Tag: trade unions

TUC warns of ‘Debt Timebomb’

Next year will see 11% real-terms rise in unsecured debt with household debt hitting record levels in 2026

  • Britain “cannot afford the Tories” – TUC General Secretary to warn in New Year Message 
  • Paul Nowak calls for early general election to “end years of national decline”  

The TUC has warned that families are facing a “debt timebomb”. The warning comes as new analysis from the union body reveals that unsecured debt (loans credit cards, purchase hire agreements) is set to increase by £1,400 in real terms next year, on average, per household. 

The analysis of official statistics shows that in 2024 household unsecured debt is forecast to rise by 11%.  

And over the course of the next parliament unsecured debt is set to rocket by £6,000 (+43%), on average, per family. 

The union body warned that unsecured debt per UK household is on course to reach a record level of £17,200 by 2026 – exceeding the previous high of £16,800 set in 2007. 

By 2028 unsecured debt per household is set to top £19,000. 

Unsecured debt includes credit cards, loans and purchase hire agreements, and excludes mortgages. The TUC excluded student loans from the analysis. 

Families left exposed  

The TUC says working people have been left brutally exposed to rising costs after years of pay stagnation. 

UK workers are on course for two decades of lost living standards with real wages not forecast to recover to their 2008 level until 2028. 

The TUC estimates that the average worker would now be £14,800 better off if their pay had kept up with pre-crisis real wage growth trends since 2008. 

The union body says the sharp spike in debt, along with stagnant living standards, will “more than wipe out” any gains from the Chancellor’s cut to national insurance tax and leave many families “under the cosh”. 

The Office for Budget Responsibility says the period between 2021 and 2024 will be the worst for living standards (real household disposable income per person) since records began in 1955. 

New Year’s Message 

TUC General Secretary Paul Nowak warns that Britain “cannot afford the Tories” in his annual New Year Message. Calling for an early general election, he said: “Every month the Tories stay in office the more families will be pushed into debt. 

“This party of out-of-touch millionaires is more focussed on clinging to power than on growing our economy and getting living standards rising again. If something doesn’t change, real wages won’t recover to their 2008 levels until 2028. 

“These 13 years of economic stagnation have left working people brutally exposed to the cost of living crisis. We cannot afford a Tory government for one day longer.” 

Highlighting the choice on offer at the next election, Nowak said: “After years of national decline, Labour’s New Deal for Working People would be a gamechanger. It would be the biggest expansion of workplace rights in a generation.  

“No more zero-hours contracts and no more fire and rehire. Employment rights from day one. Union rights to access the workplace. New fair pay agreements. Repealing the attacks on the right to strike. 

“And more than that, the prospect of a new era of a grown-up, constructive approach to industrial relations, where disputes are solved through negotiation. 

“And a clear commitment to put unions and employers at the heart of a modern-day industrial strategy.” 

Highlighting the TUC’s ongoing campaign against the government’s new anti-strike laws, Paul Nowak said: “Nobody withdraws their labour lightly. It is the last resort when employers refuse to talk and refuse to compromise. 

“The action taken by union members [in 2023] forced bosses across the country back to the negotiating table and secured better deals. Unions will do everything in our power to defend that right to strike. It is a cornerstone of our democracy. 

“We won’t be intimidated by this government, and we won’t be bullied. The Tories’ Strikes Act is toxic, unworkable, undemocratic and likely illegal. And it’s a brazen attempt to try stop working people winning better pay and conditions. 

“The entire trade union movement will rally behind any worker who is sacked for exercising their right to strike.” 

STUC Disabled Workers’ Conference: Usdaw seeks to tackle gender-based violence and poverty

Retail trade union Usdaw has a delegation of reps and officials attending the annual Scottish Trades Union Congress (STUC) Disabled Workers’ Conference in Glasgow, Saturday 2 and Sunday 3 December.

The union has submitted motions on tackling gender-based violence against disabled workers, along with building a movement of protest against poverty.

