Towards a New Way of Working

Annex A - UK Exploratory Talks on Pay

48. Exploratory talks have been taking place within the NHS in Scotland with employers, staff interests and professional bodies. This process was undertaken as part of a UK-wide review of future NHS pay systems for staff on national terms and conditions of service.

49. Responses in Scotland were generally supportive of the aims of the exercise. There were expected differences in approach, with NHS Management seeking greater control over affordability, Unions looking for an end to local Trust contracts, and Professional bodies wishing to maintain standards and freedom of movement at a UK level.

50. There was, however, a common desire for rationalisation and simplification of arrangements based on equity and fairness within a framework of NHS family values. Greater local flexibility over delivery of patient services was seen as achievable, provided some form of core consistency could be agreed at national level.

51. No peculiarly Scottish dimension to pay arose from the talks, but nearly all respondents saw benefit in greater contact and involvement at a Scottish level, particularly in preparation for the establishment of the Scottish Parliament.

52. We have a UK-wide approach to reviewing the pay system with many organisations involved. Scotland is part of this process and will be subject to a UK outcome. The views expressed in Scotland have been fed into the UK process and are known to be generally in line with views expressed in the rest of the UK. The Government is considering the overall picture and the options for the way forward.

53. The issues of pay, grading, hours of work, allowances, enhancement and the wide range of conditions of service are very complex and we should not expect to see early resolution of these, especially with continuing pressures on finances and affordability. Change to our current pay systems is likely to take some time. Once the direction is set, there is likely to be a period of negotiation with staff interests over any proposals; but it is expected that any system proposed will underpin the strategic objectives of the NHS and support the development of the initiatives brought out in the White Paper "Designed to Care".

54. Reward is of course not just about pay; it is much more than this. It is about other benefits, and a feeling of being valued and the ability to do a worthwhile job well. We will take all of these issues forward.