Archive:Public employment - United Kingdom

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<Introduction: simple language, not too long, kind of executive summary>

Regional and administrative organisation

Introduction

The United Kingdom is a unitary State made up of four constituent countries: Scotland, England, Northern Ireland and Wales. It is governed by a parliamentary system with its seat of government in London, the capital, but with three devolved national administrations in Belfast, Cardiff and Edinburgh. It is a Parliamentary Monarchy and the Queen is the Head of State.

System of government

The British administrative system is based on the Westminster-Whitehall system (House of Commons and House of Lords). The Government is responsible for running the machinery of government. The Prime Minister is the leader of the parliamentary majority. The Government is made up of all Ministers. There are three types according to competences. The Prime Minister’s Cabinet is chaired by the Cabinet Secretary with coordination powers.

The internal structure of Departments appoints a Permanent Secretary (Secretary of State), which is equivalent to the Deputy Secretary in the Spanish Administration, who acts as the Head of Staff and Internal Affairs in the Department.

Departments are organized into administrative units or General Directorates. These posts correspond to senior civil servants so there is a great deal of professionalism in the English administration, which has less political positions than other administrations.

Agencies and other public bodies are responsible for implementing the public policies entrusted to them. The Director-General manages the resources assigned to the Agency using a framework document, the guidelines of which are normally set out by the Head of the Ministry. Agencies employ approximately 72% of civil servants in the Central Administration.

Quangos are independent administrations, which are not controlled as strictly as Agencies (for example: BBC). Finally, private companies and organizations from the services sector have emerged as a result of the outsourcing or privatization of British public services.

Regional Organization

There are the following levels of regional organization:

A) Regional. The Welsh, Scottish and Irish special characteristics have given an important boost to regional self-government, with a variety of assumptions in the following cases:

• Scotland has a Parliament and a Government. The first Scottish Parliament was elected in 1999 and it was made up of a total of 129 members. It has powers to set income tax.

• Wales: The first Assembly was elected in 1999, with 60 members. It is led by a Government which is chaired by a Prime Minister. This Assembly does not have powers in terms of funding.

• Northern Ireland: The devolution of its autonomy began in 1999, and was suspended until 2007 for political reasons. The Assembly has 108 members.

• England: It has created Regional Development Agencies in the different Regions which have to form their own Assemblies. Meanwhile, they act as Central Government Development Agencies in these Regions.

In 2000, London also re-established the Greater London Authority (abolished in 1986). The Mayor and his 25 Members are directly elected. The development of the funding system for these entities is under study.

B) Local Levels:

Constituencies: They are Counties (Regions in Scotland) and Metropolitan and nonmetropolitan districts (There are parishes in the latter and Neighbourhoods in the Metropolitan Areas).

Services are divided between both levels and the Government. The County is responsible for the most costly services such as education and social services. Districts have a lower budget and focus mainly on services at a local level.

The local corporation council is elected by majority vote and the Plenary is built at the same time as the executive and legislative power. As for relations between Central Government and City Councils, Local government is particularly important. Its competencies are established by law and it implements Government policies in sensitive areas such as education. There is limited financial independence as they depend on subsidies from the Ministries.

Public Administration

The British administrative system is characterized by the complexity of the territorial political entities, as budgetary allocations and subsidies are key factors in the functioning of the English Administration. According to tradition, Municipalities are prior and independent of the State. Therefore, orders are received from Parliament and not from the Crown.

The importance of the “Rule of law” must be highlighted, or in other words, submission to Common Law, which means that the Crown is subject to Common Law, which gives particular importance to judges in this political-administrative system. Finally, the lack of a written Constitution means that the British system is highly characterized by tradition and custom.

Public Employment structure

Regulation: The main regulations are: 2006 Civil Service Code and 1996 Civil Service Management Code.

Structure: The Civil service model encompasses two structures: the open structure for higher grades and the closed structure for the rest of the administrative grades. The closed civil service has two channels: the general, equivalent to general corps and the specialised, equivalent to the special corps. The open structure brings together senior civil servants, the elite of the British Civil Service, which comprises around 3,000 members.

Employee distribution, which has some special characteristics such as the little importance of employment in regional authorities, due to its recent creation, although they employ around 40% of public employees (it must be remembered that the Local Administration implements many policies drawn up by the Central Government). The size of the Central Government public employees (around 20%, as the rest belong to the health service or nationalized industries) is concentrated in the Agencies (75% of them) as civil servants in Departments are increasingly representative.

Agencies and Employees from the Private Sector: Management positions in Agencies fit the profile of private sector executive. The Head of the Agency usually is paid according to the evaluation of the objectives fulfilled and he is responsible for leading and managing Agency staff, with prerogatives over civil servants. This has led to the entry of many executives from private companies into these posts, although the presence of senior civil servants is also significant. They may return to a position in the Department if they do not wish to remain in the Agency or if they have failed to achieve the target objectives.