Tracy Gilbert – Usdaw Regional Secretary for Scotland says: “The number of disabled people living in poverty in Scotland has increased in recent years with more than half of all people in poverty living in a household with at least one disabled worker.

“We reject any suggestion that this is inevitable, poverty and the failure to tackle inequality are political decisions. The disability employment gap in Scotland remains high with disabled women facing even greater discrimination, larger pay gaps and higher unemployment.

“As well as taking action to offset the immediate impacts of the cost-of-living crisis on disabled people and their families; the Scottish and Westminster governments must also act to address the underlying historical inequalities experienced by disabled people including the disproportionate impact of austerity policies.”

Usdaw welcomes the important role the Disabled Workers Committee play setting the record straight and is asking the STUC to:

  • Support the efforts of unions and disabled people’s organisations to tackle disability discrimination and change the way disabled people are viewed, valued and included in Scottish and wider UK society.
  • Campaign for improvements to social security so that as well as protecting disabled workers from poverty, it also prevents poverty; takes into account the significant and additional costs of being disabled; and fully supports independent living.
  • Continue to build a movement of protest against the current cost of living crisis that highlights the specific impact of the current crisis on disabled people and puts their voices centre stage.

Tracy Gilbert continues: “Studies show that disabled women are disproportionately likely to experience gender-based violence but are far less likely to report it.

“Workplace trade union reps have a vital role in supporting women workers to recognise and recover from abuse and this is particularly the case for disabled women who are often less able to access appropriate support and to have their voices heard.

“Changes to domestic violence legislation to include coercive control are important in understanding how specific abuse against disabled women may manifest itself in a variety of ways, for example where the abuser controls someone through their impairment or support needs.

“We commend the work union reps are doing to support disabled survivors of domestic abuse.”

Usdaw is seeking greater recognition by employers of the challenges disabled women face in escaping abuse and is calling on the STUC to:

  • Support affiliated unions to negotiate domestic abuse policies with employers that recognise the specific needs of disabled women workers.   
  • Involve disabled women in developing the trade union and labour movement’s work on gender-based violence.

Why global solidarity and action matter for decent work in the care economy

Care matters to us all. We all want good quality cradle to grave care for ourselves and our loved ones (writes TUC’s ABIGAIL HUNT). This is only possible if the workers delivering care services have good pay and conditions.

The global care workforce is huge, totalling at least 381 million workers, two-thirds of whom are women. Worldwide this is 11.5 per cent of total employment and 19.3 per cent of female employment. 

In the UK, adult social care jobs alone contribute at least £55.7 billion to the economy and constitute around 6 per cent of total UK employment. 

Yet care work is persistently insecure and exploitative. Low and insecure pay, bad employment conditions, violence and harassment, and a limited training and career development are part and parcel of everyday life for care workers.  

Recent TUC analysis shows that care workers across the UK are earning below the real living wage and are significantly underpaid relative to pay across the rest of the economy. The median salary of social care workers and childcare practitioners is less than two-thirds of that of all employees nationally.  

On 29th October, trade unions, governments, the UN and other social partners will mark the International Day for Care.

This day, initiated by trade unions and recognised in July through a UN General Assembly Resolution, gives visibility to the care economy – and care workers – worldwide and provides an opportunity to build momentum for increased public investment and decent work in the care sector.  

Here are three ways that global solidarity and action matter for decent work in the care economy: 

  1. The care workforce is global 

In recent years ‘global care chains’ have emerged as rising demand for care services has seen migrant workers, largely female, fill care jobs – including childcare, social care and domestic workers as well as nurses, doctors and educators – in turn leaving their own children and relatives in the care of paid workers and family in their home country.  

The UK is a key link in the chain, with labour migration increasingly recognised as critical to deliver care services. In 2022 the UK Government expanded the care worker visa scheme to help tackle the ongoing recruitment and retention crisis in social care. This meant that in 2022/23 70,000 international care workers were recruited, up 50,000 from the previous year.  

