DWP Pay Award: Another kick in the teeth

The long-awaited delegated pay award for DWP staff was published today, weeks after most other departments.

The worst many of our lowest paid members were expecting was for the 5% to be applied evenly across the grades. Across the rest of the civil service the union has largely managed to ensure that the award is either spread evenly, or that our lowest paid members are given a greater increase, such as in HMRC.

Not in DWP.

Unequal, unfair and top-heavy

The headline figure is that the lowest paid AA grade will see an increase of only 4%. Most AA’s to HEO’s on legacy contracts will only receive 4.5% increases, while SEO’s and Grade 7’s will receive a 6% increase to their minimum.

From the Depoartment’s perspective they have at least resolved one issue. Screwing over the most junior grade fixes the problem with the overlap with the AO pay scale… by making AA colleagues even poorer relatively. We’re not convinced this race to the bottom is going to improve staff morale as we are asked to implement the new governments welfare agenda.

A humiliating bonus

Most staff will receive a £90 non-consolidated ‘bonus’. Which for many will be wiped out by tax, student loan repayments and Universal Credit deductions.

It appears you can put a price on all the hard work we are told we are performing, and it can be counted in 2 figures.

Further pain for members

If this insult wasn’t enough, a further kick in the teeth for the lowest paid comes on payday and next April.

Due to the length of time it’s taken to conclude ‘negotiations’, the backdated award will be paid in a lump-sum in November. As with the ‘cost of living’ lump sum of 2023, this will screw with the UC payments that thousands of DWP employees are disgracefully forced to claim to keep up with the poverty line. An issue remarkably left completely out of the union’s members bulletin, much as it was an after thought in 2023.

In April, the National Living Wage is likely to rise. If it does so by the same as last year the DWP will be forced to increase the pay of AA’s and AO’s. And once again, the workers on the front-line of delivering social security will be paid the lowest their employer is legally allowed to get away with.

The role of PCS DWP Group negotiators

This bizarre trickle-down approach to the pay structure is unfortunately not new behaviour from DWP, but it does raise the question what did PCS negotiators argue for?

Showing DWP our hand

When the 5% Cabinet Office remit was announced back in July, the majority of the union’s NEC were clear that it should be rejected and plans drawn up for a national fightback on pay, pensions, flexible working and staffing amongst other issues.

We have continued to argue that we couldn’t accept the lowest pay offer in the public sector, and that rejecting a remit which demanded ‘efficiencies’ (job cuts) in exchange for the money should be a trade union red line.

There was and is the need for continued industrial leverage across employer groups on pay and the other priorities of the membership.

The National President, who is concurrently a DWP Group Vice-President, has ruled out of order each and every motion or amendment supporting this position from the majority.

As a result, union negotiators across the civil service in general and in DWP specifically, went into these negotiations having one hand tied behind their backs by the National President and DWP Group President.

With a tacit acceptance of the 5% remit, and no intention to campaign for anything better, we had lost all leverage and it’s now painfully clear that the DWP smelt blood.

But why is it worse in DWP?

There is no way of sugarcoating this award. Despite the national picture, it is an obvious bargaining failure.

The Group have stated that it could have been ‘much worse’, but that’s little succour to the thousands of members faced with the reality of the final award.

The bulletin put out to members does not criticise the cabinet office pay remit – the direct cause of this pay award, because the Group leadership accepts the remit.

It rightfully rejects the award but offers absolutely no strategy for how we can improve it, because the Group leadership have consistently opposed and undermined any attempt by the NEC majority to devise a strategy to do so.

Finally, the Group use a union bulletin to wage a factional war, wrongly implying that an NEC majority decision would have prevented them from pushing back against an earlier offer.

If DWP management can continue to be such an outlier in the civil service and propose such ludicrous top-down pay offers, it is due to the bargaining and organisational weakness of the union in DWP caused – in part – by decades of poor leadership, not the NEC majority who have no responsibility for these failed negotiations.

No communication with members

The leadership of the DWP Group Executive have long been proponents of secretive negotiations and embargoed communications with members. But this pay round has been excruciatingly bad. There hasn’t been a single meeting since the commencement of pay negotiations with members and not a single branch bulletin providing an update, not even a holding message.

Secret negotiations and embargo agreements only benefit the employer, proven again by this years’ experience.

We need a union and a DWP group executive who will consult members throughout negotiations and communicate openly about their progress. Ensuring members could be mobilised to exert pressure on the employer rather than being treated by the employer and union alike as a passive observers to their fate.

Hybrid Working, Saturday opening, pay progression…

As the NEC majority has attempted with negotiations around the initial Cabinet Office remit. Other than tradition, there is no reason why these discussions have to be kept to pay.

If the employer claims their hands are tied on the remit, we should be demanding that negotiations are widened to include things like commitments on allowing hybrid working for all staff, phasing out Saturday opening, and re-introducing pay progression up the scales. Things we know the Department can change and all things that are currently deprioritised on the union’s bargaining agenda.

The current unimaginative and conservative approach to bargaining, done entirely on the employers’ terms is not good enough.

We need a Group leadership who understand this.

Where are the Labour ministers?

The Labour Party promised to ‘Make work pay’.

Does the Secretary of State and DWP ministers support what is being done in their name? The largest department, with the greatest amount of operational staff in the lowest grades being paid the minimum wage? Continuing to rely on Universal Credit to make ends meet?

We’d hope not and would hope the Group Executive Committee are targeting Labour ministers about this both directly and through the PCS Parliamentary group. We also hope Labour Party members and constituents are making this hypocrisy well known. There appears to be a desperate need for some goodwill towards the government at the moment.

The problem is bigger than DWP

This ultimate responsibility for this pay award and the pay awards across the civil service, the vast majority being the lowest in the entire public sector lies with the employer.

But at every step of the way the union has been lacking.

Because the General Secretary wanted to tacitly accept the pay remit, run-out live ballots and refuse to re-ballot, and because the National President has undemocratically blocked any attempt by the NEC majority to put forward an alternative strategy, our members have to put-up with the lowest pay-rise in the public sector and the government, and employers across the civil service have had a free-ride to implement the remit as they see fit.

Because the Group Executive has failed to stop the unions organisational rot in the DWP, leverage with the employer has waned.

Because the unions negotiators in DWP refused to open-up negotiations to the membership and prevented them from being involved, we were neutered from the very start.

What can we do?

We desperately need a new leadership and a new strategy. But in the immediate term we need to stop the NEC minority from blocking such a strategy.

That’s why we are calling on all branches to pass motions calling for a Special Delegate Conference, so members and reps start calling the shots, not a minority of the NEC.

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