Joint Negotiating Committee for Higher Education Staff

GUIDANCE ON PAY PROGRESSION AND CONTRIBUTION-RELATED PAY

March 2004

(Annex 2 added January 2005)

1. INTRODUCTION

This Guidance for higher education institutions and their staff has been developed in partnership between employers' and trade unions' representatives within the Joint Negotiating Committee for Higher Education Staff (JNCHES) in order to assist in the development of good practice in the area of pay progression and contribution-related pay, in accordance with the terms of the Framework Agreement for the Modernisation of Pay Structures (July 2003). The following paragraphs cover all staff; Annexes 1 and 2 concern the application of contribution-related progression to, respectively, academic and support staff.

The agreed principles underpinning all aspects of the Framework Agreement include the principle that institutions will adopt pay and grading structures which provide for salary and career progression to attract, retain and motivate staff, rewarding appropriately their knowledge, experience and contribution.

The Framework Agreement contains the following clauses relating to progression within grades:

all staff covered by this agreement will have pay progression opportunities within the pay range for their grade.
arrangements for such progression should be: designed to offer equal opportunities for all staff in each particular grade, and to reward the acquisition of experience and contribution; and operated with demonstrable fairness, transparency and objectivity.
progression within each pay grade will depend in part on an individual's length of service in the grade and in part on an assessment of their contribution; although staff will have a normal expectation of annual progression up to the contribution threshold for their grade, subject exceptionally to established procedures for dealing with performance problems.
HE institutions will determine detailed arrangements for progression, in partnership with their recognised trades unions and in accordance with the principles set out in Appendix D [to the Framework Agreement]; and will communicate these clearly to staff.
JNCHES will develop good practice guidance in this area.

The agreement that the determination of detailed arrangements for progression will be a matter for HE institutions, in partnership with their recognised trade unions, accords with the overall objective of providing a common national framework for pay arrangements that fits with institutions' varying missions and circumstances. JNCHES recognises, however, that the provision of additional pay points beyond the contribution threshold for the pay grade — whether in the implementation of the model pay structure at Appendix C to the Framework Agreement, or of variants or alternatives to that - would represent a new provision for some staff groups covered by the agreement, and for their employing institutions. Specific but broad guidance in respect of such contribution-related pay progression is therefore being provided by JNCHES, particularly for institutions where no such procedures currently exist, on the understanding that detailed criteria and procedures will be for local determination in partnership with the recognised trade unions.

2. PAY PROGRESSION WITHIN GRADES

Appendix D to the Framework Agreement is attached. It sets out the principles, progression criteria and forms of progression. Three forms of pay progression are identified:

progression up to the contribution threshold for each grade, reflecting the growing experience and skill of the job holder;
accelerated incremental progression, reflecting substantially greater than normal application of skill and experience by the job holder (“accelerated increments”) and
discretionary progression beyond the agreed contribution threshold (“contribution points”).

For institutions adopting the JNCHES commended model pay structure (Appendix C to the Framework Agreement), the pay range for each grade contains a number of contribution points, depending on the grade. Any institution choosing to negotiate a variant or alternative pay structure, in partnership with their recognised unions and in accordance with the principles set out in the Framework Agreement must decide on how many contribution points should be made available for additional progression beyond the contribution threshold for each grade.

The criteria and processes adopted at each institution for consideration of the award of additional pay points above the contribution threshold are likely to be largely replicated in the institution's criteria and processes for awarding accelerated increments on a contribution-related basis.

3. PROCESS

The award of contribution points and accelerated increments should follow a fair, consistent and transparent process of reviewing the contribution made by staff. Detailed arrangements for process and procedures should include provision for:

the identification and definition of criteria for use in the institution
the processes for agreeing with individuals role expectations appropriate to their grade in terms of outcomes and competence requirements
the determination of the review timetable
the allocation of responsibility for proposing, reviewing and approving awards
the procedures for monitoring proposals and awards to ensure consistency, equity and fairness.
the arrangements for providing training and guidance to line managers on agreeing role expectations and their part in decisions on awards, and on communicating decisions to individuals
the procedures for ensuring that all staff have an equal opportunity to receive contribution-related pay, and that all staff have access to a review of a decision not to award them contribution-related pay
the procedures for ensuring that award of contribution-related pay does not create equal pay problems, including the publication of summary data on such awards.

4. MONITORING FOR EQUAL OPPORTUNITIES

In accordance with the underlying principles of the Framework Agreement, institutions should arrange to identify, in respect of the groups eligible for contribution points and those to whom contribution points are awarded, proportions of men and women, of different racial groups, and of those with disabilities. Institutions should check regularly that differences between the pay of individual employees carrying out like work, work rated as equivalent, or work of equal value, including in respect of contribution points and accelerated increments can be objectively justified; and if they cannot, corrective action should be taken.

