Recruitment and Retention Type 1 Supplements

Form: R&R Type 1 business case form (Office document, 101kB)

Principles

  1. This procedure applies to all roles employed by the University of Bristol where consideration of a recruitment and retention payment is given to a role (Type One).
  2. The University will wherever possible explore other approaches before considering a recruitment and/or retention payment; however, it is agreed that to maintain and enhance its standing the University, from time to time, may have to offer a competitive pay and conditions of service package over and above the salary for the grade in relation to specific market places in order to recruit and/or retain high quality people.
  3. Recruitment and retention payments will only be considered where there is a significant risk of turnover of existing staff or unfilled vacancies due to lack of staff/applicants with the right skills, and/or where market data indicates that there is a significant differential in pay levels, warranting a supplement when also taking into consideration our total remuneration package, and where non-pay related initiatives are not enough.  Where used, the University will set recruitment and retention payments in a consistent, fair and transparent manner that can be justified without challenge through Equal Pay legislation.
  4. In order to comply with Equal Pay legislation, the University will, through implementation of this procedure, demonstrate objective justification if different rates of pay are offered to staff whose work is of equal value. It will demonstrate the business need for each variation from the norm, and there is provision for the reduction or withdrawal of such supplements when they can no longer be justified by market conditions.
  5. The University will obtain Market Pay Data from a variety of sources depending on the market issue, and these may be supplemented by sector-specific surveys such as those conducted by UCEA, Russell Group, etc., and in accordance with EHRC and JNCHES written guidance on the use of salary supplements. All decisions regarding the amount of a recruitment and retention payment will be based on the external market data. 
  6. Type One recruitment and retention payments are paid in relation to specific roles. Therefore, where a payment is agreed, all staff carrying out the responsibilities of the role and meeting the essential criteria of the role in terms of skills, experience and position within the grade must receive the same supplement on the same conditions.
  7. The application of a recruitment and retention payment will not be backdated and will only apply from the date of authorisation by the University for the roles identified.
  8. A recruitment and retention payment will not normally be considered where there is a differential of less than 10% of salary between (a) the top service increment for the relevant grade of the post as determined by job evaluation and (b) the lower quartile (LQ), median or upper quartile (UQ) for the relevant external market as indicated by pay and labour market data.  The University will determine on a case by case basis, through a Senior Level Committee, which is the relevant comparative quartile for each particular role. 
  9. Type One recruitment and retention supplements are non-consolidated and will be pensionable, subject to the provisions of the relevant pension schemes. They will also be included for the purposes of calculating deductions (both statutory and non-statutory), additional payments or contractual entitlements. Supplements will be paid on a pro-rata basis for part-time staff.
  10. Recruitment and retention payments will be paid monthly through the University’s payroll, but will be identified separately from the base salary for the role in pay slips and University documentation. Supplements will also be identified separately within references provided by the University where details of an individual’s remuneration package are requested.
  11. The supplement will not be included for the purposes of applying the nationally agreed cost of living pay award, normally paid with effect from the 1st August each year.
  12. Recruitment and Retention supplements will be met from the budget of the employing School/Division.
  13. The terms and conditions of the supplement will be outlined in the individual’s contract of employment.

