HC Deb 23 July 1980 vol 989 cc493-4
62. Mr. Hal Miller

asked the Minister for the Civil Service on what basis Civil Service pay is now determined.

Mr. Channon

The present pay system for the main non-industrial grades of the Civil Service, up to and including assistant secretary, is based on fair comparisons with the pay and conditions of comparable jobs outside, made by an independent Pay Research Unit. Recommendations for the pay of grades above assistant secretary have for some years now been provided by the independent Top Salaries Review Body under Lord Boyle. In taking its final decisions about Civil Service pay increases each year, the Government must also take into account any overriding national considerations.

Mr. Miller

Is my right hon. Friend aware that there is widespread concern about the basis of comparability on which Civil Service pay is determined in the grades that he has described, but that any new basis for payment would have to be agreed and negotiated with the representatives of those involved?

Mr. Channon

I think that I agree with both those points. I am well aware of the concern in all quarters of the House, and we are at present looking for improvements in the way in which Civil Service pay is determined.

Mr. English

How are the Government getting on with the question of incentive payments for civil servants?

Mr. Channon

That is one of a number of studies on which I have already opened discussions with the Council of Civil Service Unions. I hope to be in a position to make a statement in due course.

Mr. Farr

In his negotiations with the Civil Service, what account was taken of the privilege of index-linked pensions?

Mr. Channon

There are three specific deductions for index-linked pensions. As my hon. Friend knows, a committee under Sir Bernard Scott is at present considering the whole question of deductions for pensions in the Civil Service and other sections of the public service.

Mr. Arthur Lewis

Is the Minister aware that the Government could save thousands of millions of pounds a year if they treated civil servants on the same basis as they treat Members of Parliament?

Mr. Channon

I think that there is something in that. However, a saving could be made if the hon. Gentleman stopped tabling so many written questions.