HC Deb 21 May 1980 vol 985 cc208-9W
60. Mr. Marlow

asked the Minister for the Civil Service how the increase in the rates of pay of the Civil Service has compared with that of industrial workers over the last years; and what action he intends with regard to Civil Service pay in the coming years.

Mr. Channon

From April 1978 to January 1980 basic rates of pay in the non-industrial Civil Service rose by an average of 24.5 per cent. During the same period basic weekly and hourly rates for manual workers went up by 26.8 per cent.

For the future the Government will continue to ensure that Civil Service pay is held within the cash limits used to control expenditure.

63. Mr. Farr

asked the Minister for the Civil Service to what extent the index-linking of their pensions reduced the pay increases of between 18 and 19 per cent. recently offered to the members of the Civil and Public Services Association.

Mr. Channon

The new pay levels were fixed using evidence from the Pay Research Unit on outside staffs' pay and conditions. Two separate deductions were made from their total pay to take account of pensions: first there was a deduction for all differences in pension contributions actually paid; secondly, on the advice of the Government Actuary, a single deduction of 3.8 per cent. was made for differences in average pension benefits, including pensions increase. In addition, male civil servants are required to contribute 1.5 per cent. of salary for family benefits. The combined effect of all these deductions is equivalent to 8½ per cent. of salary.