Neath Port Talbot says it is the first council in Wales to reach such an agreement Staff at Neath Port Talbot Council have agreed to cuts in pay, overtime and travel allowances as part of the authority’s cost cutting measures.
The 7,000 workers have accepted a deal brokered by managers and the unions.
The one-year agreement is aimed at minimising compulsory redundancies as the council looks to close a £24m gap in its budget by 2014.
Council leaders had warned staff they would dismiss and re-employ them on new terms if an agreement was not reached.
The council says it is the first authority in Wales to reach such an agreement.
Higher earners will see a one-off 2% drop in pay on top of a proposed three-year pay freeze.
Reaching agreements over downgraded pay and conditions in the light of budget cuts has become a crucial issue for tens of thousands of council staff across Wales.
Earlier in the week Rhondda Cynon Taf, Wales’ second largest council, imposed lower terms and conditions on 14,000 workers, with accusations from union officials the measures were being bulldozed through.
The significant element here is a voluntary contribution which amounts to 2% for all those earning above £21,000, as well as the reductions in mileage and overtime allowances.
It’s unclear how much this will be used as a blueprint for other councils across Wales.
The Welsh Local Government Association says it doesn’t necessarily mean that the deal will be replicated elsewhere, however it’s still a significant development.
The lowest earners will not lose any pay while “several thousand” staff will have a pay deduction of less than 2%.
There will also be cuts in overtime rates and mileage allowances.
Eddie Gabrielsen, regional organiser for Unison, which represents 3,000 staff at Neath Port Talbot Council, said the deal went through with a majority of about 2-1 in favour.
He said: “I can’t say they are ecstatic about it, but they see it as a way of ensuring their employment for the future.
“There are some circumstances where you cannot do anything but make the redundancy but, in the main, the agreement is geared towards ensuring proper consultation before any outsourcing or other factors come in to play, where compulsory redundancies may be the end result.”
He said the agreement was the staff’s contribution to “get past the short-time financial situation the councils finds itself in – that the government has put it in”.
He added: “We feel that the cuts by the government are too fast and do not allow councils to adjust properly.”
Mr Gabrielsen said his members also expected councillors to make a contribution beyond declining a recommended increase in their allowances.
He said: “We would invite the councillors to look at their allowances in relation to taking percentage cuts on that.”
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