But the TUC has identified that as international recruitment has increased, so has the exploitation and abuse of migrant workers.

This includes wage theft, high recruitment fees with non-permitted repayment clauses and debt bondage as well as abuse of the immigration system by employers to blackmail workers and prevent them seeking other employment. 

Therefore the fight for decent care jobs must include the experiences, priorities and needs of international care workers.  

  1. The global union movement provides solidarity and support 

Global union solidarity and joint action is critical to build care worker movements and support workers.  

Sharing insights into working conditions helps unions provide vital workforce support. Trade unions in destination countries have provided information on immigration, employment rights and common labour abuses with migrant care workers via unions in countries of origin. This toolkit produced by unions in Italy is a great example.  

Global links also help unions make the most of political opportunities. Following the UK Labour party’s commitment to a Fair Pay Agreement in social care, the TUC has been learning from sister unions about their experiences with a similar system for sectoral collective bargaining in New Zealand.  

And global bodies like the International Trades Union Confederation and Public Services International help build care worker power. From inspiring and informing unions by documenting workers’ wins in the care economy to convening affiliates to influence global policy, international federations play a key role in the achievement of decent care work.  

  1. Global labour law and policy raise the bar on domestic standards for decent care work  

Global and regional labour standards and policy have tackled historic discrimination and exploitation against care workers by setting transnational employment rights floors – and binding governments to act.  

Recent examples include the groundbreaking 2011 Domestic Workers Convention (C. 189) at the International Labour Organisation (ILO), the UN agency that sets global labour standards, secured following a long campaign led by the International Domestic Workers’ Federation.

Many unions have now turned their attention to getting their government to ratify C.189, including in the UK. From Belgium to Mexico, where it is in force, C.189 has helped extend rights such as paid leave, minimum wages and employment contracts to domestic workers.  

In 2015 governments worldwide agreed the UN Sustainable Development Goals, including gender equality (Goal 5) and decent work (Goal 8). This has increased resources and political will, putting care on the policy agenda for the first time ever in many countries. 

Important regional initiatives have also emerged. Earlier this year European social partners agreed a social dialogue committee for social services, including adult social care and childcare, covering around 9 million workers across the EU. 

Next year will bring important opportunities to reinforce the global framework for care workers’ rights.  

In May 2024 governments, trade unions and employers will discuss decent work in the care economy at the International Labour Conference, where unions will seek commitment to a new ILO standard for care jobs. 

And we hope to see the UN General Assembly build on this year’s Resolution with a more substantive agreement committing governments to building and financing comprehensive care systems – with decent work and collective bargaining at their heart.  

Follow the International Day for Care: #InvestInCare #Care2023 

Read more about TUC’s priorities for the care workforce at these links:  

Improved offer to schools workforce

COSLA tables increased offer with school strikes looming

Local government umbrella body COSLA has tabled an improved offer to unions in an attempt to avert school strikes.

Commenting on a revised offer which was sent to the Trade Unions yesterday (Wednesday) COSLA’s Resources Spokesperson Councillor Katie Hagmann said:  “The reality of the situation is that as employers, Council Leaders have now made a strong offer even stronger.

“Council Leaders have listened to the workforce and then acted on what they heard by adding additional Council funds to get us to the position today where a revised offer can be made.

“We have also secured additional baseline funding from Scottish Government of £94 million, which will be built into the Scottish Government’s funding for Councils from next year, that ensures the viability and sustainability of this offer.

“This is an extremely strong offer which not only compares well to other sectors, but recognises the cost-of-living pressures on our workforce and which would mean the lowest paid would see a 21% increase in their pay over a two-year period.

“Councils value their workforce and this offer will support those workers during a cost of living crisis, whilst also protecting vital jobs and services. We hope that our Trade Union colleagues will give their membership the chance to consider this strong offer.”

