Archived decisions

Hampshire Fire and Rescue Authority Item 9

Human Resources Committee

15 June 2007

Error! Bookmark not defined.Rewards Review Project

Report of the Chief Officer

Contact: Bob Wythe Tel : 023 80 644 000 Email: [email protected]

1

Summary

1.1

The Rewards Project was established to consider and evaluate the current and future provision of rewards available to certain staff groups within HFRS. The rewards considered were, in the main, financial and are those paid in addition to base pay. The project is linked to the Equal Pay Audit, and a common Programme Board provided direction to both projects. Within the scope of Rewards Project was the recently introduced provision of Additional Responsibility Allowances (ARAs). However, due to the complexity and size of the Rewards Project, the report in relation to ARAs has been submitted as an independent item.

2

RecommendationError! Bookmark not defined.s

2.1

That Green Book personnel that are required, and have agreed, to work a system that consists of `stand by' and `active' hours shall be paid an allowance for the provision of such commitment. `Stand by hours' refer to the provision of a 24/7 response and cover the period outside the normal working day.

2.2

That each department will construct a rota for Green Book personnel who are required to provide a 24/7 response.

2.3

That the minimum number of personnel that can provide a 24/7 response on a rota basis is 4 personnel.

2.4

That any rota must be offered on an equal basis to those who have the requisite skills and qualifications.

2.5

That Green Book managers that are required to be available for telephone contact, and on occasions where there attendance at a site would be beneficial, will be paid an allowance for such an undertaking.

2.6

That all Contracts of Employment and Job Descriptions should incorporate the conditions and expectations applicable to that post, including any `out of hours' commitment.

2.7

That any pre-arranged overtime that occurs on a regular basis should be reviewed in order to ascertain if this is the best method of meeting the needs of HFRS. All overtime, whether recompensed by payment or time back, should be strictly monitored and controlled by managers.

2.8

That all landline telephone allowances should cease unless a business case exists for such a provision. This includes FDS officers.

2.9

That honorariums continue to be an option available for recognition of commitment as deemed appropriate by senior managers. However, a written policy outlining the circumstances in which an honorarium should be considered should be established.

2.10

That nominal allowances available for Green Book Fire Marshalls and First-Aiders be maintained.

2.11

That where activities are being paid for outside of the job evaluated role, then the full range of activities conducted by Green Book personnel should be incorporated into the role and rewarded through pay as determined by the job evaluation process.

2.12

That the provision of Market Supplements, when needed to attract personnel with the level of skills, knowledge and experience into a post, should be maintained.

2.13

That current allowances that are in accordance with Grey Book and Green Book national conditions of service be maintained.

2.14

That formal consultation and, where necessary, negotiation take place prior to the implementation of the recommendations.

3

Project Objectives

The project objectives are as follows:

3.1

Identify all current rewards in the form of allowances, honorariums, other payments and non monetary rewards in place for all personnel within HFRS.

3.2

Establish the current cost of the existing reward system.

3.3

Examine the existing criteria and reasoning for the provision of the existing allowances.

3.4

Challenge the existing allowances and highlight where these are inappropriate in terms of a cost benefit analysis in terms of achieving IRMP.

3.5

Develop and recommend to the Programme Board a system for the application of Rewards that:

· Is fair, consistent, robust and meets the needs of HFRS in terms of achieving the corporate aims and supports the core values

· Recognises and values the contribution employees of HFRS make in relation to the corporate aims and core values outside of the job scope and rewards them accordingly

· Consider rewarding posts and/or personnel in an appropriate manner when they are expected to undertake tasks as a requirement of the post, which are not within the Role Map and/or job description and/or normal working hours.

· Places a value upon responsibilities and tasks undertaken in relation to the skill, knowledge and the level of expected commitment of those involved

· Establish a mechanism for continuous review

4

Methodology

4.1

The Rewards Project was divided into three stages:

· an information gathering;

· identifying which activities currently conducted by HFRS personnel would be required in the future to support the IRMP;

· the development of a methodology that would be capable of giving a `value' to each activity undertaken, which would then attract a financial reward.

Information in relation to current and future requirements for rewards was gathered from across the organisation by questionnaires, which were sent to a representative (middle manager) of each function/department. Each department was required to provide written statements identifying how an activity and an associated reward supported each of the respective areas within the IRMP.

5

Observations

5.1

The information obtained from the questionnaires identified that various methods and approaches existed for the provision of financial incentives to undertake particular activities; in particular it was highlighted that there was no cross functional/department methodology for determining monetary rewards in relation to the activity undertaken.

5.2

A main area of conflict exists across Green Book personnel where there is an identified need to provide a 24/7 response for `out of hours' cover.

These are as follows:

· Operational Equipment Technicians

· Information and Communication Technicians

· Service Workshops

· Service Workshops Supervisors

· Marketing and Media

· Photographers

6

Contribution to Corporate Aims and Objectives Identified Under MRI

6.1

MR1 Achieving our Vision by Empowering our Workforce - Pay and Rewards.

7

Risk Analysis

7.1

Failure to address the inequality issues identified within this report places a risk on an equal pay claim against HFRS. In addition, failure to adopt a fair, consistent and robust process may lead to dissatisfaction amongst certain work groups.

8

Resource Implications

8.1

Human Resources

· Contracts of employment need to be reviewed.

· Each department to construct a Green Book rota where necessary

· Revision of overtime where necessary

8.2

Physical Resources

None identified

8.3

Information and Communications Technology Resources

None identified

8.4

Financial Implications

The result of the financial implications, should this report be accepted, would equate to an approximate cost-neutral impact on the budget.

9

Equality Impact Assessment

9.1

An initial equality impact assessment has been conducted for the scope of this project. The assessment supported the need for the project as a number of inequities were identified.

9.2

The proposals within this report are considered compatible with the provisions of the European Convention on Human Rights, the Human Rights Act 1998, and the Race Relations (Amendment) Act 2000.

10

Consultation

10.1

All staff groups have been involved in the various stages of the project and have provided valuable input. However, formal consultation on the recommendations and project outcomes has not taken place at this stage and there will need to be specific consultation and where necessary, negotiation prior to implementation of the recommendations.

11

Conclusion

11.1

The Rewards Review Project has captured the current situation in relation to the rewards offered to various staff groups and this identifies there are areas of inequality across HFRS.

11.2

The recommendations contained within this report should address the inequalities and provide for a common approach to rewarding personnel for activities and commitments that are not accounted for within their base pay.

11.3

Whilst this report identifies a framework for the provision of rewards, it is the responsibility of department managers to ensure that there is a common and equitable approach in relation to employees' pay.

11.4

A standby allowance, with no payment for actual `out of hours' work would redress the need for employees to extend the `out of hours' any longer than necessary. It is important to appreciate that the payment of an allowance is for commitment to provide a 24/7 response. Unless it is absolutely necessary employees should not respond `out of hours' as this will have an impact upon their day job.

Background Information (Section 100D of Local Government Act 1972)

The following documents disclose the facts or matters on which this report, or an important part of it, is based and has been relied upon to a material extent in the preparation of the report:

Workforce Strategy 2006/09 (http://www.hantsfire.gov.uk/workforcestrategy.pdf)

Grey Book (http://www.lge.gov.uk/lge/core/page.do?pageId=51158)

Green Book (http://www.lge.gov.uk/lge/core/page.do?pageId=52692)

Note: The list excludes: (1) published works; and (2) documents that disclose exempt or confidential information defined in the Act.