“Withdraw the compulsory redundancies”: £7,804,000

Before our members read this article. It is important to note that there is no detriment to the best of our knowledge to the Pension Scheme because of the unlawful actions identified in the report going to Full Council on Tuesday 28 January 2025. This is confirmed in paragraph 10.2 of the report.

“It should also be emphasised that as the Local Government Pension Scheme (LGPS) is a defined benefit scheme there is no impact as a result of these transactions on members’ benefits.”

 

What has happened?

UNISON has only recently discovered that something unlawful has taken place involving payments to the Council’s Pension Scheme.

The matter was first publicly discussed Pension Fund Committee – Tuesday 14th January 2025 7.00 pm.

You can listen to the discussion by clicking on the link below. You need to scroll 1 hour and 6 minutes to hear the discussion about the unlawful payments.

https://aisapps.mediasite.com/AuditelScheduler/Player/Index/?id=a1c6cfd1-5311-44ae-94fa-6aff99b35ae6&presID=11f4679ca075408d948fb7b34a51a1811d

 

The next piece of critical information came to our attention when the reports were published for the Full Council on Tuesday 28 January 2025.

One damning paragraph stands out:

“5.2.1 After taking advice, and based on the information available the Monitoring Officer and the Section151 Officer are of the view that the Additional Payments and the Repayments were unlawful.”

Source: Report to all Elected members of London Borough of Barnet Under Section 5(2)(a) of the local Government and Housing Act 1989 and Section 114 (2)(a) Local Government Finance Act 1988 By Jessica Farmer Monitoring Officer and Kevin Bartle Chief Finance Officer (Section 151 Officer).

https://barnet.moderngov.co.uk/documents/s87758/Appendix%20A%20joint%20report%20S5S114.pdf

The report uses the term unlawful ten times unlawfully once and unlawfulness once.

It is a shocking report.

UNISON recommends that members read the above report that is being discussed at Council meeting.

The two paragraphs set out what happened:

“4.2 The Council (acting as a scheme employer) made a one-off prepayment of £20,477,000 to the Fund in April 2020 (“the Prepayment”) instead of secondary contributions for the years 2020/21, 2021/22 and 2022/23. This was because the Council was advised that a Prepayment would save the Council money compared  with making secondary contributions over three years. The Council received leading counsel’s advice, which was taken without reference to the Monitoring Officer, that making the Prepayment was lawful in principle.”

“4.4 After the Prepayment, the Council continued to make periodic payments of (in effect) secondary contributions for the three financial years 2020/21, 2021/22 and 2022/23 (“Additional Payments”). These were made contrary to the Rates and adjustments Certificate. In effect, the Additional Payments would duplicate the Prepayment, and so officers also arranged that the Fund would repay most of the Additional Payment back to the Council in three annual repayments (“Repayments”). Because of a lack of documentation and staff turnover, the Monitoring Officer and Section 151 Officer have not been able to understand clearly when or why the Additional Payments and Repayments were arranged. As far as the Monitoring Officer and current Section 151 Officer can tell, the most likely explanation is that, at the time, officers believed that the outcome of these fund flows would be advantageous for the Council in accounting terms, while not being disadvantageous to the Fund. In any event, the Additional Payments were made and two of the three planned Repayments have also been made: £6,508,000 in October 2020 and £7,574,000 in October 2021.”

For those of us who are not financial experts the two paragraphs explain that not only was an unlawful payment of £20,477,000 made into the Pension Fund but that a further three payments were made of the next three years which resulted in effect in a double payment into the Pension Fund. Towards the end of the final paragraph the Council explains that the Council clawed back two payments back but that once the unlawful payments had been discovered everything was put on hold.

Many of our members reading this report will know that they all are expected to follow Council procedures and understand what happens if you don’t follow. Many of our members will be wondering about who has the powers to authorise spend. The responsibilities for senior managers are set out in what is referred to as the Scheme of Delegation which you can read on the Council website here https://barnet.moderngov.co.uk/documents/s24780/Appendix%20D%20-%20Scheme%20of%20Delegated%20Authority%20to%20Officers.pdf

There are a number of questions UNISON has about how this could happen, but our immediate concern is in regard to the numerous redundancy consultations taking place.

£7.8million is a lot of money that is owed to the Council.

At this moment in time the Council is coming to a close on a number of redundancy consultations which, if confirmed, are going to mean staff will be made redundant. Vacancies will be deleted in teams where there is already increasing pressure on the workforce to deliver more with less resources and to work in a job where their pay has failed to keep up with the cost-of-living crisis.

It is UNISON’s understanding, and we would be happy to publicly correct it if we have misunderstood the report above, that Barnet Council is attempting to find a way to retrieve £7,804,000 back from the Council’s Pension Fund.

£7,804,000 is a lot of money and it is UNISON’s view that if this money were back in the Council’s bank account, then it could be used to mitigate some of the redundancies/cuts to public services which are about to be signed off by Barnet Council.