Employee Categories: Civil servants are only those working in Ministries and Agencies. They represent 9% of public employees. The majority of public employees (public servants) are regulated by their individual contracts which are subject to employment law. Employment conditions often vary between employees. Casual staff is appointed on a temporary basis in order to satisfy a short-term need. It is contracted for a maximum period of 12 months, which in special circumstances may be extended by up to 24 months.

Public Employment Management Body: Ministry for Civil Service. The Ministries and Agencies also define the rules of conduct for their employees and should ensure their fulfilment in accordance with the Civil Service Code.

Statistics: The English population is 60.7 million and there are 3.4 million public employees (20% at central level). Civil servants account for around 15%. Of the public 490,000 employees, 4,212 (1%) are Senior Civil Servants, representing 1.8% of the active population.

Civil servants according to age (Data: September 2007).

Number of civil servants in full-time employment (In thousands)

Rights, Obligations, Principles And Values

Ethical Code: The rights and obligations of British civil servants are stipulated in the 1996 Civil Service Code. Each Ministerial Department or Agency establishes the rules of conduct for its own staff. Civil servants serve the Crown, and are considered to be employees of the Crown. They should be honest and impartial in the performance of their duties and more specifically: a) They must not disclose information acquired in the course of their official duties. b) They must not participate in any political or public activity that may compromise their impartial service to the present or future government. c) They must not misuse their civil servant status or information acquired in the course of their official duties to further their private interests. d) They must not accept gifts or any other benefits from anyone which might reasonably be seen to compromise their judgement or integrity.

The Right to strike is recognised in practice although it does not appear in any legal texts. On the other hand, civil servants are under the obligation not to apply a supervisory decision which is deemed to go against the code, the law or ethical considerations. Public sector employees are entitled to remuneration, a pension and compensation in the event of redundancy.

Working Conditions: Ministries and Agencies may agree to reduced working hours for their employees or the modification of other working conditions, provided that certain requirements are fulfilled, namely a report request from the Civil Service Pensions Division.

Safety and Hygiene: The 1974 Act is applicable in this field, regulating the employer’s responsibility for the health, safety and well-being of its employees, in any workplace, including at home. There are safety representatives in each Department and Agency.

Flexible Working: There has been an increase in the proportion of Senior Civil Servants working in flexible patterns (5.5%). In April 2003, in accordance with the Employment Act 2002, parents of children under the age of six or disabled children under the age of 18 were allowed to request flexible working. Since 2007, this right has been extended to carers of adults.

Leave: Leave is regulated in the 2006 Work and Families Act, which is applicable to all employees and allows leave for: Maternity (26 weeks). Maternity Pay or SMP (Statutory Maternity Pay) can be paid for up to 39 weeks and is payable by the employer, although it may be partially reimbursed by the state. Paternity leave must be completed within 56 days of the actual date of birth of the child.

Employees who have completed one year’s service with their employer are entitled to 13 weeks’ unpaid parental leave for each child born or adopted. Parents of disabled children can take 18 months leave until the child reaches the age of 18.

Career-Based System. Training

In relation to administrative careers, it is necessary to differentiate between senior civil servants and other categories. The career of the former is centralised and clearly defined, but promotion for other categories is devolved to Departments and Agencies, which are free to establish their own promotion criteria (always respecting the principles of merit and ability). Professional promotion is not linked to seniority in the Public Administration, but on the job performance appraisal, which determines promotion and pay to be received. Civil servant salaries are established according to a minimum and maximum pay band, which is normally set by each Department and is applied in accordance with the results of the performance appraisal.

Training. The United Kingdom began developing on-going training schemes in the 1980’s. The management and financing of training is decentralised, but there is a National School of Government for this purpose and a development programme that consists of training employees with the potential to advance to Senior Civil Service positions. It comprises Central Departments (the Home Civil Service), Diplomatic Service, Science and Engineering Fast Stream, Clerkships in Parliament, DfID Technical Development Officers. They are all known as the Graduate Fast Stream.

Remuneration

Pay is based on the level of responsibility and on functions performed. The Ministerial Departments and executive agencies are responsible for determining pay scales under the Civil Service Management Code, as well as the economic limitations established by the Treasury. The Senior Civil Service has had its own pay system since 1996, consisting of a salary scale which is reviewed by the Senior Salaries Review Body.

Social Dialogue And System Of Representation

A 1966 Agreement granted civil servants the right to negotiate salaries and working conditions. The State is represented by the Swedish Agency for Government Employers (SAGE), which is an independent national agency responsible for Agreements with employees.

All State Agencies are compulsory members of SAGE, which is fully funded by membership fees. Central government staff are represented by the three trade union organizations.

The Basic Agreement and the Cooperation Agreement are established between SAGE and the unions for the central government sector, and must be approved by the Government. These agreements regulate the processes of negotiating pay levels and general conditions of employment and set out how the parties may act in the event of industrial action. These agreements also establish basic regulations to govern such action.

The framework negotiations about pay and working conditions are first carried out at central level between SAGE and the unions. The parties conclude a central collective agreement, which sets out the framework and preconditions for local pay negotiations for the relevant period. Central agreements provide a wide scope for parties at agency level to adapt the terms to their own conditions in local collective agreements. With the signing of the central agreement, the parties undertake to refrain from industrial action.

