Local government workers hit from all sides say unions

17 February 2011

Local government unions UNISON, UNITE and GMB representing 1.6 million workers said today that low paid council workers wages were being stripped down to minimum wage rates by the rising cost of living, cuts to terms and conditions, and now a pay freeze for a second year running – even for those on the lowest wages.

Over 100,000 council workers earn under £6.50 per hour, and despite the Chancellor’s promised £250 pay boost for those earning under £21,000 – these low paid workers will not get a penny more.

A survey* out today showed the average worker is £750 worse off due to the rising cost of living. Inflation is currently hitting 5.1%, but is climbing high on the basic essentials such food, travel and fuel that low paid workers spend most of their money on.

Many council workers are being hit by charges between £500-£700 a year to park at work, at the same time as car allowances are being cut to as low as 40 pence an hour. Councils are also freezing increments, cutting sick pay and annual leave.

Next year, pension’s payments could rise by 50%, which would see those on the lowest pay of £6.30 contributing an extra 56p per hour. To add insult to injury, heavy job losses means staff are working harder that ever - doing very much more for very much less under the Coalition government.

Heather Wakefield, UNISON Head of Local Government, said:

"A toxic cocktail of rising cost of living, cuts to terms and conditions, and now frozen pay means council workers are seeing their money vanish before their eyes. 70% of council workers earn less than £21,000 and it is a disgrace that even they will not get any help to make ends meet.

"This shows that the Chancellor’s promise of helping the low paid by giving them a modest £250 pay boost was a sham. This cannot go on indefinitely – council workers and their families are really struggling."

Peter Allenson, Unite officer for Local Government, said:

"Unite members will be furious at the employers’ response to our fully justified pay claim, submitted some time ago. Previous years pay freezes which actually are pay cuts, combined with cuts to terms and conditions at local level, and higher than expected inflation which eats away at their living standards, mean that local government really is the employer of last resort.

"This will re-bound on the employers though with people leaving when they have the chance. When treated like this, who can blame them?"

GMB National Secretary, Brian Strutton, said:

"GMB members will be sickened by the imposition of another year's pay freeze. These are some of the lowest paid and hardest working people - home helps, social workers, school dinner ladies, refuse collectors. With inflation still running high the 1.6 million council workers have now had a 10% real pay cut over the past 3 years leaving many of them in poverty. On top of huge job losses and attacks on their conditions and pensions, it is abject misery in local government while fat cat bankers still rake in the bonuses."

*Survey by the Office for National Statistics (ONS).


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