APPENDIX D OF FRAMEWORK AGREEMENT FOR THE MODERNISATION

OF PAY STRUCTURES (JULY 2003)

PAY PROGRESSION WITHIN GRADES

Institutions covered by this agreement will develop detailed arrangements for pay progression within grades, in line with the principles set out in this Appendix and in active partnership with their recognised trades unions.

Principles

Opportunities for progression should be available to all groups of staff, though the scope and criteria for such progression may need to vary.
People should be rewarded fairly according to their contribution, including application of new skills and of expertise developed over time in the job.
Progression criteria should:
- be clearly related to institutional objectives;
- recognise achievements, and reward competences and activities likely to contribute to future success;
- help motivate staff; and
- not be unfairly or inappropriately discriminatory.
Systems for assessment of the contribution made by staff should be fair, consistent and transparent on the basis of defined expectations and success criteria. Judgements should be demonstrably based on objective evidence, and recognise team work where appropriate.
Both progression criteria and the mode of their application should be developed in consultation with those concerned — managers, employees and their union representatives.
Progression arrangements should be communicated to staff so that they understand the operation of the process, and the part they and their managers play in it.
Appropriate training should be given to managers and staff so that progression systems can be operated in an equitable, fair, transparent and objective manner.
- Any progression system should:
- Avoid costly, bureaucratic and excessive burdens on staff;
- Ensure that the effort involved in its operation is justified by the rewards under consideration; and
- Ensure that progression opportunities and rewards are demonstrably equally available to all staff who meet the criteria.

Systems where access to contribution-related rewards is dependent on application should also ensure staff feel freely able to apply.

Progression Criteria

Progression criteria should be appropriate to institutional objectives.
In particular, criteria for academic staff should, wherever appropriate, offer parity of esteem between teaching and research, and recognition of associated activities. For example by:
- Encouraging and rewarding more teaching focussed activity and the recognition of appropriate qualifications eg ILT membership or equivalent;
- Reflecting priorities such as: links with business, equal opportunities, and widening participation;
- Giving attention to the learning of and feedback from students, through robust, agreed and professionally established systems.
It is equally important that reward strategies encourage all staff to gain further skills, experience and relevant professional and vocational qualifications, through training and other opportunities for personal development.

Forms of progression

There are three forms of pay progression:
- Progression up to the contribution threshold for each grade, reflecting the growing experience and skill of the job holder. Staff will have a normal expectation that progression from point to point up to this threshold will take place on an annual basis, subject exceptionally to existing procedures for dealing with performance problems.
- Accelerated incremental progression, reflecting substantially greater than normal application of skill and experience by the job holder.
- Discretionary progression beyond the agreed contribution threshold.

Annex 1

Joint Negotiating Committee for Higher Education Staff

Academic Staff Sub-Committee

Guidance on the application of JNCHES Guidance on

pay progression and contribution-related pay to Academic Staff

1. Introduction

It is recognised that some institutions already have existing procedures in place for awarding discretionary pay beyond the normal maximum of the salary grade and for the award of accelerated increments. The main purpose of this guidance is to help those institutions where no such procedures exist. It aims to assist them, in partnership with the locally recognised unions, to identify criteria and draw up procedures for contribution pay progression.

2. Identifying and setting the level of achievement

The purpose of contribution-related pay is to reward individuals whose contribution, on a sustained basis, exceeds that normally expected in their role in terms of high levels of outcomes and of competence. The achievement of such outcomes, either individually or as a successful team member, needs to be demonstrable and, as far as possible, measurable in a process that is open and transparent. In awarding contribution pay, all relevant aspects of the individual's academic role in the institution should be considered .

The criteria and processes adopted at each institution for consideration of the award of additional pay points above the contribution threshold may be largely replicated in the institution's criteria and processes for awarding accelerated increments on a contribution-related basis.

3. Drawing up the criteria

To assist in drawing up the criteria for considering the levels of contribution across all the academic activities identified by the institution, it may help to pose the following questions:

What impact has the role-holder made on team, departmental, or organisational performance?
What level of competence has been brought to bear in handling the demands made by the role?
To what extent have agreed objectives and outcomes been achieved?
Has the contribution made to outcomes been affected by the level of competence displayed and applied?
What indications are there that the individual's level of competence and quality of outputs are increasing so that their contribution is likely to be sustained and improve further in the future?

4. Academic activities to be considered in the award of contribution-related pay

Examples are given below of some of the core academic activities in teaching and learning, research and administration which could be considered in setting the level of achievement for the award of contribution-related pay. This is intended to be illustrative and not an exhaustive list. Institutions will need to amend the activities in the list and to add other activities to reflect the full range of duties required of academics to deliver the institution's objectives and to ensure that all academic staff have the opportunity to be considered. Other academic activities to be added include knowledge transfer, developing teaching and learning strategies, curriculum development, enterprise activities, promoting widening participation, recruitment of and tutorial guidance to students, educational management and administration, quality assurance, etc. Consideration would focus on the activities required of the individual's role, as evidenced by peer review or other agreed measurable examples.