States Employment Board: Annual Report 2011.

STATES OF JERSEY

STATES EMPLOYMENT BOARD: ANNUAL REPORT 2011

Presented to the States on 16th April 2012 by the States Employment Board

STATES GREFFE

2012   Price code: C  R.48

REPORT

1. The Constitution of the Board

1. The Board  from  1st  January  2011  until  13th  November  2011 consisted of the following members –

Senator T.A. Le Sueur , Chief Minister (Chairman) Connétable M.K. Jackson of St. Brelade , Minister for

Transport and Technical Services

Connétable J.M. Refault of St. Peter , Assistant Minister for

Treasury and Resources

Connétable D.W. Mezbourian of St. Lawrence

Deputy D.J. De Sousa of St. Helier .

2. From 24th November 2011, following the election of members to the States of Jersey, the Board was constituted as below –

Senator I.J. Gorst , Chief Minister (Chairman)

Deputy A.K.F. Green, M.B.E., of St. Helier , Minister for

Housing

Deputy E.J. Noel of St. Lawrence , Assistant Minister for

Treasury and Resources

Connétable D.W. Mezbourian of St. Lawrence

Deputy J.M. Le Bailly of St. Mary .

2. The number of meetings held during the year
   1. In  2011,  there  were  26 meetings  of  the  Board,  of  which  6  were conducted by electronic means (e-mail).
   2. During 2011, 3 appeals by manual workers were heard by members of the Board. None of these appeals were upheld.

4. A summary of key matters considered by the Board in 2011

1. Voluntary and Compulsory Redundancy Scheme Revision

The  Board  gave  consideration  to  revising  the  Voluntary  and Compulsory  Redundancy  terms  after  consultation  with  the  trade unions. In January 2011, new VR/CR terms for 2011 were agreed.

2. Termination and replacement of the Chief Executive

1. The Board agreed that the exit of the Chief Executive should be  conducted  on  the  terms  expressed  in the  contract  of employment following advice from the Law Officers.
2. The Board endorsed the replacement of the CE on an interim basis following a competitive recruitment process, pending review of the workings of ministerial government and the roles and responsibilities of Ministers and civil servants.

3. Recruitment and Retention of Registered Nurses and Midwives

1. This issue was the subject of several discussions between the SEB and Health and Social Services Department in 2011.
2. Additional funds were provided to Health and Social Services to support the agreed initiatives to address recruitment and retention issues.

4. Prison Officers – Operational restructuring

The SEB considered a number of reports regarding the restructuring of Prison Officer grading culminating in a 5 year agreement with the Jersey  Prison  Service  Association  from  January  2011  to  31st December 2015.

5. Comprehensive Spending Review – Review of terms and conditions of service

1. The Board  received  a  number  of  reports  on  the Comprehensive Spending Review and relating to the need to achieve savings of £14 million on staff costs (identified by the Tribal Report in 2010) over the period up to and including 2014.
2. The Board  was  regularly  updated  as  to  the  progress  of discussions held with Trades Union representatives regarding elements  of  proposed  review  including  pay  and  reward, allowances, and policy and procedures.
3. Towards the end of 2011, the Board became of the opinion that whilst savings might be achieved through pay constraint, this would not by itself achieve modernisation of reward and employment practices in the public service.

6. Modernisation of the Public Service

1. The Board  was  minded  to endorse  the  approach  for  a modernisation  programme  presented  by  the  Director  of Human  Resources,  which  would  pursue  service  redesign, workforce  development  and  cultural  change  in  accordance with the following overarching objectives –

• Improving quality and efficiency;
• Reduced net cost;
• Focus on core competence;
• Training and Development;
• Alignment with the themes of the new Strategic Plan, requiring Reform of the Public Sector; and
• Retention of jobs.

2. The Board endorsed the key elements of the programme and aims which support equal value principles and which would include –

• Modernised role profiles;
• Rationalised pay spines;
• Competency framework;
• Improved performance management;
• Application of a proportionate reward strategy, including performance-related pay for senior managers;
• Workforce flexibility and career mobility;
• Succession planning.

3. The Board agreed to the core objectives of the programme which would form the basis of a modernisation work plan for 2012.

7. Pensions

1. The Board received reports on and considered a number of matters  in relation  to Pensions,  Public  Employees Contributory Retirement Scheme (PECRS) –

• Admitted Body Status;
• Noted reduction of pension increases under the Act of the States dated 11th July 1972;
• Managing surplus valuation;
• Trivial pensions (less than £104 per annum);
• High level pension scheme design;
• Prison Officers restructuring;
• Amendment for civil partnerships;
• Medical retirements – delegation of functions.

2. For  the  Jersey  Teachers  Superannuation  Fund  (JTSF),  the SEB  considered  an  amendment  to the  Regulations  for admitted schools.

8. Pay and Remuneration over £100,000 (P.59/2011)

1. Following  presentation  and  endorsement  by  the  States Assembly  of  P.59/2011  entitled:  Salaries  over  £100,000: process for review and scrutiny', the Board approved both guidance  and  process  for  approval  of  salaries  of  public servants whose remuneration was £100,000 or more.
2. As part of acceptance of the proposals, the Board has agreed that a review of Senior Pay and Grading should be carried out in line with the requirements of the proposition.

3. A report covering the first 6 months of applications to the Board under this proposition was presented to the States on 9th March 2012 (see Appendix 2 to this Report).