Commenting on Cosla’s revised pay offer which was sent to unions last night, UNISON Scotland’s head of local government, Johanna Baxter said: ““UNISON Scotland’s local government committee will hold an emergency meeting first thing tomorrow (today, Thursday) and will go through the detail of Cosla’s revised offer and consider our position. UNISON will do everything we can to find a solution – we do not want to see mass school closures.

“However, we need to be convinced that this is a substantially improved offer. UNISON members in schools have voted in unprecedented numbers to take action and we have a mandate to call over 21,000 school staff out on strike over this – our members have clearly had enough. COSLA and the Scottish government need to make sure these workers are properly rewarded for their commitment and hard work.”

More than three quarters of Scotland’s schools face closure later this month in a dispute over pay, as UNISON announces strike dates. If it goes ahead the action will affect primary and secondary schools in 24 local authorities, with 76% of Scotland’s schools affected (1,868 schools).

UNISON, Scotland’s largest local government union, says more than 21,000 members will take part in the action over three days from Tuesday, 26 to Thursday, 28 September.

UNISON Scotland’s head of local government, Johanna Baxter said last week: “Going on strike is always a last resort – our members want to be in schools supporting children not on picket lines outside them.

“But they have been left with no option.  Local government workers overwhelmingly rejected COSLA’s below-inflation pay offer back in March and despite our repeated representations no improvement has been forthcoming.

“A real-terms pay cut in the midst of a cost-of-living crisis is a cut our members simply cannot afford.  This is not a highly-paid workforce – three quarters of local government workers earn less than the average Scottish wage.

“All they want is to be paid fairly for the vital work they do supporting Scotland’s communities – COSLA and the Scottish Government need to get back round the table and work with us to deliver that.”

Chair of UNISON Scotland’s local government committee, Mark Ferguson said last week: “Our members are steadfast in their resolve to fight for fair pay.  COSLA’s offer falls short of UNISON’s pay claim, it is also less than the offer made to the lowest paid local government staff south of the border.  

“No-one wants to see schools close but COSLA need to come back with a significantly improved pay offer very soon if strike action is to be avoided.  We remain committed to engaging in negotiations with COSLA and the Scottish Government at any point to try to resolve this dispute.”

COSLA has now came back with that new offer – but will this ‘even stronger’ offer be enough to avert looming industrial action?

BREAKING NEWS:

2pm: UNISON HAS REJECTED LATEST PAY OFFER – STRIKES GO AHEAD

EIS-FELA: Time running out to avert escalation of college lecturers dispute

The EIS has called on the Scottish Government and College Employers Scotland to take definitive action to ensure that college lecturers receive a fair and fully funded pay award.

College Employers Scotland have made clear to negotiators from the EIS-Further Education Lecturers Association (EIS-FELA) that their current offer would be funded through significant job losses across the publicly funded further education sector.

EIS-FELA members have been engaged in industrial action short of strike (ASOS), in the form of a resulting boycott and work to contract, since May 2023 and should have received their pay award one year ago.

Without an acceptable and fully funded offer, the EIS-FELA membership will escalate their industrial action campaign to include national and rolling strike action, alongside targeted strike action in the constituencies of key Scottish Government ministers, including the First Minister and Cabinet Secretary for Education.

As politicians from the Scottish Government and all other parties at Holyrood return from the summer recess, EIS-FELA intends to take the campaign for a fully funded and fair pay award directly to parliament, with a rally planned outside the Scottish Parliament to coincide with the first FMQs of the new session.

College Employers Scotland have also this week refused a request made by the EIS to extend the current industrial action mandate. In the absence of such agreement from College Employers Scotland, the EIS has continued with the implementation of a national re-ballot for both action short of strike and strike action that has opened today (Thursday 31st August 2023).

