, GMB Convener, and Tommy Campbell of TGWU/Unite, with the first two members speaking. They highlighted the moral and legal issues arising from the proposal before the Council and suggested that it was discriminatory given the high proportion of female staff affected who had already made sacrifices to avoid redundancies, and unfair as it would not affect teachers. The deputation emphasised the inevitability of industrial appeals in response to the action, all of which would involve costs to the Council, and questioned the robustness of the legal advice upon which the proposal was based given that the unions had received advice that led them to believe they would win. The resultant effect on industrial relations generally was also raised as was the likely impact on the Council’s reputation given the comments made by the Accounts Commission in 2008 about low morale amongst staff.

 

Members then asked questions of the deputation and thanked them for their contribution.

 

Councillor Kevin Stewart moved, seconded by Councillor John Stewart:-

That the Council (1) defer until its meeting on 18th August 2010, consideration of the deferral until 1st April 2011 of the increment that was due to be paid from 1st April 2010 to relevant staff employed under the SJC for Local Government employees; and (2) instruct officers to enter into further discussions with trade unions with a view to reviewing employment costs, including conditions of service, for all employment groups.

 

Councillor Crockett moved as an amendment, seconded by Councillor Graham:-

(1)          That the Council recognise that Aberdeen City Council has a loyal and dedicated workforce and agrees to honour its contractual agreement with employees to pay the salary increment as it has done in each preceding year, with costs arising to be met from reserves; and

(2)          That officers enter into further discussions with trade unions with a view to reviewing employment costs, including conditions of service, for all employment groups.

 

On a division, there voted:-

 

For the motion  (25)  -  Lord Provost Peter Stephen; and Councillors Boulton, Clark, Corall, Cormie, Donnelly, Farquharson, Greig, Jaffrey, Kiddie, Leslie, McDonald, Malone, May, Milne, Noble, Penny, Reynolds, Jennifer Stewart, John Stewart, Kevin Stewart, Wendy Stuart, Kirsty West, Wisely and Yuill.

For the amendment  (10)  -  Councillors Adam, Allan, Cassie, Collie, Cooney, Crockett, Graham, Hunter, Ironside and Young.

 

Absent from the division  (6)  -  Depute Provost Dunbar; and Councillors Cormack, Dean, Fletcher, McCaig and John West.

 

The Council resolved:-

to adopt the motion.

 

In terms of Standing Order 15(6), Councillors Adam, Allan, Cassie, Collie, Cooney, Crockett, Graham, Hunter, Ironside and Young intimated their dissent against the foregoing decision.

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