HRreview Header

Budget is an “insult” to public sector workers, say workers unions

-

After Chancellor Rishi Sunak unveiled his plans in the new Budget this week, he has faced criticism for failing to reverse policy that would see a pay freeze instated, targeting public sector workers

Workers’ unions including the GMB and the TUC have spoken out against the Chancellor’s decision to follow through on freezing public sector pay.

This policy was hoped to ‘level the field’ in terms of public and private sector pay, allowing the latter to recover from the financial effects of COVID-19.

However, research from the Resolution Foundation last year showed that the public sector were already facing a pay restraint. There were significant concerns that if the pay freeze went ahead, this would target the earners within this group who were already facing a 7.9 per cent pay penalty compared to private sector workers in similar roles.

 

HRreview Logo

Get our essential daily HR news and updates.

This field is for validation purposes and should be left unchanged.
Weekday HR updates. Unsubscribe anytime.
This field is hidden when viewing the form
This field is hidden when viewing the form
Optin_date
This field is hidden when viewing the form

 

 

Mr. Sunak justified his decision to carry out the year-long pay freeze to public sector salaries as a move which was intended to “protect those public sector jobs”. He claimed that it was “reasonable to take a more targeted approach to public-sector pay this year.”

The pay-freeze was branded as an “insult” to public sector workers by Rehana Azam, National Officer of the GMB, who said:

The chancellor can dance around his living room with the ministerial red box all he wants, but all this Budget shows to public sector workers is that his clapping is a worthless gesture.

When it comes down to it, the big ‘love-in’ and ‘immense praise’ has amounted to nothing for the workers that carried us through the pandemic.

Nor has he changed the super-spreader policy of poverty sick pay that prevents people from self-isolating.

This Budget is an insult to the millions of NHS, schools, care, local government workers who have seen us through this crisis.

This sentiment was also echoed by Frances O’Grady, General Secretary for the TUC:

After a year of key workers going above and beyond, it’s an insult that the Chancellor announced no new support for our hard-pressed NHS or public services and no guarantee of a decent pay rise for all our public sector key workers.

It is expected that this pay freeze will affect around 2.6 million workers within the public sector. However, the Chancellor called his decision “fair” and “proportionate” when considering the impact of COVID-19 on the private sector, assessing that these same effects were not recorded amongst the public sector.

Monica Sharma is an English Literature graduate from the University of Warwick. As Editor for HRreview, her particular interests in HR include issues concerning diversity, employment law and wellbeing in the workplace. Alongside this, she has written for student publications in both England and Canada. Monica has also presented her academic work concerning the relationship between legal systems, sexual harassment and racism at a university conference at the University of Western Ontario, Canada.

Latest news

Middle East air disruption leaves UK staff stranded as employers weigh pay and absence decisions

Employers face complex decisions on pay, leave and remote working as travel disruption leaves British staff stranded in the Middle East.

Govt launches gender pay gap and menopause action plans to help women ‘thrive at work’

Employers are encouraged to publish action plans to reduce pay disparities and support staff experiencing menopause under new government measures.

Call for stronger professional standards to rebuild trust in jobs

Professional bodies call for stronger standards and Chartered status to improve trust, accountability and consistency across roles.

Modulr partners with HiBob to streamline payroll payments

Partnership integrates payments automation into payroll workflows to reduce manual processing and improve pay day reliability.
- Advertisement -

Jake Young: Strong workplace connections are the foundation of good leadership

Effective leaders are, understandably, viewed as key to organisational success. Good leaders are felt to improve employee engagement, productivity and retention.

AI reshapes finance jobs as entry-level roles come under pressure

Employers prioritise digital skills over traditional accounting as AI reshapes finance roles and raises concerns over entry-level opportunities.

Must read

Malcolm Scovil: Your employee engagement strategy – think big

There’s an old joke I’ll borrow to kick off...

Bengt J Lundberg: What Role does HR Play in Meeting COP26 Goals?

HR will play a key role in the formation and implementation of a sustainability strategy. New technology, effective management and data-driven targets can help businesses. Even small changes in behaviour can make a big difference, says Bengt Johanes Lundberg.
- Advertisement -

You might also likeRELATED
Recommended to you