Commenting, EIS General Secretary Andrea Bradley, said, “Time is running out, on both the Scottish Government and College Employers Scotland, to avert the escalation of the crisis in Scotland’s colleges. No group of workers, least of all those in public sector institutions, should be told by their employers that they must sacrifice jobs to finance an already unacceptable pay offer.

“College Employers Scotland have yet to offer evidence that they have made clear to the Scottish Government that any acceptable pay award must be fully funded.

“The Scottish Government too must end its intransigence and avert this crisis by ensuring that no pay offer to hard working college lecturers is financed by job losses. EIS-FELA members are prepared to take substantial strike action, on top of action short of strike, in pursuit of a fully funded and fair pay award. They do so with the full backing of the EIS behind them.”

EIS-FELA President, Anne-Marie Harley, said, “College lecturers should have received a fair pay award a year ago and have been forced into the unacceptable situation of escalating their industrial action to a wide-ranging programme of strike action, including targeted strike action in the constituencies of Scottish Government ministers.

“We do so alongside a re-ballot of our members to ensure that we can continue this fight for fair pay for as long as it takes. EIS-FELA will never trade jobs for pay and both College Employers Scotland and the Scottish Government must act swiftly to avert strike action through providing a fully funded a fair pay award for college lecturers that does not result in job losses.”

A full programme of strike action is provided below:

  • Thursday 7th September: National strike Day.

Rolling Action Week One:

  • Monday 11th September: New College Lanarkshire and Orkney College.
  • Tuesday 12th September: Glasgow Clyde College and Sabhal Mor Ostaig.
  • Wednesday 13th September: Forth Valley College and UHI Moray.
  • Thursday 14th September: Glasgow Kelvin College and NESCoL.
  • Friday 15th September: Fife College and UHI North, West and Hebrides.

Rolling Action Week Two:

  • Monday 18th September: West College Scotland and Newbattle Abbey College.
  • Tuesday 19th September: UHI Argyle and Ayrshire College.
  • Wednesday 20th September: South Lanarkshire College and Shetland College.
  • Thursday 21st September: Dumfries & Galloway College and Dundee & Angus College.
  • Friday 22nd September: UHI Perth and Edinburgh College.

Rolling Action Week Three:

  • Monday 25th September: UHI Inverness and West Lothian College.
  • Tuesday 26th September: City of Glasgow College and Borders College.
  • Targeted Action: 2nd, 3rd and 4th October:
  • Glasgow Clyde College: First Minister’s constituency.
  • Fife College: Cabinet Secretary for Education’s constituency.
  • Dundee & Angus College: Deputy First Minister’s and Minister for FE’s constituency.

Choudhury supports Fire Brigade Union’s #CutsLeaveScars campaign

The Scottish Fire and Rescue Service (SFRS) have announced a programme of £11 million worth of cuts for 2023-24, which could lead to catastrophic removals of equipment and firefighter positions at fire stations.  

Crewe Toll Fire Station in Edinburgh is due to be affected, with the potential loss of the station’s Turntable Ladder, the piece of equipment which allows rescues from height. 

If the equipment is removed from the station, and if no other height appliance was available to attend, there would be no external rescue possible from above the fourth floor in a building.  

Foysol Choudhury MSP this week visited Crewe Toll Fire Station to discuss the impact that these cuts would have on the firefighters and their ability to do their job safely. 

Following the visit, Mr Choudhury said: “Firefighters risk their lives doing their jobs to save us, and our buildings, from fire.   

“They depend on vital equipment to help them do this safely and so I am incredibly concerned that this equipment could be removed, meaning that rescues from height will not be possible. 

“With over 50 buildings above four floors in the surrounding area, this proposal makes no sense.  

“If there is a fire in a block of flats in the area surrounding Crewe Toll, what will happen?  

“These cuts should not be made, knowing the dangers that fires can cause and the tragedies they lead to.  

“You can sign the petition to help Crewe Toll Fire Station retain their height appliance here: https://chng.it/CJncjdvty7” 

The Labour list MSP is supporting FBU Scotland’s #CutsLeaveScars campaign, which is calling for a reverse to the decision to cut £11million from services.

