Public sector pay rise cap 1.5%

Originally published in Evening Times, 22/5/2009

BASIC pay awards in the public sector must not exceed 1.5% as Scotland copes with the recession, the Finance Secretary said today.

John Swinney confirmed the limit in Scottish Government guidelines on pay in the sector, which also states that overall wages should not increase by more than 3%.

The policy affects 28 public bodies, including Scottish Natural Heritage and Scottish Enterprise.

Mr Swinney said: "Scotland is in recession. Public spending is under pressure due to this Government receiving the worst settlement provided for any administration since devolution.

"It is only right that in those circumstances, public sector pay awards are kept under tight control. The priority has to be that increases are both affordable and sustainable.