Unique nature of the City of London Corporation
The City of London Corporation is an unusual organisation, in
that it has private and charitable functions as well as public
ones. It also functions as a local authority, a police authority
and a port health authority. As a result, the work of the City
Corporation is funded from one of three sources which it controls.
One is the City Fund (a public, tax-based fund); another is City’s
Cash (an historic, private fund that makes no calls on the public
purse); and the other is charities funding, such as that for the
City bridges (the Bridge House Estates Fund).
The work of City Corporation employees may fall to one or more
of these funding areas. The apportionment depends on the work done
from year to year. We estimate that on average, 40 - 60% of
salaries are drawn from the City Fund. The remainder does not fall
to the taxpayer but on the City Corporation’s other funds. In the
case of the Town Clerk and Chief Executive, the City Corporation’s
most senior officer, some 60% of his salary costs fall on the
public purse.
For further information about the City Corporation’s private and
public funds please see
www.cityoflondon.gov.uk/finance.
Pay and grading arrangements
Excluding uniformed police officers and teachers, the City of
London employs 3,517 staff, 17 of whom are classed as Senior
Managers.
In October 2007, the City Corporation moved from a system of 19
grades with automatic incremental progression to a system
comprising 10 main grades plus a senior management group. The
salary structures also changed and we moved away from the
traditional long overlapping incremental scales, which were common
in local government, to shorter scales of 4 – 6 increments where
progression through the scale is based on contribution to the
organisation. Cost of living increases are considered annually. For
the most senior managers, however, there is no automatic cost of
living award, nor incremental progression and any pay increase is
solely based on their personal performance.
Staff demonstrating outstanding performance can be awarded up to
a maximum of 6% of base pay as a non-consolidated bonus. This is
paid from a fixed bonus pool equivalent to some 0.5% of the salary
bill.
Where necessary to recruit or retain staff with essential skills
and experience, Market Forces Supplements may also be paid in
addition to the salary scales shown below. These are regularly
benchmarked against market data and can be reduced or removed as
the market changes. No Senior Managers receive such
supplements.
Some postholders, eg Resident Estates Officers (Housing) are
also required to live in City Corporation accommodation for the
purposes of undertaking their duties. Their salary bands are
reduced accordingly to reflect this benefit.
Listed below are the current salary scales (as at 1 October
2009) with staff numbers in the grades attached (correct as at 1
July 2010). These scales do not apply to uniformed police officers,
teachers and hourly paid Music Professors. In addition to basic
salary, a London Allowance of £4,780 or £2,870 is paid based on
proximity to Guildhall.
| Grade |
Salary minimum |
Salary maximum |
Numbers in grade |
|
|
|
|
| A |
12,260 |
13,400
|
275 |
| B |
15,080 |
18,020 |
724 |
| C |
19,680 |
23,510 |
951 |
| D |
24,910 |
29,770 |
538 |
| E |
28,920 |
34,490 |
441 |
| F |
36,590 |
43,730 |
353 |
| G |
43,730 |
52,220 |
112 |
| H |
50,680 |
60,500 |
60 |
| I |
58,740 |
70,130 |
23 |
| J |
70,130 |
83,760 |
23 |
|
Senior Officers* |
75,880 |
111,450 |
6 |
| * |
101,990 |
133,060 |
8 |
| * |
145,420 |
173,610 |
2 |
| * |
195,390 |
226,530 |
1 |
* Senior
Officers each have individual salary scales within these broad
ranges.
Pensions
Staff are eligible to join the Local Government Pension Scheme
(LGPS) and will contribute between 5.5% and 7.5% of their own
salary towards the Scheme (although the Government is consulting on
increasing these contributions for higher earners). Pension
benefits paid on retirement are based on length of service and
salary. The City of London Corporation employer’s contribution to
the pension fund is determined by an independent actuary and may
vary depending upon how much is needed to ensure benefits under the
Scheme are funded properly. The rules governing the pension scheme
are contained in regulations made by Parliament. Further
information about the scheme can be found on
www.lgps.org.uk.
Travel and expenses
Arrangements for travel and associated expenses incurred by
staff are regulated by the City of London Corporation’s Business
Travel Scheme. Further information about the Scheme can be found on
the
Corporate Governance page.