Mr Choudhury is also calling on the Scottish Government to urgently review their funding arrangements with the SFRS, so that these cuts are not forced and so that both firefighters and the public can be kept safe by a fully resourced fire and rescue service. 

Badge of Shame: Unions secure important win against the UK Government’s attacks on trade unions

 In a major defeat for the Conservative government, the High Court yesterday (Thursday) ruled that its agency worker regulations are unlawful, after a successful legal challenge by trade unions, coordinated by the TUC. 

The “strike-breaking” regulations were brought in last summer and allow agencies to supply employers with workers to fill in for those on strike.   

The High Court ruled that the then Secretary of State for Business, Energy and Industrial Strategy, Kwasi Kwarteng, failed to consult unions, as required by the Employment Agencies Act 1973 – quashing the 2022 changes. 

Eleven trade unions, coordinated by the TUC and represented by Thompsons Solicitors LLP, brought legal proceedings against the government’s changes to agency worker regulations in a bid to protect the right to strike. 

The unions – ASLEF, BFAWU, FDA, GMB, NEU, NUJ, POA, PCS, RMT, Unite and Usdaw – come from a wide range of sectors and represent millions of workers in the UK.  

Unison and NASUWT also brought separate legal challenges against the laws. 

The TUC says the ruling is a “badge of shame” for the Conservative government – and a “major blow” to “ministers’ attempts to undermine the right to strike”. 

In addition to these agency worker regulations brought in last summer, ministers are currently rushing through the Strikes (Minimum Service Levels) Bill, which is currently making its way through parliament.  

This could lead to workers being forced to work even when they have democratically voted to strike, and workers facing the sack if they refuse to comply. 

Damning assessment 

The Court was damning in its assessment of ministers’ failure to consult – and in particular, the conduct of the former Secretary of State for Business, Kwasi Kwarteng. 

The judgment says “the Secretary of State’s approach was contrary to section 12 (2) of the 1973 Act, so unfair as to be unlawful and, indeed, irrational.” 

The judgment goes onto say “the approach of Mr Kwarteng was to commit to the revocation of regulation 7 at a time when the advice to him was that it would be of negligible short-term benefit and probably be counterproductive.” 

Heavy criticism 

The change in agency worker regulations was heavily criticised by unions, agency employers, and parliamentarians. 

The TUC has warned these new laws could worsen industrial disputes, undermine the fundamental right to strike and endanger public safety if agency staff are required to fill safety critical roles but haven’t been fully trained.  

The Recruitment and Employment Confederation (REC), which represents suppliers of agency workers, has previously described the proposals as “unworkable”. 

The Lords Committee charged with scrutinising the legislation said “the lack of robust evidence and the expected limited net benefit raise questions as to the practical effectiveness and benefit” of the new rules. 

TUC General Secretary Paul Nowak said:  “This defeat is a badge of shame for the Conservatives, who have been found guilty of breaching the law. 

“Bringing in less-qualified agency staff to deliver important services risks endangering public safety, worsening disputes and poisoning industrial relations.   

 “The government railroaded through this law change despite widespread opposition from agency employers and unions. The courts even found ministers ignored evidence that the measure would be counterproductive. 

“This is the same reckless approach behind the anti-strike bill, which has faced a barrage of criticism from employers, rights groups and international bodies, and which has been amended by the House of Lords on three separate occasions during parliamentary ping-pong.  

“Ministers should spare themselves further embarrassment. These cynical strike-breaking agency worker laws must be scrapped once and for all – and the draconian anti-strike bill must be junked for good too.” 

Richard Arthur, head of trade union law, Thompson solicitors added: “This is a significant victory for the entire trade union movement and preserves a vital safeguard in ensuring the right to participate in industrial action is effective.  

