Thursday, October 16th, 2008
More than 30 councils are to be allowed to raise an extra £455m to fund equal pay claims from their female staff.
The move is an acknowledgement that in spite of improvements, there are still too many instances where women receive less pay than men for doing the same work. There has been a huge rise in the last few years in the number of women taking legal action to assert their right to equal pay.
Figures from the tribunal service reveal that the number of claims rose 155% over the last year and now tops 44,000. This has put a lot of strain on many local councils which have suddenly had to pay out tens of millions of pounds.
Now 34 councils are being allowed to sell some of their assets or borrow against them to raise £455m. The money will be used to make one-off back payments to thousands of women who have been underpaid for several years.
The move is part of an ongoing programme which has provided more than £1.1billion over the last three years. Local Government Minister John Healey said: “Work of equal value deserves equal pay. Local government workers have the legal right to fair pay like anyone else, but some councils have let unequal pay persist for decades.
“I’m determined to see councils settle their equal pay obligations. Local government workers should get the equal pay to which they are entitled.
“Good progress has been made over the past year. But this is not a new obligation on employers and I now want to see even greater progress made, and the momentum of the past year maintained.”
Any employee, whether in the public or private sector, who feels they have been underpaid or discriminated against in any way, should seek legal advice as soon as possible.
We are happy to provide more information about this or any aspect of employment law. Contact Jonathan Friend now.
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