In the meantime, we have several questions.

  1. Was there a scheme of delegation for the Pension Fund?
  2. If not, why not?
  3. Who made the decision to make the prepayment?
  4. Who decided to make the decision to subsequently carry on with payments that the prepayment was intended to cover?
  5. Who can authorise a payment of up to £20million
  6. What was the cost of the initial legal advice in 2020?
  7. Who has authority to seek counsel’s opinion
  8. Who did seek counsel’s opinion in this case?
  9. Was counsel’s opinion seen by the monitoring officer?
  10. If yes what was their opinion, if not why not?
  11. Was the scheme was initiated by the council acting as the fund or as the employer i.e. did the pension fund ask them to do it?
  12. What has been the total cost of legal advice and tax advice taken so far?
  13. Has anyone been subject to a disciplinary investigation?

 

Recommendations:

As a result of the breaking news UNISON is demanding the following:

  1. The redundancies are withdrawn in anticipation that the monies owed can mitigate the need to make the redundancies in this year.

 

 

“No stone left unturned” Number 2: CEO The Barnet Group & Plumber with oncosts.

Barnet UNISON was approached by Barnet Council to correct the figures included in our article UPDATED : Barnet Council the Tale of “Three Chief Executives and one plumber” https://www.barnetunison.me.uk/wp/2024/10/18/barnet-council-the-tale-of-three-chief-executives-and-one-plumber/

According to information provide by Barnet Council, The Barnet Group (TBG) Chief Executive (CEO) salary is £202,511 with and additional £16,132 for pension which makes a total cost for this role £218, 643

According to information provided by Barnet Council, TBG Plumber salary is £36,029 with additional £12,308 on costs which makes a total cost for this role £48,337

What is concerning about this information is that it appears that the oncost for the CEO is lower as a percentage than the oncosts of the plumber.


UNISON Comment:

Barnet UNISON has written to TBG asking for details of how they calculate oncosts for each post.

At a time when Barnet Council is in a serious financial crisis it is important that there is clear transparency and openness around spend.

Barnet UNISON will update this post once we have a response from TBG.

End.

“No stone left unturned” What is The Barnet Group (TBG)? Number 6: Part Two

Ever since we published our article called Three Chief Executives and a Plumber, we have been inundated with questions about The Barnet Group (TBG).

Barnet UNISON published three animations which were put together with the help of our Barnet UNISON reps in TBG

Here is Animation Number Two which appears to have been screened in London Docklands.


After watching this animation we strongly recommend you reading our article Three Chief Executives and a Plumber, here https://www.barnetunison.me.uk/wp/2024/10/18/barnet-council-the-tale-of-three-chief-executives-and-one-plumber/

End.

Barnet Council Agency Spend – Update more to follow

Below is the graph showing agency spend since 2010.

Last year Barnet Council spent £20 million.

In September 2024, staff were informed that there was a £20million deficit for this years budget.

At the end of August 2024, Barnet Council had already spent £11,950,348.29 on Agency workers.

In the meantime Barnet UNISON is trequestioing a breakdown of the use of agency/consultants across each directorate. We want to see what vacant posts are being covered by agency workers.

Since then Barnet Council has put in control measures for agency spend.


We are now waiting for the latest update on Barnet Council Agency spend for September………….

 

End.

 

 

Social Care and Repair Workers 87% Vote Yes to Action on Pay

“If the those at the top can’t pay up then one of them should go so we do have money. We don’t need so many big Daddies.”

Anju, The Barnet Group UNISON rep

On a turnout of 70%, 98% agreed with Barnet UNISON’s pay claim and 87% said they were willing to take strike action in favour of the pay claim. The overwhelming majority of these are care and support workers.

Workers in The Barnet Group who are affected by the London Living Wage, having no enhanced rates of pay for working nights, bank holidays or overtime rates were surveyed in an indicative ballot for strength of feeling over these issues. Barnet UNISON’s pay claim was put to them.

Shockingly the lowest paid in The Barnet Group were given no pay rise for the whole of 2023! Paying the new rate of the London Living Wage 6 months after the new rate was announced with no backdate does not help the lowest paid.

The pay claim is: 

  1. Backdate the London Living Wage increase to £13.15 to the 1/11/23 and maintain differentials between other grades in YCB.
  2. Pay Overtime Rates of time and a half Monday to Saturday and double time Sundays and Bank Holidays.
  3. Pay enhanced rates of 25% Saturday 6am to 10pm; 50% Sunday all day; 100% Bank holiday (25% = time and a quarter; 50% = time and a half; 100% = double time)
  4. Pay an increased Rate of time and a third for night working (10pm-6am).

Barnet UNISON hopes that the results of the survey will lead to productive talks where consideration will be given to the demands. If no such consideration will be given we will progress to a formal ballot of these members with a view to taking strike action.

On hearing the results this is what some of our reps had to say:

“It’s a good result for us. Actions speak louder than words. We work so hard, we deserve it. We get no thank you’s.”