“The judgment makes clear that the then Secretary of State (above) had a staggering disregard to his legal obligations when introducing legislation that enabled employers to engage agency workers to cover the duties of striking workers.  

“He was driven solely by a political ideology to meet a self-imposed deadline to implement the regulations in the face of mounting industrial action across the country.  

“He took this decision notwithstanding advice he received that it was likely to be counter-productive to the problem he wanted to address and was being rushed through without any regard being taken to the duty to consult which was a fundamental legal requirement.  

“This is bad law-making made on the hoof and the Court has rightly held the Government to account.” 

Edinburgh College staff strike over compulsory redundancies

Members of the Educational Institute of Scotland – Further Education Lecturers’ Association (EIS-FELA) at Edinburgh College yesterday took the first in a series of days of strike action in response to compulsory redundancies at the College.

The EIS-FELA Branch at Edinburgh College has had an active strike mandate in place for some weeks in pursuit of a dispute regarding compulsory redundancies, which has been successful in reducing the number of jobs under threat, through negotiation.

The EIS wrote to the College Principal last week urging further talks. Despite this, the College has rejected the appeal of one member of the lecturing staff against compulsory redundancy as of 30th June.

EIS General Secretary, Andrea Bradley said, “The EIS-FELA Branch at Edinburgh College has been left with no option but to proceed with strike action today in the face of wilful intransigence by the management of the College.

“Given the size and scope of Edinburgh College as an organisation, the EIS would have anticipated meaningful discussions and offers of retraining or upskilling for the colleague who faces unemployment as of Friday. 

“Despite retraining or upskilling being raised on several occasions by EIS representatives, and despite a so-called recruitment freeze having been abandoned, these discussions have not taken place, thereby limiting suitable alternatives to redundancy for the colleague who also happens to be an EIS Branch Rep.”

Ms Bradley continued: “It is difficult to fathom how such a large college, which delivers such an array of courses, would be unable to avoid this redundancy situation, especially as teaching hours seem to be available on college timetables for next term, based upon information received by the EIS.

“Spurious excuse after excuse has been made by the College as to why the work cannot be offered to the lecturer in question, appearing that the College cares more about targeting union reps and testing the water on compulsory redundancies of lecturers in the sector rather than ensuring the delivery of quality education and Fair Work for lecturing staff.

“The Scottish Government is culpable in this situation too. They have dealt major blows to Further Education in Scotland in the form of flat cash funding settlements and the recent withdrawal of £26 million of funding for FE.

“Lower than predicted student numbers, coupled with the cost-of-living crisis are also causing financial strain within the sector, yet the Scottish Government has sat back and watched these pressures mount towards the implementation of limited voluntary severance schemes and the very real threat of large numbers of compulsory redundancies in two colleges – City of Glasgow and Edinburgh.

“EIS-FELA, supported by the EIS itself, will not stand by and allow the livelihoods of our members to be threatened in this way. Strike action will continue post-summer unless an acceptable resolution can be reached.

“In the case of Edinburgh College, this should not be anything like the problem that the College has chosen to make it.”

Council braced for more cuts

‘Early grip’ of budget to ensure best value for residents

The City of Edinburgh Council has begun budget setting early in an extra effort to ‘futureproof the services which matter most to residents and deliver them more efficiently’.

A report published this week outlines high level proposals for how the council will ‘innovate to lower costs and provide best value for the people of Edinburgh’ when it sets its next budget.

As it is developed further, the Financial Strategy and Medium-Term Financial Plan will provide a forward look and action plan to address the city’s longer-term financial challenge – while staying true to Edinburgh’s core values, priorities, and commitments made in the council’s business plan.

With a focus on improving services where possible rather than reducing them, the initial proposals are based on:

  • An assumed Council Tax rise of at least 3 per cent;
  • A programme of internal change involving a new system to better support HR activities;
  • More efficient use of Community Transport;
  • Exploring new income and trading opportunities;
  • Making the best use of the council’s estate so that it has fewer but better buildings;
  • Managing contracts and partnerships more efficiently and at lower cost;
  • Driving down costs by embracing digital solutions.

