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Written question asked by Fiona Mactaggart (Labour) on Thursday, 8 July 2010, in the House of Commons. It was due for an answer on Monday, 12 July 2010. It was answered by Danny Alexander (Liberal Democrat) on Tuesday, 21 December 2010 on behalf of the Treasury.


Public Sector: Pay

Question
To ask the Chancellor of the Exchequer whether he has made an assessment of the effects on (a) men and (b) women of his proposals to freeze pay in the public sector.
Answer

The Emergency Budget announced a two year pay freeze from 2011-12 for public sector workforces, except for those earning £21,000 or less, who will receive an increase of at least £250 a year. This policy will help protect jobs and the quality of public services.The Government have assessed the impact of the pay freeze on men and women using Annual Survey of Hours and Earnings (ASHE) data.The precise impact on individuals earning £21,000 or less will be determined by the relevant employer. However, compared with the previous Government's policy of a 1% pay cap for 2011-12 and 2012-13, it is likely that the emergency Budget policy will represent less income for public sector workers earning over £21,000—but an increase in income for those earning £21,000 or less.It is estimated that 65% of those employed by the public sector are female. However, 78% of those employed in the public sector earning £21,000 or less are female and will therefore benefit from the Government's policy.In addition, the £3.3 billion in savings from public sector pay restraint will help protect public sector jobs. Given that 65% of public sector employees are female around two thirds of jobs protected will be those of women. Pay restraint will also protect the provision of public services that are used by both women and men.


Secondary information

Type
Written question
Reference
8103; 520 c1147-8W
Session
2010-12
Subjects
Pay Public sector
Link
View this Written question on www.publications.parliament.uk