Tracy, The Barnet Group UNISON rep.

 “It’s time to act. It’s a call from the trenches.”

Pauline, The Barnet Group UNISON rep

“The COVID heroes have spoken. The Barnet Group needs to listen.”

Patrick Hunter, Assistant Branch Secretary for Barnet UNISON

“Most of these workers are skilled workers and yet they have rates of pay which are lower than for unskilled work. Is it because they are women? Is it because they are predominantly Black? If Equalities actually mean something, then this needs to be sorted.”

Helen Davies, Chair of Barnet UNISON.

 

End.

 

Barnet UNISON consultative ballot for care workers

 

13 February 2024

Dear colleague,

We want you to participate in this consultative ballot to make it clear to senior managers just how strongly you feel about your pay.

We will be letting senior managers know the results of the ballot, so this is your chance to make a difference. If enough people vote yes, then it will not be your last chance and we may progress to balloting our members officially about your willingness to take strike action.

During the COVID pandemic you put your lives and the lives of your families/ loved ones on the line to keep members of the public safe. It took a long time for you to then receive an uplift in your pay, terms and conditions….and it was not enough.

In any case the small gains you made in pay were smashed away by the cost-of-living crisis.

What can The Barnet Group afford? Perhaps we should ask the question differently – You have been identified as essential workers; can any employer afford the cost of you not doing your job?

What you must do now?

If your workplace setting has a UNISON rep, you should ask them for your ballot paper. Your rep should be checking with you that the address on the envelope matches your current home address. If we did go on to carry out an official ballot, the letter would go to your home address. We need to know we have your correct details. Complete the ballot paper and hand it back to your UNISON rep.

If your workplace has no UNISON rep, the ballot paper will be posted to you directly. Please complete the ballot paper and put it back in the pre-paid envelope and post it back to us.

Your ballot paper needs to reach us by 5pm 23rd February 2024

 

Yours Sincerely

 

John Burgess                                  Patrick Hunter                           Helen Davies

Barnet UNISON                               Barnet UNISON                         Barnet UNISON

Branch Secretary              TBG Assistant Branch Secretary                Branch Chair

 

 

 

 

Bringing Services Home – Barnet UNISON campaign

 

Barnet UNISON is proud to announce that we are promoting UNISON Bringing Services Home campaign.

As a branch we have had more than our share of outsourcing. The easy Council experiment was a spectacular failure. It cost more money (yes, we told them it would!) and it did not lead to better services.

In May 2022, Barnet Labour Party won the election with a massive majority and one of their priorities was “Review of contracted out services, in the context of the new administration’s aspiration to bring privatised services back in-house.”

Last year Barnet Labour Party brought back one of the big contracts with Capita and other services on the other Capita contract have been coming back in-house.

The Council is going through a period of healing from the badly advised outsourcing ideology which dominated our Council for over a decade.

Today Barnet UNISON has written to all senior council officers responsible for outsourced contracts seeking a meeting to discuss how and when they are going to review the outsourced service.

Barnet UNISON also want to deal with the Ethnicity Pay Gap which the outsourcing easy Council ideology promoted by always securing the outsourcing option for services which are largely provided by Black workers e.g.

  1. NSL: Parking Services
  2. ISS: Catering Services
  3. Your Choice Barnet: Social Care services
  4. Norse: Cleaning services
  5. Blue 9: Security Services.

All the above services were outsourced under the Tories.

Barnet UNISON positively supports the statement of UNISON general secretary Christina McAnea said:

“Black workers make a vital contribution to the health and care sector but are all too often at the bottom of the pay scale as care workers, porters, healthcare assistants and catering staff. They frequently face shocking discrimination, threatening their health, job security and life chances.”

This why Barnet UNISON is determined to work with the Labour Administration to bring back these services into the Council thus enabling real life meaningful changes for a workforce that is often invisible and often low paid and without occupational sick pay.

End.

 

Breaking News: UNISON President & Vice President are joining the mass lobby at Hendon Town Hall Tuesday 1 November

News in that our UNISON National President Andrea Egan and UNISON National Vice President Amerit Rait are attending the mass lobby outside Hendon Town Hall on Tuesday 1 November from 6 pm in support of the Barnet Strikers.

“I want to thank both Andrea and Amerit for taking time out of their busy schedules to come down and support our Barnet Strikers. This is what leadership means. It’s what workers want to see from their union. Our branch is 100% behind our Barnet Strikers also known as the “Barnet Ten” and so is the leadership at the top of UNISON. I can’t wait to hear the message they will be bringing to the employer the Barnet Group who defending the indefensible at the expense of Barnet Council housing tenants. 200 repairs jobs a week are being cancelled it’s a disgrace.” (John Burgess Branch Secretary, Barnet UNISON).

Directions to the lobby: Nearest tube is Hendon Central on northern line. Turn right out of the station. It’s a 10 minute walk to the top of the hill. Turn right and 200 yards on the left is the Town Hall.

 

End.

 

 

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