GM Pay Equality Coalition
Flat 7, 176 Wilmslow Road
M14 5LG
laura.bannister@greenparty.org.uk
6th November 2014
Dear Leaders of the Greater Manchester Local Authorities:
Richard Leese Manchester City Council Leader, Ian Stewart Salford City Mayor, Sean Anstee Trafford Council Leader, Jim McMahon Oldham Council Leader, Colin Lambert Rochdale MBC Leader, Sue Derbyshire Stockport MBC Leader, Kieran Quinn Tameside MBC Leader, Clifford Morris Bolton Council Leader, Michael Connolly Bury Council Leader, and Peter Smith Wigan Council Leader,
We wrote to you in May 2014 asking about your plans to reduce pay inequality through a Living Wage and a commitment to Fair Pay. We received no response.
This week is Living Wage week and we are writing to you again to urge you to champion the Living Wage and Fair Pay.
We are very encouraged that the all of the councils in GM have demonstrated a commitment to paying a living wage to their direct employees now or in the near future, and that many have recently uprated their living wage policies to meet the official Living Wage Foundation rate of £7.65 for 2014.
Although raising bottom pay to a Living Wage has marginally reduced the pay gaps, in 9 out of 10 Councils (with the exception of Rochdale) top pay is still over 10 times that of the lowest paid and top earners are in the top 1% of earners in the UK.
However, little progress has been made in securing a living wage for outsourced council workers or making outsourcing companies accountable for pay gaps, which can see top managers earning up to 200 times that of the lowest paid.
We urge all GM councils to:
Implement the new Living Wage rate as soon as possible.
Demonstrate a commitment to Fair Pay and help pay for a Living Wage for all council workers by reducing their pay gaps over time so that no employee earns more than 10 times that of the lowest paid.
Ensure all workers employed in the delivery of outsourced council contracts are paid the Living Wage and use your procurement process to require that companies fulfilling council contracts demonstrate their commitment to this goal by becoming accredited Living Wage Employers.
Make outsourcing companies accountable for pay gaps by including them as a consideration in awarding contracts.
We believe the GM councils can, through these steps, create a more equal economy, one which is better for everyone and more sustainable, by reversing the disparities that have opened up between high and low earners.
We look forward to hearing from you.
Yours sincerely,
Steady State Manchester (Benjamin Irvine)
Equality North West (Philip Duval)
North West Green Party (Laura Bannister)
Greater Manchester Living Wage Campaign (Tom Skinner)
National Community Activists Network (Joe Taylor)
Macc (Mike Wild)
GMB North West and Irish Region (Kevin Flanagan)
St Antony's Centre for Church and Industry (Kevin Flanagan)
A large number of Greater Manchester residents have also expressed their support.
See report: 'In Place of Pay Inequality: How local authority pay policies can help make Greater Manchester more equal and sustainable, and why it matters', Steady State Manchester/Equality North West, March 2014.
Also: 'Living Wage and the Role of Local Government' Centre for Local Economic Strategies/GM Living Wage Campaign
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