Treasury & Resourses
Ministerial Decision Report
Central Contingency Funding for 2015 Nurses’ and Doctors’ Pay Award
- Purpose of Report
To request the Minister to approve the following transfers from the Central Contingency (Pay Provision) to the Health and Social Services Department (H&SS) for costs associated with Pay Awards to Nurses and Consultant and Middle Grade Doctors:
- a one-off budget transfer of £265,000 in 2015 to fund the nurses’ pay award; noting that a recurring allocation of £265,000 is already approved in H&SS’s cash limit in the MTFP from 2016;
- a one-off budget transfer of £120,000 in 2015 to fund the 2015 Consultant and Middle Grade Doctors’ Pay Award for the period 1st April 2015 to 31st December 2015.
- Background
A non-recurrent provision of £400,000 was made in the Central Contingency (Pay Provision) for anticipated pay awards for Nurses’ and Doctors’ in 2015.
A firm offer of 0.4% or £265,000 has been made to nurses’ for 2015. This sum has been included in H&SS’s cash limit from 2016 but a one-off budget transfer is required to meet the 2015 costs.
Jersey Doctors’ pay awards are linked to the NHS pay scales. The doctors’ pay award for 2013 was agreed by the Council of Ministers on 28th June 2013 as provision had not specifically been made in the MTFP for that award.
These sums exclude any agreement which has yet to be reached with the Junior Doctors. Junior Doctors work on rotation with NHS hospitals. At the time of writing, Junior Doctors’ pay negotiations are continuing with the NHS.
On 27th January 2016 the Council of Ministers considered this additional funding and having noted that the Central Contingency has a sufficient unallocated balance to provide the necessary funding of £385,000 in 2015, the Council approved the proposed allocation. The COM minute is attached together with the Health and Social Services Department Ministerial decision (MD-HSS-2016-0007).
This report seeks approval to transfer funding for the 2015 financial impact of known 2015 pay awards only. 2016 funding of the nurses pay award is already included in the MTFP. Funding for the 2016 cost of doctors pay awards will be the subject of further discussion and agreement in 2016.
- Recommendation
The Minister is recommended to approve the following transfers from the Central Contingency (Pay Provision) to the Health and Social Services Department (H&SS) for costs associated with Pay Awards to Nurses and Consultant and Middle Grade Doctors:
- a one-off budget transfer of £265,000 in 2015 to fund the nurses’ pay award; noting that a recurring allocation of £265,000 is already approved in H&SS’s cash limit in the MTFP from 2016;
- a one-off budget transfer of £120,000 in 2015 to fund the 2015 Consultant and Middle Grade Doctors’ Pay Award for the period 1st April 2015 to 31st December 2015.
- Reason for Decision
Article 17(2) of the Public Finances (Jersey) Law 2005 states that the Minister for Treasury and Resources is authorised to approve the transfer from contingency expenditure to heads of expenditure of amounts not exceeding, in total, the amount available for contingency expenditure in a financial year.
- Resource Implications
Central Contingency (Pay Provision) to decrease by £385,000 in 2015 and the H&SS revenue head of expenditure to increase by an identical amount. This decision does not change the total amount of expenditure approved by the States for 2013 - 2015.
Report author : Assistant Accountant, Financial Planning | Document date : 27th January 2016 |
Quality Assurance / Review : Head of Decision Support | File name and path: L:\Treasury\Sections\Corporate Finance\Treasurer Delegated Decisions\TR-2016-DD017 - 2014 Doctors' Pay - Central Contingency Funding |
MD sponsor : |