The Employment Committee of Hertfordshire Council is scheduled to meet on Tuesday 27 January 2026 to discuss the council's pay policy for the upcoming financial year, review pay structures and principles, and consider updates on workforce programmes. The meeting will also address the recruitment of a new Programme Director for Local Government Reorganisation (LGR) transition.

Pay Policy 2026-27

A report is scheduled to be presented regarding the Pay Policy for April 2026 to March 2027. This policy is required annually under the Localism Act 2011[^1] to promote transparency and accountability in relation to remuneration. The report outlines the proposed policy for the upcoming financial year, including the pay ratio to be published, and references data to be released in April 2026 concerning senior manager remuneration and the council's gender pay gap. The committee is asked to recommend the adoption of the proposed Pay Policy to the County Council.

2025 Pay Review – Hertfordshire Pay Principles & Pay Structure

This item will cover the outcomes of the first part of the 2025 Pay Review, focusing on the council's pay principles and an examination of the Hertfordshire Salary Scales for Local Government Workers. The review indicates that the current salary structures, at Pay Point 3 of each level, are largely meeting or exceeding the agreed market benchmark, suggesting no significant changes are required to the structures themselves. The report also addresses amendments to overlaps within the structures, with a recommendation not to make changes at this time. Additionally, the initial review of the contractual Market Unsocial Hours Payment (MUSHA) will be presented, with a recommendation to maintain its current format pending a wider review.

2025 Pay Review – Organisational Leadership

This report details the findings of the Pay 2025 review concerning the Organisational Leadership Job Family pay levels (Levels 15-21) and market enhanced ranges. The review indicates that for most levels, the salary at Pay Point 3 meets or exceeds the market median. However, Levels 21 and 18 show Pay Point 3 falling below the median, and Levels 17 and 19 are closer to the median. The recommendation is to adjust the three-point range for four roles in Level 18 to ensure their maximum pay point is at or above the market median, with an estimated annual cost of £24,000 from April 2026. The report also assesses 22 roles with market enhanced ranges, concluding that no amendments are currently required. An update on Coroners' pay is also included for information.

Recruitment Programme Director – LGR Transition

The committee will receive an update on the recruitment process for a new Programme Director for Local Government Reorganisation (LGR) transition. This role is being created to provide strategic leadership and programme oversight for the significant changes involved in establishing new unitary authorities across Hertfordshire. The position will be hosted by Hertfordshire County Council, jointly funded by all 11 Hertfordshire councils, and will be a fixed-term contract for 24 months. The report outlines the proposed recruitment process, including advertising, shortlisting, and final interviews, with an estimated start date between April and June 2026. The role is to be advertised at Level 18, Pay Points 2 to 4, with an estimated annual cost of £157,000-£174,000, plus potential executive search agency fees.

Workforce Programme – Savings Update

This item concerns a proposal to introduce a time-limited Mutually Agreed Resignation Scheme (MARS) for council employees. MARS is described as a voluntary severance tool designed to achieve workforce cost reductions without resorting to compulsory redundancies, particularly relevant given the council's projected reduction in central government funding. The scheme would operate under clear eligibility criteria to ensure critical service delivery is maintained. The report outlines the proposed timeline for engaging with trade unions and launching the scheme, along with application criteria and the council's discretion to refuse applications. The financial implications involve an initial cost for severance payments offset by savings from vacant posts. An Equality Impact Assessment (EqIA)[^2] has been conducted for the MARS process.