Public sector servants in some parts of the UK have a higher salary that a private sector employee within the same region. A new study reveals that teachers, nurses and council workers earn nearly 15 percent more than private sector employees in similar cadre. The pay scale further varies depending on age, gender, qualification and experience. Even though the findings are true, leaders and unions oppose the revelation and term it as “misleading”. They even argue that such a comparison is helping people to use it as a mean to erode further their pay and work conditions. According to Policy Exchange study, public sector servant earns 6.1 percent pay premium or £1,400 more in a year in similar conditions than the private sector employee.
To further complicate the issue, the pay is dependent on the area and its development. For example, in central London, a public servant receives a less pay in ...view middle of the document...
This is what happening in the private sector where employees have agreed for a marginal or a nominal pay cut in order to restrain a layoff. However, public servants with tremendous experience and skill are being paid enormously which equals to the pay scale in the private sector company. This is specific to certain employment categories and is not feasible with every cadre of employment.
According to Dave Prentis, General Secretary of public sector workers union, the real difference between the top level and bottom level employees. Bankers and financiers are always receiving bonuses and taxes at all times irrespective of economic condition. On the contrary, the public sector may be following the footsteps of the private industry regime in order to save money and employment. Eliminating pay scale based on the region will bring a positive approach to employment and will end the inequality that the country currently faces. There will be inequality in the public sector and the biggest losers will be lower-paid staff.
Both public and private sectors have to work together to bring out a policy or action that would put an end to the existing inequality. It is necessary for both the sectors to think about offering a minimum wage that would help meet each weekend for an employee depending on their qualifications and experience. Ending inequality is another way to balance the gap and end the long run comparison procedure. Becoming commercial is one way helpful for the public sector as it can reap benefits and yet maintain the same team even in tough times. That said; the company has to work out thoroughly on developing a scale that will not create a gap within the organization.
There are numerous challenges ahead for the public sector before it adopts an appropriate action that would decrease and eliminate over a period the inequality in pay scale. Privatization of the UK public sector will help reduce over spending and at the same time deliver an even pay scale across all the regions based on the cadre. Such action will bridge the gap between the government and private sector pay scales.