The conclusion of the central agreement is followed by local negotiations between the employer and the local unions. No industrial action may be taken while these negotiations are underway. New pay levels for individual employees are decided in a pay-setting dialogue between employer and employee, or after negotiations between the employer and the local trade union. Furthermore, other employment conditions may be adapted to local conditions through collective agreements, e.g. working hours, health benefits, etc. Local collective agreements specifying forms of co-operation between the employer and the local unions in more detail may also be concluded.

Other directly binding central agreements are also concluded covering job security, pension regulation, and other general employment conditions.

Senior Civil Servants

There is no formal SCS status in Sweden. As a result of the decentralisation of public employment, Senior Civil Servants can be divided into two groups. The first group consists of the following posts: Director-Generals, Governors and other senior positions such as Heads of Agencies or University members. The second group also comprises State Secretaries or Deputy Secretaries. (Summary Table)

Recruitment: Recruitment takes place either internally within Government Offices, from Agencies, or from the private sector, focusing on knowledge, leadership and experience to fill a specific post. State Secretaries are politically appointed. At agency level, the Director-General is appointed by the Government and is selected on the basis of his/her skills and merit for the post. In some cases, however, politicians are appointed Director-Generals.

Management: In Sweden, the Government has delegated most of the employer responsibilities to the Agencies that carry out the business of the central administration. Each agency hires its own staff and has a specific budget for this purpose. The Government SAGE a specific role to coordinate public employment for senior positions and to negotiate with the trade unions.

Assessment: The Government’s most recent policy on human resource management stipulates that the relationship between Ministry management and the respective agency heads should be developed by means of regular performance dialogues. The dialogue usually focuses on the analysis of each Senior Civil Servant’s personal and management skills. Each Agency must carry out assessments for each staff category and define the basic parameters for these evaluations.

Training and Leadership Programmes: The Ministry of Finance is responsible for developing diverse leadership and training programmes. These programmes are not Compulsory for Agencies but are usually followed. The courses are developed with the aim of developing the leadership skills of senior civil servants and it is the responsibility of each Agency to provide the necessary guidelines in terms of public employment so that Agency Heads can carry them out. On-going training is organised by each employer at internal training centres or externally.

Mobility: Since all Senior Civil Servants are employed under fixed-term contracts, the issue of mobility is not always easy. An Agency Head, or similar post, is normally appointed for six years and may be extended for a further three years. Upon contract expiry, it is easier to move to another Agency or another employment sector.

Diversity and Equality Policies: In Sweden there is a diversity policy focusing on gender equality between civil servants in general and between Senior Civil Servants. The aim of these policies is to reach full equality between men and women. Work-Life Balance: There is no regulated working time for Senior Civil Servants, as their working time is based on trust, providing flexibility in order to balance private life and work. The average working week shouldn’t exceed more than 39h 45m.

Tele-working: Tele-working facilities are available for Senior Civil Servants, but in practice they have to attend a lot of meetings and conferences which reduces their ability to work from home.

Part-time Work and Flexible Working Times: Part-time work and flexible working times are possible due to favourable legislation and it is usual for public administration staff to make use of this possibility.

Parental leave: A parent (mother or father) is entitled to leave to care for their child. In such cases of leave, compensation is paid by the Swedish Social Insurance Agency. The government employer will pay supplementary compensation, so that the total compensation to a parent is 90 percent of his or her income during the majority of the leave. Parents of small children also have the possibility of working part-time.

Leave for childbirth or adoption – Parental benefit: New parents receive parental benefit from the Swedish Social Insurance Agency in the case of leave for the care of a child. Parental benefit is payable for a total of 480 days. Ten of these days are reserved for paternity leave. For 390 days the compensation is a maximum of 80 per cent of the income up to the income ceiling1. Government employees receive supplementary compensation from the employer for a maximum of 360 of the days with parental benefit. The supplementary compensation means that the total compensation corresponds to 90 per cent of the income. Parental benefit can also be paid for a further 90 days on the lowest benefit level, where the payment is SEK 180 per day.

Care of a sick child – Temporary parental benefit: An employee requiring leave for a sick child receives compensation for the care of a sick child from the Swedish Social Insurance Agency. The compensation is 80 per cent of the pay up to the income ceiling. The government employer pays a supplementary compensation on the income that exceeds the income ceiling for up to ten days per year. This means that the employee receives a total compensation of 80 percent of the income during these days.

Recent Reforms and Prospects

Sweden has based its reforms on social dialogue, promoting cooperation and transparency and reinforcing controls on civil servants. A new public pension system for all the labour market was implemented in Sweden in 1999. This reform created two obligatory contribution systems, so that all public employees born after 1954 reaching the age of 61 after 2015 will come under the new system. The highlight of this system is the automatic pension revaluation mechanism, so that contributions are adapted to current requirements. In 2003 a complementary pension system was implemented by a binding agreement between the social partners for central government administration.

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