Agenda and minutes

Apologies for absence were received from Randall Anderson and Angela Starling.

There were no declarations of interest.

To agree the public minutes and summary of the meeting held on 25 October 2016.

RESOLVED – That the public minutes and summary of the meeting held on 25 October be approved as an accurate record subject to the following amendment;

- that the Chairman of Policy and Resources’ attendance details be amended.

Report of the Town Clerk.

Members considered item twenty-one at item four.

The Committee considered a report of the Town Clerk which provided details of outstanding actions from previous meetings.

The Town Clerk advised that the oral update at item 21 could be considered under this item.

The Town Clerk explained that Members had raised concerns in relation to the number of Chief Officers and Senior Managers leaving the Corporation and whether this had been due to staff dissatisfaction. The Town Clerk advised that this was not the case, since 2013; 13 Chief Officers and 24 Senior Managers had left the Corporation, the majority of whom had retired. The Town Clerk explained that 60% of the current Chief Officers were aged 55 and above, and at the Senior Manager level, over three quarters were eligible for retirement. The Town Clerk advised that this has an impact on succession planning and alternative options would need to be explored as the current pensions systems does not incentivise people to continue working.

In response to a Member’s question on whether the salaries offered to staff are at the right level, the Town Clerk advised that this has been a problematic area, but the Corporation carries out pay level comparisons with both the public and private sector to ensure it remains competitive and the pension scheme and other fringe benefits are attractive offers. The Town Clerk advised that Market Forces Supplements have also been used to attract and retain staff; the evidence suggests that staff do not leave the Corporation because of pay, but this is an area that should be kept under review. The Director of Human Resources also advised that higher salaries have a subsequent impact on other areas such as pensions and tax.

Members noted the importance of having good staff in place and it was

Report of the Director of Economic Development.

The Committee considered a report of the Director of Economic Development which asked Members to approve the creation of a new fixed-term post of Special Representative to Asia and to approve the recruitment process. Minutes from the November Policy and Resources Committee were tabled at the meeting for Members’ information.

The Director of Economic Development advised the Committee that the City Corporation’s international engagement would benefit strongly from the creation of this post and that it would provide access to markets in China and India. The Chairman of Policy and Resources further advised that the City Corporation’s activities in Asia were insufficient and this role would be hugely beneficial, the Chairman of Policy and Resources added that he was supportive of the creation of this post and it had been endorsed by the Policy and Resources Committee at their November meeting.

The Chairman of Policy and Resources advised of the importance of having the right individual in the role in order for the post to succeed; an individual had already been identified given the special nature of the role and the limited options it presented.

During further discussion the following comments were made:-

• some Members raised their concerns in relation to only one candidate being considered for this role and the importance of following the proper due process. The Chairman of Policy and Resources agreed that there would be a formal interview with the candidate;
• it was important to have representation in Asia, but there are other global markets that should also be considered in the future;
• some Members asked for more joined up thinking when looking at roles of this nature.

RESOLVED – That the Committee:

a)    approve the creation of a new fixed-term post of Special Representative to Asia for the purposes and on the terms set out

Report of the Town Clerk.

The Committee considered a report of the Town Clerk which provided the opportunity to review the Committee’s Terms of Reference.

The Town Clerk advised the Committee that the representative of the Finance Committee would no longer be referred to as ex-officio and was an appointed Member to the Establishment Committee.

RESOLVED – That the Committee:

a)    approve the terms of reference of the Committee for submission to the Court of Common Council as set out at Appendix A to the report, subject to the following amendments:

-       make explicit that the representative of the Finance Committee was an appointed Member;

b)    agree to retain the current six-cycle frequency of meetings.

Report of the Director of Human Resources.

The Committee considered a report of the Director of Human Resources which provided Members with an updated Register of Interests for Chief Officers.

Members asked that the question on “benefit derived by the City of London Corporation” be removed from the questionnaire.

RESOLVED – That:

a)    the question on benefits be removed; and

b)    the Committee receive the report for information.  

Report of the Town Clerk, the Chamberlain, and the Comptroller and City Solicitor.

The Committee received a joint report of the Town Clerk, Chamberlain, and Comptroller and City Solicitor which sought approval from Members for the provisional revenue budget for 2017/18, for subsequent submission to the Finance Committee.

Members asked that the wording on page 47 be changed from “a summary of manpower” to “staffing statement”.

RESOLVED – That:

a)    the wording be amended on page 47 of the report;

b)    the Committee review the provisional 2017/18 revenue budget to ensure that it reflects the Committee’s objectives and, approve the budget for submission to the Finance Committee; and

c)    the Committee authorise the Chamberlain to revise these budgets to reflect any further implications arising from the Service Based Reviews and other corporate efficiency projects.

Director of Human Resources to be heard.

Members considered item nine after item four.

The Director of Human Resources gave a presentation to the Committee on the Pay and Reward Strategy; copies of the presentation were tabled at the meeting.

The Director of Human Resources advised that an analysis had taken place on the current Pay and Reward Strategy which looked at the following areas:

·         whether the current job evaluation scheme was fit for purpose, feedback had shown that the current system is too slow and greater freedoms in relation to reward would be welcomed by staff;

·         the current pay levels and the effect of using Market Forces Supplements (MFS) and the effect these have on pensions. The Director of Human Resources explained that although the temporary nature of the MFS has on occasion impacted recruitment, all 175 MFS in place were deemed to be right for the market; and

·         the benefits offered to staff were rated as excellent during an external review, but could be promoted more.

In response to a Member’s question on timeframes, the Director of Human Resources explained that the initial work would focus on the short term which would take place up to 2020 and in the longer term, work would focus on how the process can be improved.

The Director of Human Resources advised that in conclusion the salary and grade structure is fit for purpose, but a different structure would need to be created in relation to the Job Evaluation system so that Human Resources can provide additional support to other departments.

RESOLVED – That the Committee note the update.

Report of the Director of Human Resources.

The Committee considered a report of the Director of Human Resources which provided information on redundancies, early retirements, and ill health retirements in the reporting period 1 July to 30 September 2016.

RESOLVED – That the Committee note the actions taken under delegated authority.

There were no questions.

There were no urgent items.

MOTION - That under Section 100A(4) of the Local Government Act 1972, the public be excluded from the meeting for the following items of business on the grounds that they involve the likely disclosure of exempt information as defined in Part I of Schedule 12A of the Local Government Act.

RESOLVED – That under Section 100(A) of the Local Government Act 1972, the public be excluded from the meeting for the following items on the grounds that they involve the likely disclosure of exempt information as defined in Part I of the Schedule 12A of the Local Government Act.

To agree the non-public minutes of the meeting held on 25 October 2016.

The non-public minutes of the meeting held on 25 October 2016 were approved.

Report of the Town Clerk.

The Committee noted a report of the Town Clerk which provided details of non-public outstanding actions from previous meetings.

There were no questions.

There were no items of urgent business.

To agree the confidential minutes of the last meeting held on 25 October 2016.

The confidential minutes of the meeting held on 25 October were approved.

Report of the Director of Human Resources.

The Committee noted a confidential appendix to the report of the Director of Human Resources regarding the Operation of the Scheme of Delegations.

Report of the Town Clerk.

The Committee agreed a report of the Town Clerk in relation to Culture, Heritage and Libraries.

Town Clerk to be heard.

This item was considered at item four.