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£10m equal pay bill
Council facing huge payouts to women
By DAVID MARSH
LEEDS City Council is facing a multi-million pound bill to settle equal pay claims for thousands of women workers.
Some estimates put the bill at 10m which the council is preparing to fund through land and property sales.
Cleaners, cooks and kitchen staff are among those in line for the backdated payouts which could see many receive thousands of pounds.
Council managers and trade union representatives are in negotiations. Following recent changes in the law, those with a successful claim could be entitled to an immediate wage increase and up to six years back pay.
A report to senior councillors says the council is negotiating on the basis of "a fair compensation package and affordability for the council."
It says the sides are close to agreement and the unions have signalled they are prepared to ballot members.
The council has refused to reveal details of the settlement, which are set out in a confidential report to be discussed in private tomorrow by the council's Executive Board.
But Action4Equality, a Newcastle-based equal pay campaign group, claims workers could get better deals by taking their cases to an employment tribunal.
Eileen Goodenough, of Action4Equality, said some women in Cleveland won sums of up to 34,000 at tribunal compared to the maximum 6,200 negotiated by councils and unions.
She said in Leeds the council and unions were discussing a possible 10m deal and claimed the sum should be much higher.
Alan Hughes, head of negotiations at the public service union Unison, rejected any suggestion his union would sell its members short.
He said: "UNISON has a proud record of fighting for equality for its members, 70 per cent of whom are women. In Leeds we are trying to negotiate a compensation package which will ensure equality for the future."
Neil Derrick of the GMB union said that any proposed deal would be subject to a ballot.
He said: "If our members rejected the negotiated settlement we would represent them in any subsequent tribunal proceedings."
A council spokesman said: "We have been working closely with the unions and are confident a solution can be achieved soon.
"It is important to remember this is not only a Leeds issue but a national one, and many other councils have successfully come up with a fair negotiated solution in the same way.
"The deal we aim to conclude will allow a fair and early resolution to this matter without the need for employees to go through protracted legal processes, incurring significant solicitors' fees, and where there would be no guarantee of success."
david.marsh@ypn.co.uk
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Friday 25 May 2012
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