NHS Flexible Resourcing

FAQs: equal pay 

 
These frequently asked questions, which are updated as
information becomes available, have been put together by the Department of Health with input from representatives of NHS organisations, the NHS Litigation Authority and NHS Employers.

Q. How many claims are there?

A. There are approximately 13000 claims in the NHS in England.  There are also claims in Scotland and Wales.

Q. Who are the claims from and what are they seeking?

A. The claims are poorly litigated so it is not always clear what the individual employees seek.  However the claims are mainly from women seeking payment for alleged past inequalities with male colleagues, under the pay arrangements that preceded Agenda for Change.

Q. Why don't we settle the claims?

A. We are keen to progress and resolve the claims as quickly as possible.  However, the merits of individual claims cannot be assessed until  several legal issues have been litigated. It would be irresponsible to settle claims some or many of which may turn out to have no merit.

Q. The trust can't answer the challenge to Agenda for Change. This was negotiated nationally.

A. Secretary of State will defend the Agenda for Change system and is a respondent in several claims.  But trusts are of course responsible for the local implementation of the system.

Q. What are the legal points to be litigated?

A. There are approximately 10 legal issues. Two examples are: 
• we need to establish whether an applicant in one trust can compare themselves with and seek the same pay as someone in another trust. 
• in law staff rated as equivalent by a job evaluation scheme and hence placed in the same pay band are not necessarily of “equal value”.  A recent Employment Appeals Tribunal ruling has contradicted the common misconception that common pay banding under a job evaluation scheme creates a right to “back-pay”.

Q. When will the legal position be clear?

A. The legal timetable is not in our hands.  It will be some months before legal points are heard in the Employment Tribunals and they are not all being heard in the context of a single case.   Depending on the outcome either party may appeal the Judgment to higher courts which will further delay resolution of the point.

Q. My trust only has two claims and we want to settle them to get them out of the way?

A. You need to discuss this with the NHSLA and your solicitors who will advise you.  However settling claims is likely to encourage other staff to lodge claims and this could raise expectations of staff unjustifiably.  You need to be sure that settlement is merited before going down that path. 

Q. Why aren't all cases stayed while the common "test" issues are sorted out. That would save everyone - not only trusts - a great deal of time, money and aggravation.

A. The decision on how claims are handled in the tribunal is down to tribunal chairs. A case management discussion on 10 September 2007 agreed on a test case which raises a number of national issues. The outcome of this test case will inform and impact on how other claims with national issues are dealt with, therefore these claims have been stayed until the outcome is known.

Q. Could there be a common approach to grievances, equal pay questionnaires and FOI requests to save re-inventing the wheel.

A. The recommended panel of solicitors meet regularly to discuss claims treatment in order to promote a common approach across the NHS.  There is advice on the NHSLA web site and the NHSLA welcome suggestions for improvement.  However it is not possible to recommend a blanket course of action as each case has to be assessed separately.

Q. What will claims cost?

A. We don’t know until there is more information on the merits of groups of claims; and by the same token it is unlikely that individual employers could assess costs.

Q. How will claims' settlements be funded?

A. Any cost that may arise from claims will need to be met by NHS trusts.  No central support will be provided by either the Department or HM Treasury.  In cases where NHS trusts find it difficult to meet the cost of claims, they will be able to agree a loan with the Department.

Q. We are incurring mounting legal costs in defending the claims.

A. Costs can be kept down by using solicitors from the NHS Litigation Authority panel who offer competitive rates, and also have access to the legal network which the NHS Litigation Authority have established. In a few cases, where the NHSLA accepts that a particular trust is running the leading case on one of the test issues, some help with legal costs may be available.

Q. How is claims management being managed centrally?

A. Under a statutory instrument and Direction, the NHSLA has been charged with assisting trusts with claims management to ensure that there is a consistent and informed approach to claims which are generally poorly litigated, spread across the country, but which have many similarities.  The NHSLA are well placed to fulfil this role with wide experience of handling litigation.  The NHSLA report to the Equal Pay Project Board, a strategic group that meets bi-monthly with all stakeholders represented.

Q. Why should I use solicitors on the NHSLA panel rather than the trust's normal solicitors?

A. Equal pay is a complex area.  In the interests of co-ordination and consistent treatment of claims the NHSLA has recommended a small number of solicitors covering the whole country. These lawyers offer very competitive rates, and specialist expertise. This simplifies claim management and facilitates clear communication lines and messages between trust/solicitors and the NHSLA. 

Q. I intend to use solicitors not on the NHSLA recommended list

A. If you intend to use solicitors not on the recommended list it would be helpful if you could discuss this fully with the NHSLA to ensure that the trust is not isolated from mainstream developments on claims management.

Q. Why should the trust sign up with the NHSLA?

A. The NHSLA needs to be able to represent the NHS as a whole on equal pay claims so that it has authority in dealing with tribunals and other organisations to speak on behalf of the NHS as a whole.  There is no cost to accessing the advice and support the NHSLA can provide so there is no reason not to sign up with the NHSLA.  The bottom line is that this does not commit trusts to any particular course of action but will help trusts to be informed on the sound and considered national stance on claims.

Q. Why should Foundation Trusts follow the national line?

A. Foundation Trusts are part of the NHS and claims lodged against Foundation Trusts are likely to be similar to claims lodged at other trusts.

Q. Will Foundation Trusts be able to access funds under the loans arrangement the DH has set up?

A. No. But Foundation Trusts, unlike trusts, can access funds commercially.

Q. If an aspirant Foundation Trusts has claims will that affect consideration by Secretary of State and Monitor of the FT application?

A. Foundation Trust applications are assessed under particular criteria and it will depend on whether the claims affect these considerations.

Q. How will I know what developments there are across the NHS and who should I notify of developments at the trust?

A. Individual trusts should contact the NHSLA for any update on wider claims management across the NHS and also look on the NHSLA web site. Contact EqualPayAdvice@nhsla.com or contact John Mead the Technical Claims Manager tel: 020 7430 8821. The web site is www.nhsla.com.

Also the SHA lead will be interested in developments and will have information on the wider picture.  Additionally many SHAs are holding equal pay seminars aimed at CEs, HR Directors and Finance Directors.  Your SHA equal pay lead contact will organise these. A list of SHA equal pay leads is attached.  Both the NHSLA and SHA leads will keep DH informed. NHS Employers will update employers on national developments through the Workforce Bulletin.

Q. What should trusts with claims do?

A. There are several things. First contact the NHSLA to notify them of your claims.  They will explain their role and encourage you to sign up with the NHSLA for claims management.  You are advised to use one of the NHSLA recommended solicitors.  The solicitors will advise you on handling claims. We ask you to let the SHA lead knows if there are significant developments with your claims.

Q. Should comparators be informed who have been named in claims?

Comparators should be informed by their employers once they are cited by claimants' representatives as a matter of  courtesy and good practice.

Last reviewed 6 Feb 2008

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