9:08am Monday 15th March 2010
By Mike Laycock
THE cost to the taxpayer of settling City of York Council’s equal-pay dispute has come to almost £4.9 million.
Hundreds of council workers – mostly women in low-paid jobs, such as carers – have been seeking compensation for discrimination which historically saw them being paid less than men doing comparable work. The Press recently reported how 77 members of the Unison union were to receive thousands of pounds each through an out-of-court settlement costing about £500,000.
Now the authority has revealed the total provisional payout to date for resolving the long running equal pay saga is £4,882,000.
That is almost £300,000 more than the £4.6 million final bill estimated in 2008, which itself was half a million more than had been budgeted for.
A spokeswoman said today the authority was committed to equal pay for all its staff and, alongside the recently completed comprehensive pay and grading review, had been working hard to address “perceived historical issues” that had affected York as well as many other councils.
“This process has recently been concluded with the outcome being both value for money for council tax payers and also a fair outcome for the individuals concerned.”
Every public authority in the country has been affected by equal pay legislation, which dates back to the 1997 Single Status Agreement.
Councils agreed then to end discrimination, with underpaid employees entitled to six years of back pay.
In 2008, a Government Minister gave 34 authorities including York permission to sell property or borrow money to help meet such costs.
A council spokeswoman said the authority had been making financial provision for the settlements since 2004.
Council leader Andrew Waller said the authority had been putting money aside for years to meet the bill, using interest gained from money deposited in the banks.
He said: “Many councils are in the process of settling, or have not yet reached the stage that York is at.”
He said Liverpool council faces a bill of £35 million, Cumbria County Council owes £40 million and Newcastle, £12 million.
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