Mark Whitehead 23 April 2018

Council's pay freeze is ruled unlawful by Court of Appeal

Nottingham City Council was wrong to impose a freeze on incremental pay rises, the Court of Appeal has ruled.

The council decided to stop paying the annual increases, linked to their jobs as they move up salary scales, in April 2011 to save money.

But staff could now receive the rises although the council says it is planning to appeal the ruling.

A spokesperson said the council was 'extremely disappointed' with the decision and warned it would result in 'a major additional cost at a time when our budget is under huge pressure as a result of Government cuts.'

They said: 'The decision to freeze these pay rises was taken to avoid cuts to jobs and services wherever possible and has saved the equivalent of around 1,000 full time jobs.

'Had it not been introduced, further significant cuts to services and job losses would have been unavoidable.

'We will review the detail of the decision to assess the full financial implications for the council. As these could be significant, we are planning to lodge a further appeal.'

The local government union Unison, which backed the legal challenge, claimed the council's policy was unlawful because staff had a contractual right to incremental wage progression.

The claim was dismissed when it was first heard in 2015 but the union challenged the decision at an employment appeal tribunal. The council then appealed against the judgement and the case went to the Court of Appeal.

Unison general secretary Dave Prentis said: 'The judges have found unanimously in favour of the council employees. Nottingham City Council was completely in the wrong to try to prevent its staff from getting the pay rises they were due.

'In any organisation, where salary scales are linked to jobs, employees’ contracts of employment state that each year, as they gain more experience and move up a point, their wages should increase.

'While there’s much sympathy for cash-strapped councils struggling to provide services for local communities, while the government is slashing their funding, Nottingham shouldn’t have been making its employees pay the price.'

SIGN UP
For your free daily news bulletin
Highways jobs

Executive Director of Place and Customer

Essex County Council
up to £179,404 per annum
Shape the Future of Essex. Drive climate action. Deliver for our communities. Essex
Recuriter: Essex County Council

Director of Social Work and Social Care

Trafford Council
£100,731 to £104,625
You will join a values-driven senior leadership team, providing visible and responsive leadership. Manchester
Recuriter: Trafford Council

Housing Ombudsman

Housing Ombudsman Service
£130,095 per annum, negotiable based on experience.
The Housing Ombudsman Service allows colleagues to choose if they wish to work in the London office, from home or a hybrid of the two London (Greater)
Recuriter: Housing Ombudsman Service

Lead Commissioning Officer

Essex County Council
£42452 - £49943 per annum + Flexible Working, Hybrid Working
This is a fixed term contract or secondment opportunity for up to 12 months.Interviews will be held on 3rd March 2026.*Experience the best of both wo England, Essex, Chelmsford
Recuriter: Essex County Council

Specialist Tutor - Employability/Well-Being

Sandwell Metropolitan Borough Council
Band E SCP 18-25 (£31,537 - £36,363 per annum)
Sandwell Adult and Family Learning Service has an exciting opportunity for 2 full-time specialist tutors Sandwell, West Midlands
Recuriter: Sandwell Metropolitan Borough Council
Linkedin Banner