North East NHS managers get pay rises as nurses’ salaries cut in real terms

Health chiefs have received pay rises of up to 17% while nurses and health care assistants experience real term cuts topping 12%, a union has revealed.

Analysis of senior executive NHS pay by the Royal College of Nursing (RCN) has shown that bosses at hospital trusts in the region were awarded salary increases averaging 10.5% between 2010 and 2013, while mid-band nurses managed a paltry 0.1%. Taking into account inflation some suffered a real terms cut of 12%.

Health Secretary Jeremy Hunt previously warned that health service employees would face a pay freeze until March 2016 and that they might not get the 1% promised for 2014 unless unions accept greater pay restraint.

Glenn Turp, regional director for the RCN northern region, said: “Frontline nurses and health care assistants have already borne the brunt of the Government’s pay restraint policy over many years. And we know that, once inflation is factored in, NHS salaries have in fact been cut between 8% and 12% in real terms, between the period 2010 and 2014.

“The Chancellor promised to deliver a 1% pay rise this year for the front line, but the Secretary of State for Health is now trying to introduce a further pay freeze until March 2016.

“This is completely unacceptable. It is particularly galling that the Government is quite happy for NHS managers to get significant pay rises, while at the same time, the front line takes another hit.

“A 1% pay increase is a perfectly reasonable and proportionate request, particularly when put in the context of the rises in senior managers’ pay. The Government needs to stop having one rule for the frontline nursing staff, and another for senior bosses.”

The RCN northern region compared the salaries of chief executives across all North East trusts for the financial year 2010-11, with the most recent financial year data available, 2012-13.

Ian Renwick, chief executive of Gateshead Health NHS Foundation Trust, received the largest pay rise of 17% as his wages jumped from £190,000 to just under £223,000.

Jim Mackey from Northumbria Healthcare NHS Foundation Trust saw his salary rise 9%, from £211,000 to £230,000.

Newcastle Hospital’s NHS Foundation Trust’s chief executive, Sir Leonard Fenwick, is paid the most at £246,000, although the trust has insisted he has had no pay rise in three years, despite the RCN suggesting he had received a 6% increase.

A spokesperson for Gateshead Health NHS Foundation Trust said: “The salaries of our chief executive and of all our executive directors are decided by an independent nominations and remuneration committee and this is to ensure they are in line with publicly available salary benchmarking information.

“As one of the country’s top performing NHS Foundation Trusts, it is important that those with ultimate accountability are remunerated appropriately so that we can retain the very best healthcare leaders in the North East NHS.”

Figures show that a mid-band 5 nurse salary in the North East increased from £23,563 in 2010/11 to just £23,589 in 2012/13, a rise of just 0.1%. In 2011-12 a pay freeze was implemented by the Government to NHS staff earning more than £21,000.

A spokesperson from Northumbria Healthcare NHS Foundation Trust said: “The remuneration of our leadership team is decided independently to make sure that salaries are in line with those of other high performing NHS organisations.

“To be clear, however, along with the rest of our staff, no director at Northumbria Healthcare has had an increase in pay since the pay freeze was implemented in 2011/12.”

Last night, the Department of Health defended its decision to limit pay rises for NHS frontline staff.

A spokesperson said: “The NHS is rightly playing its role in public sector pay restraint.

“Average pay has increased by around 1%. Despite this, many NHS staff continue to be well paid for the lifesaving work they do and the majority of staff have received additional incremental pay increases of up to 6%.

“The number of admin staff, managers and senior managers in the NHS has fallen by over 21,000. This will lead to a significant reduction in managers’ costs.”

Source – Newcastle Journal  03 Feb 2014

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