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Procedure

  1. Recruitment and Retention payments will only be considered by the University where difficulties in attracting and retaining high quality staff can be demonstrated through a clear business need. The Faculty/Professional Services HR Manager will be able to advise initially on whether a supplement may be helpful based on an initial overview of the situation.
  2. A business case will need to be established by the Dean/Faculty Manager/Divisional Head and Head of School (where applicable) with support from the Faculty/Professional Services HR Manager through the provision of specific information to support consideration of the case.  If the Faculty/Professional Services HR Manager has any queries they will raise these with the Dean/Faculty Manager/Divisional Head/Head of School in the course of the compilation of the case.
  3. The business case should normally contain the following information:
    1.  Information on any previous unsuccessful recruitment attempts for the role in the preceding six months.
    2.  Other information demonstrating “market issues”(e.g. advertisements and documented evidence from headhunters or other organisations regarding similar roles elsewhere, )
    3.  Information outlining the impact of any retention issue in relation to existing staff
    4.  Information on resignations from the role over the preceding year.
    5.  A copy of the relevant job description.
    6.  A copy of the Staffing Request form (Establishment Review Group approval document) that was submitted to authorise the role/vacancy (where applicable).
    7.  A recommendation as to which current employees would be eligible for the supplement because they are employed within the same role.
    8.  Evidence of budget cover for additional costs
    The Business Case form should be used to ensure that all relevant information is included for consideration and that the case has the relevant support.
  4. The relevant Faculty/Professional Services HR Manager will review the case to ensure it is complete before forwarding it on to the HR Policy & Reward team, together with any further appropriate contextual information.
  5. Upon receipt in the HR Policy & Reward team, the business case will be reviewed.  This stage may include the following:
    1. Review and summarisation of the previous recruitment attempts for the post to ensure these were sound, with support from the HR Resourcing team where appropriate. This may involve:
      • Consideration of the appropriateness of the media used;
      • Consideration of the advertisement used and how the salary and benefits for the role were promoted;
      • Review of the number of applicants;
      • Review of the shortlist and interview documentation (where available).
    2. Review of employee relations indicators to identify any non-fiscal reasons for failure to recruit / retain employees.  This may involve review of qualitative and quantitative data such as exit interviews, turnover data, sickness absence statistics, etc
    3. Review of the job evaluation rationale
    4. Review of the job description
    5. Requests for further information from the Dean/Faculty Manager/Divisional Head/Head of School
  6. The HR Manager (Policy & Reward) will complete a summary of their findings, and if the Business Case is found not to be sound will seek sign-off from the Head of HR Operations and provide feedback to the Faculty/Professional Services HR Manager and the School/Division.
  7. Where the HR Manager (Policy & Reward) believes a prima facie business case has been made, they will commence with a review of external market data. The job description and associated evaluation will be used where appropriate for market pay comparison purposes.  The relevant trades union will be advised  of the case at this stage.
  8. As part of the review of the external pay and labour market, the HR Manager (Policy & Reward) will also factor into consideration other benefits such as pension arrangements, working hours, annual leave entitlement, sickness entitlement, flexible working and PositiveWorking@Bristol. Local cost of living will also be taken into account.
  9. The Trades Unions will be consulted before recommendations are put forward to the Senior Level Committee, and will be advised of the outcome.
  10. If, once the external pay and labour market has been reviewed, it is established by the HR Manager (Policy & Reward) that there is a material difference between the grade/salary of the role and the external market, then the Trades Unions will be consulted.
  11. On receipt of comments from the Trades Unions, a copy of the business case and a recommendation from the Policy & Reward team will be presented to the Senior Level Committee to consider awarding a supplement.  
  12. The Senior Level Committee is likely to comprise the Director of Human Resources together with either the Deputy Vice-Chancellor or the Registrar or the Chief Operating Officer or, where appropriate, more than one of these.
  13. The committee decision, confirming the amount of any supplement and the rationale for approving or rejecting the case, will be fed back to the Dean/Divisional Head/Faculty Manager and Faculty/Professional Services HR Manager via the Policy & Reward team.
  14. For approved cases where a recruitment process needs to take place, the amount of the supplement will need to be recorded with the salary information when the vacancy details are advertised and when the appointment is confirmed. The supplement will then be included within the contract of employment stating the conditions under which it will be paid, reduced, or withdrawn, along with a copy of the recruitment and retention payments policy
  15. If the supplement is to be awarded to an existing member of staff, they will be sent formal confirmation stating the conditions under which it will be paid, reduced or withdrawn, along with a copy of the recruitment and retention payment policy.
  16. Human Resources will report annually to senior management, the trades unions and relevant committees on the volumes, trends, and equality & diversity monitoring and budgetary implications associated with operating the scheme.

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Review

  1. Market rates are dynamic and therefore Type One Recruitment and Retention payments will be reviewed by the HR Policy & Reward Team to ensure they are still appropriate, and that payments are adjusted in line with any market changes.  The review period for any supplement will be set at the time that the supplement is agreed, so that it reflects the market conditions.  The review date of any supplement will fall on the relevant anniversary of the commencement of the supplement.
  2. The review will focus on the impact of the recruitment and retention payment in terms of a reduction of recruitment difficulties and turnover rates, retaining staff, changes in the labour market which affect the need for and the continuing amount of the supplement, and compliance with the requirements of equal pay legislation.
  3. The Faculty/Professional Services HR Manager will write to the Dean/Faculty Manager/Divisional Head to initiate a review of the payment, which will include gathering evidence as necessary and completing the Business Case Form.  The Business Case Form should be used to ensure that all relevant information is included for consideration and that the case has the relevant support.
  4. The relevant Faculty/Professional Services HR Manager will review the case to ensure it is complete before forwarding it on to the HR Policy & Reward team, together with any further appropriate contextual information.
  5. Upon receipt in the HR Policy & Reward team, the business case will be reviewed.
  6. The Trades Unions will be given the opportunity to comment where the HR Policy & Reward team plan to recommend an increase, decrease or withdrawal of a market supplement.
  7. The HR Policy & Reward team will make recommendations to the Senior Level Committee in the light of all evidence gathered in the review.
  8. If an increase in supplement is agreed by the Senior Level Committee, they will also identify a new review date.  The rationale for the change will be recorded and the change will be paid from the review date.
  9. If a decrease in supplement is agreed by the Senior Level Committee, they will also identify a new review date.  The rationale for the change will be recorded and the supplement will be decreased to the new appropriate level following a three month notice period. The three month notice period will commence from the review date (or the date of notification of the change if later).  During this three month period, the supplement will continue to be paid at the full rate that the individual has previously received and then following this period, will reduce to the new lower assessed amount.
  10. If no change in supplement is agreed by the Senior Level Committee, they will identify a new review date. The rationale for the decision will be recorded.
  11. Where there ceases to be an organisational need or market justification for the recruitment and retention supplement, payment will be terminated following a three month notice period commencing at the review date (or the date of notification of the change if later).  During the three month notice period the supplement will continue to be paid at the full rate that the individual has previously received.
  12. The decision of the University is final and there will be no right of appeal on the increase, decrease or withdrawal of a recruitment and retention payment.

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Movement to another role

  1. Where an individual voluntarily moves to a role that does not attract a recruitment and retention payment, any such existing payments will cease from the date of change of appointment.
  2. If an individual is redeployed from one role to another that does not attract a recruitment and retention payment, any such existing payments will cease after three months in the new role.
  3. Where an individual takes on an additional role that does not attract a recruitment and retention payment, a review will need to take place to determine whether the existing payment should continue at the same rate.

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 Updated: 27 February 2023