Pay award 2021

National pay award for local government services employees 1 April 2021 to 31 March 2022

An agreement has been reached on the national pay award for local government services employees, covering the period 1 April 2021 to 31 March 2022.

The new Oxfordshire County Council pay scales? 

Staff employed on Green Book terms and conditions will receive an increase of 1.75%, with the exception of scale point 1 who will receive 2.75%. This will be backdated to 1 April 2021 and implemented in the March payroll.

In schools, support staff are covered by Green Book terms and conditions.

The new pay scales can be found here on the schools’ intranet:

Payslip

Basic pay - The last basic pay line on your payslip is your basic pay for March. You will also see a separate payroll entry above for the cumulative total of your back pay for April to March as appropriate.

Payments relating to your basic pay e.g. overtime – these will show as being removed at the old rate and repaid using the new rates.  Please note: the new line may also include any new hours being paid in March.

Other payments - these will also show as being removed at the old rate and repaid using the new rates

Please note: your back pay and new pay will be subject to normal deductions, including tax, National Insurance and pension.

Pay protection

If you are on pay protection your pay protection will be recalculated.

Employed on TUPE

If you are employed on TUPE (Transfer of Undertakings (Protection of Employment)) terms and conditions, where applicable, the pay award will be applied to your salary in your March pay. If the pay award is not applicable you will receive a letter.

Redundancy 

If you are due to leave on grounds of redundancy on or after 1 March 2022. your redundancy pay will reflect the value of the pay award.  

Casual employee 

If you are aligned to an equivalent Oxfordshire County Council grade and scale point, you will see an increase in your hourly rate for all hours worked on or after 1 March 2022.

Pensions

The increase to your basic pay and any backdated pay will be subject to pension contributions as normal with effect from 1 April 2021. Your pension contribution rate may increase as a result.

The pension contribution rate is assessed by looking at the current month’s basic pay (x12) and any pensionable extras in the 12 months prior to the original pay month. Pensionable extras include things like overtime, market supplements or special recognition payments. These payments will increase your total amount of pensionable pay and may increase your pension contribution rate. 

For information about the Local Government Pension Scheme (LGPS) check schools’ intranet: https://schools.oxfordshire.gov.uk/cms/content/pensions

I am paid on scale point 43 (grade 14) - how will the pay award affect my pension contribution rate?

The application of the 2021 pay award means the new annual salary for scale point 43, grade 14 (£47,665) will fall within the 8.5% pension contribution rate band (£47,101 to £65,900). Previously it fell within the 6.8% pension contribution rate band.

If, as a result of the pay award, your pensionable pay* is more than £47,101 your pension contribution rate will increase to 8.5%. For staff who have elected for the 50/50 section of the scheme your pension contribution rate will increase from 3.4% to 4.25%. This increase will be applied in your March pay, backdated to 1 April 2021. As a result, you will likely see a net pay reduction in your March pay compared to your February pay.

Please note: Any change to your pension contribution rate will apply irrespective of when the pay award is paid and would have applied if the pay award had been implemented in April 2021.

* Pensionable pay includes your salary plus extras like overtime, market supplements or special recognition payments.

Tax rate 

For most people tax is calculated on a cumulative basis, therefore the backdated payment being received in March will be subject to the same level of tax as it would have been if it was applied in April 2021.  More information about tax and rates can be found here: https://www.gov.uk/income-tax-rates

Pay-related budget reports

The increases arising from the pay award will be applied to your pay-related budget reports.

More information

Please discuss with your line manager in the first instance. If they can/t answer your query, get support from IBC via webchat or an IBC enquiry. You can access webchat to a specialist advisor by searching for ‘My Payslip’ guidance page in the IBC self-service.