HR to play vital role in managing public service change
Public sector employers must strengthen HR capabilities to manage staff engagement and industrial relations during major changes driven by austerity and policy shifts, according to an Acas report. The study warns that erosion of employment conditions risks undermining the public sector ethos and requires strategic workforce management to maintain service quality.
MP advocates fear and discipline for public sector workers
Policy minister Oliver Letwin argues that “discipline and fear” are necessary to drive excellence in public sector services, though union leaders criticize the approach as counterproductive and already causing chaos in vital services.
Average public sector pay rise: zero percent!
Public sector workers face a pay freeze while private sector employees receive an average 3% pay rise, according to Incomes Data Services. With inflation running at 4-5%, even private sector pay increases fail to keep pace with rising costs of living.
Birmingham City Council’s Martini employment contract in flux

Birmingham City Council’s controversial ‘Martini’ employment contract—which allows managers to demand staff work anywhere, anytime—will be imposed on all remaining workers from November 1st, despite unions warning of lost bonuses, overtime pay, and benefits totaling up to £6,000 annually for staff.
NAO warns public sector HR is not delivering
The National Audit Office warns that public sector HR is failing to deliver value, with only 48% of civil servants reporting that training improved their job performance. Unclear accountability, fragmented departmental strategies, and poor alignment between skills development and business needs are undermining the government’s £275 million annual training investment.
BBC announces cuts to tackle criticism
The BBC will cut two-thirds of its senior managers and cap executive pay at nine times the median staff salary, new chairman Lord Patten announced. The broadcaster aims to reduce senior managers from 530 to 200 by 2015 and become the first public organization to publish its “pay multiple” to show salary comparisons.
Difference in earnings between public and private sector widens in poor job market

Public sector workers earned 7.8% more than private sector workers by April 2010, with the wage gap widening 47% since 2007. However, job growth in both sectors slowed to a 22-month low, reflecting employer caution in a weakening jobs market.
Head of HR in NHS to be replaced by interim
Clare Chapman is stepping down as the NHS and Social Care’s director general of workforce to join BT as Group People Director. Jan Sobieraj will assume the role on an interim basis, as the NHS faces significant workforce cuts and sector-wide changes.
Lowest paid in public sector to lose out on pension contributions
Public sector workers earning under £15,000 annually will be exempt from increased pension contributions as the government links retirement age to the state pension age. Workers earning between £15,000 and £18,000 will see contributions rise by no more than 1.5%, with increases phased in gradually over three years.
Teaching unions vote to strike

Two major teaching unions have voted to strike on 30 June over proposed pension changes, with a third union expected to follow. Up to 750,000 public sector workers could participate in what would be the largest outbreak of public sector unrest in years.
Council off shoring move leads to Union anger
Birmingham City Council’s plan to offshore 100 IT jobs to India has sparked union anger, with strikes being considered over the cuts and changes to pay and conditions. Unions claim they weren’t consulted and fear the move is just the beginning of wider outsourcing by other councils.
Public servants co-ordinate strikes to fight cuts

Over a million public servants are set to coordinate national strikes starting June 30 to protest government budget cuts, pay freezes, and pension changes. The PCS union and three teaching unions are balloting members for what would be the first coordinated strike action since 1979, expected to disrupt schools and government services.
Public sector pay ‘better than in private sector’

Public sector workers earned significantly more than private sector employees in 2010, with hourly wages up to 35% higher according to a Policy Exchange report. The pay gap widened in most UK regions between 2008 and 2010, particularly affecting the lowest-earning private sector workers who faced steep pay cuts.
London Underground agrees strike action

London Underground staff have voted to strike in support of two dismissed drivers, with the RMT union claiming they were sacked for union activities. The move comes as Parliament considers proposals requiring 50% of union members to back strikes, with the government criticizing the union’s decision to ballot while cases remain in the employment tribunal.
Recruitment procurement framework for local authorities sees 11 companies triumph
Eleven recruitment agencies have been appointed to a new Managed Services for Temporary Agency Resources framework designed to help local authorities reduce recruitment costs and tendering time. The framework covers corporate hiring, education recruitment, or both, with Manpower and Reed winning all six available lots alongside other suppliers including Adecco and Blue Arrow.
Over 20, 000 clinical NHS jobs to be cut
Over 20,000 clinical NHS jobs will be cut in the next three years, despite nurses already struggling with inadequate staffing levels. Research shows 95% of nurses work beyond contracted hours, raising patient safety concerns.
Public sector pay should be linked to performance

An independent review recommends linking senior public sector managers’ pay to performance through an “earn back” scheme while rejecting a proposed 20:1 pay cap. The report suggests greater pay transparency and publishing pay ratios could help restrain executive compensation without arbitrary limits.
Union fury at public sector pension plans
Public sector unions condemned Lord Hutton’s pension reform proposals, which would replace final salary schemes with career average earnings and raise pension ages. The GMB and Unison warned the changes could trigger industrial action, while the CBI backed the government-backed report as necessary to address a £10 billion annual pension liability gap.
Public sector pension reform may spark action
A Treasury review recommends sweeping public sector pension reforms including replacing final salary schemes with average earnings-based plans and raising retirement age to 65. Union leaders warn the changes could spark widespread industrial unrest among public workers already facing pay freezes and job cuts.
Public sector recruitment freeze extended while police face cuts
The UK government extended its civil service recruitment freeze and warned police forces of necessary pay cuts and job losses. Home Secretary Theresa May proposed a two-year police pay freeze and reforms to overtime and allowances to save £350 million from the £11 billion wage bill, drawing criticism from police unions.