9. Public Sector Salaries

The Board endorsed a report for presentation to the States Assembly entitled  States  Employees'  Remuneration:  2010',  which  was presented to the States on 7th June 2011, the same day as the States of Jersey Financial Report and Accounts 2010.

10. Right to representation

1. The Board presented comments to the States on 5th July 2011 in relation  to  the  proposition  entitled:  Disciplinary  and grievance hearings: right to a friend' (P.112/2011), opposing it, on the grounds that current practice within the States of Jersey  was  already  fully  compliant  with  Article 6  of  the European Convention on Human Rights.
2. The Board maintained its opposition to P.112/2011 pending further consultation with stakeholders (this was undertaken by the Jersey Employers' Forum during the latter part of 2011 and early 2012). P.112/2011 was rejected by the States after debate on 1st November 2011.

11. Right to Appeal

1. The Board considered the matter of right to appeal to the SEB which was not consistent across different staff groups. The current policy on rights of appeal to the Board was being reviewed  as  part  of  a  wider  review  of  Human  Resources policies.
2. Further discussion on this matter is expected as part of the 2012 work plan.

12. Jersey Appointments Commission

1. The Board endorsed the terms of office for membership of the Commission  in accordance  with  Article 18(2)  of  the Employment  of  States  of  Jersey  Employees  (Jersey)  Law 2005, enabling the re-appointment of Mr. K. Soar.
2. The Board received the Annual Report of the Commission and agreed that the Chief Minister should present the finalised report to the States Assembly.
3. The Board  received  the  report  on  the  Recruitment  Code, guidance on senior recruitment and the Code of Practice on Appointments  to Quangos  and  Tribunals  endorsing  final drafts for publication.

13. Health and Safety

1. The Board  endorsed  the  concurrent  departmental  status review and the development of a revised health and safety policy and its associated Safety Management System.
2. It is noted that further work on this matter will be presented to the Board in 2012.

14. Suspensions and the Memorandum of Understanding

1. The Board received a report summarising the management of suspensions over the period from 2006 to 2010. This noted a downward trend in the number of suspensions during that period. This continued into 2011 when it was recorded that the number of suspensions at year end (2) was a third of the number  recorded  as  suspended  at  the  end  of  2010  when 6 people were suspended.
2. The SEB endorsed a revised code of practice regarding the management of suspensions and sustained a regular, rigorous review of all suspensions throughout 2011.
3. With  regard  to the  Memorandum  of  Understanding  (an agreement  to review  persons  excluded  or  suspended  from duty as a result of potentially concurrent internal disciplinary and criminal investigatory procedures), the Board endorsed the use of this forum as an effective and appropriate means of reviewing and managing such cases.

15. Housing Transformation Programme

1. The Board received reports regarding the proposals for the new Housing Transformation Project and further update on the  transition  progress.  The proposals  were  outlined  in response to the Green Paper entitled: A Review of Social Housing in Jersey' published in 2010. The proposals covered options  which  envisaged  the  creation  of  a  new  strategic housing function, a new affordable housing regulator and a new,  wholly  States  owned  social  housing  management organisation operating at arm's length.
2. The Board also encouraged consultation with staff and trades union representatives, regarding the proposals.

16. Ports Authority

1. The SEB considered a report on the "Integration of Jersey Airport and Jersey Harbours: Internal Restructuring".

2. The Board  noted  and  endorsed  management  actions undertaken by the Group Chief Executive Officer for Airports and Harbours in accordance with the Minister for Economic Development  to pursue  integration  of  Jersey  Airport  and Harbours.

17. Bullying and Harassment Policy and Report

1. The Board received a report on the operation of the Bullying and Harassment policy and recognised that, whilst it appeared to be operating effectively it should be kept under review to ensure all incidents would be appropriately and effectively managed.
2. It  was  confirmed  that  formal  complaints  made  under  the policy  would  always  be  investigated  and  that  such  an allegation  would  usually  be  given  priority  if it  was  made before  any  management  action  had  commenced  under disciplinary, capability or attendance policies.

18. Severance Payments and compromise agreements

1. The Board  reviewed  the  matter  of  termination/severance payments and compromise agreements that were associated with them.
2. (This work was completed in the early part of 2012.)

4. Miscellaneous matters

4.1  The Board considered a number of miscellaneous matters, including the following –

• Manual Workers' Joint Council nominations;
• Jersey Air Traffic Control restructuring of Air Traffic Engineers;
• Pathology Laboratory on-call arrangements;
• ETSS Pay Group transfer from Manual Workers to Civil Service Pay Group;
• Middle-grade doctors new salary/grade structure;
• Human Resources function review (part of 2012 work plan);
• Alternate Service provision (part of 2012 work plan);
• Chief Fire Officer appointment – succession planning.

5. Key Manpower Statistics

5.1  Attached at Appendix 1 are key manpower statistics for 2011.

APPENDIX 1 Key Manpower Statistics

Headcount (the number of people actually in post as at 31st December 2011): 6,726

"J" Category Employees (the number of employees, as at 31st December 2011, with a "J" Category Housing Licence) –

Non-locally qualified employees (the number of employees, as at 31st December 2011, non-locally qualified under the Regulation of Undertakings and Development (Jersey) Law 1973 (see Revised Edition chapter 05.750 as at 1st January 2006)):

98 less than 1.5% of headcount.

Sickness Absence 2011

Turnover 2011

(The movement out of established posts)

APPENDIX 2