12 July 2002
Just days before the 24-hour walk out, planned for July 17, attempts to find a solution have fallen apart: employers and representatives have not held talks for several weeks and the government is steadfastly refusing to try to broker a deal.
Local authorities are believed to be deeply divided over whether to increase their 3% pay offer to something nearer the unions' demand for 6% or £1,750, whichever is greater. Metropolitan authorities are apparently fiercely opposed to any concessions, while other councils favour making an improved offer to stave off the industrial action.
One source close to the negotiations told Public Finance: 'There is an argument raging in the ranks of the employers and complete confusion in government.'
Heather Wakefield, Unison's national secretary for local government, insisted that only the government could solve the problems at the root of the dispute, and condemned ministers' failure to act.
'It's a disgrace that Blair has said he's not willing to intervene,' Wakefield told PF. 'This will not be resolved without additional government funding. It is not just about this year's or next year's pay round. It is about fundamental problems with the structures of local government pay, which result in low pay and unequal pay for many.'
Jack Dromey, the T&G's national organiser, demanded that Monday's Spending Review include a substantial pay rise for the 1.2 million council workers involved in the dispute.
'There must be a breakthrough now on pay and low pay in particular, then a firm commitment to a long-term pay strategy for local government,' he said. 'It will require government support in the context of the Spending Review.'
One possible solution to the current stalemate being mooted is a multi-year pay agreement, such as the one that eventually resolved last year's row over Scottish local government pay.
But, with no talks planned at the moment, employers and unions agree that the chance of a deal being struck before next week's strike is negligible.
A spokesman for the Employers Organisation, which represents councils in the talks, reiterated their stance that their 3% offer was final. According to EO calculations, he said, authorities would have to add an average of £80 to council tax bills for band D properties to fund the unions' pay claim.
'Our offer is fair and reasonable and will not be improved upon. There is no more money and the strike action will not change that,' he added.
A spokesman for the Office of the Deputy Prime Minister said: 'Local government pay is a matter for local authorities, not central government. But we expect councils to take a responsible line on the pay settlements they control.'
PFjul2002
