Pay for Members Employed by Private Contractors Delivering Local Government Services.

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2022 Local Government Service Group Conference
18 February 2022
Carried as Amended

Conference notes with concern that cuts to local authority budgets and the costs of Covid are impacting disproportionately on the salaries of our members in employed by private contractors who deliver local government outsourced services – including social care, school meals and refuse collection.

Many employers delivering outsourced services are engaging in a race to the bottom on terms and conditions of employment and a lack of trade union recognition makes it difficult to engage on pay. Some employers are even claiming that the increase in the National Minimum Wage of the lowest rates is a ‘pay offer’ rather than a legal requirement for all employers to increase salaries for the lowest paid.

Perpetuating low pay in outsourced services has a disproportionate impact on women, Black workers and their families that may also be suffering socio economic deprivation.

There is evidence that, in some cases, the terms offered by commissioners are so low that some employers will no longer tender for contracts as they cannot provide a service for the price offered. Employers who do tender for these contracts cannot possibly reward staff fairly for their complex range of skills, dedication and compassion. This entrenches inequality and means our fantastic care workers are receiving less than the real living wage.

Conference calls upon the Local Government Service Group Executive to campaign for pay rises to ensure that members delivering outsourced services in local government to pay at least the real living wage to their staff.