This early planning comes just a few months after Councillors controversially agreed a Lib-Dem budget for 2023/24 set against a backdrop of real-terms reductions in core government grant funding.

Councillor Mandy Watt, Finance and Resources Convener, said: We’re proud of our commitment to making Edinburgh a greener and fairer city, and to getting the basics right. And we’re equally proud of our track record of strong financial management. This strategic approach prepares us for the challenges that we’ll face over the coming years.

“The work we do now will pave the way for protecting and enhancing our investment in Edinburgh’s future, which we’ve committed to in the council’s Business Plan. We need to make this investment, whilst also prioritising the day-to-day services residents say matter most to them right now.

“Local authorities have suffered a decade of continuous real term income cuts from central government and Edinburgh is no exception. In fact, Edinburgh remains the lowest funded council per head in Scotland, despite the unique pressures which come with being Scotland’s capital city – our projected population growth, the climate crisis, and our well documented housing shortage.

“The Scottish Government could do more to support Edinburgh. Fast tracking the Transient Visitor Levy, and allowing councils to decide what to use the income for, would make a huge difference to our finances.

“I know that financial planning can cause concerns, particularly amongst our workers, so I want to make it absolutely clear that I remain committed to the council’s longstanding approach to no-compulsory redundancies.

“A further report re-affirming this will be brought to a meeting of the Policy and Sustainability Committee in August and we will continue to engage with Trade Unions throughout the ongoing budget process.”

Council ‘driving forward’ plans to tackle the impact of poverty on women and girls

A key factor in the bid to end poverty in the Capital by 2030 is the steps being taken by the Council and partners to prevent and mitigate the impacts on women.

The Impact of Poverty on Women and Girls report highlights that women show a higher risk of poverty, and deeper experience of poverty, than men across Scotland.

This is closely linked to child poverty, given there is a proportionately high share of caring responsibilities adopted by women in general – 90% of lone parents are women, 38% of those in Scotland live in poverty.

Women have also been disproportionately affected by the cost of living crisis and, alongside childcare, these patterns are strongly driven by gender inequalities in the workplace. Women account for 60% of all low paid workers in Edinburgh and 78% of all part time workers.

In response to these challenges, actions in the Council’s End Poverty in Edinburgh Delivery Plan, and other plans, which are expected to prevent or mitigate the impact of poverty on women and girls, include:

  • Raising awareness of the gender impacts of poverty
  • Helping to increase incomes for women in poverty
  • Reducing the costs and impact of childcare responsibilities

Council Leader Cammy Day said: “Tackling poverty is one of our key priorities as a Council and our 2030 target is ambitious but one I’m convinced can be achieved. We have to act decisively if we’re to eradicate poverty in Edinburgh.

“It’s a fact that women are more likely to experience poverty and thus it was important that we had a separate update on specific actions being taken to help to further highlight this issue.

“It’s also of course not just the material constraints of living in poverty that make things hard, it’s the emotional strain and it is important that we do all we can to tackle this.

“This update on actions currently underway was well received by councillors who fully support the work of the End Poverty in Edinburgh Delivery Plan which gives an important overview of where we are. We know that we can’t achieve our goals in insolation.

“That’s why we are working with partners such as the End Poverty Edinburgh citizen’s group who help us make sure that the real experiences of people who live in poverty are at the centre of shaping the actions we take to tackle poverty and inequality in the capital city.

“Analysis of these actions will be continued, and I look forward to the update on the wider End Poverty in Edinburgh progress later in the year where will look at all households and priority groups.”

NO Poverty concerns for one new council employee. Edinburgh’s interim Director of Adult Social Care will be paid no less than £403,390 A YEAR!

I’m sure that will go down really well with the capital’s care workers, the majority of whom are women! – Ed.