Local Government Act 1985

51 Remuneration of employees

(1) For the purposes of this section the Secretary of State may, after consulting such bodies representative of relevant authorities as appear to him to be concerned, either—

(a) designate any existing body appearing to him to be appropriate to consider any increase made or proposed to be made by a relevant authority in the remuneration of any of its employees; or

(b) establish a new body to consider any such increase as aforesaid.

(2) For the purpose of enabling the body designated or established under subsection (1) above (" the advisory body ") to carry out its functions under this section, that body shall consult and seek information from relevant authorities and, if requested to do so by that body, the Secretary of State may give a direction to any such authority requiring it to furnish the advisory body with such information as may be specified in the direction relating to the remuneration and other terms and conditions of employment of such employees of that authority as may be so specified.

(3) If it appears to the advisory body—

(a) that a relevant authority has fixed or proposes to fix for any employee or class of employees of the authority a rate of remuneration which, having regard to any recommended levels of remuneration formulated on a national basis by representatives of local authorities and employees of local authorities, is greater than that which the advisory body considers appropriate for that employee or class of employees; and

(b) if that authority is the council of a metropolitan district or London borough or the Common Council, that the rate of remuneration is attributable to the abolition of the Greater London Council or a metropolitan county council,

it shall notify the authority concerned and recommend to it the rate of remuneration which should be paid to the employee or class of employees concerned.

(4) If it appears to the advisory body that a relevant authority to which they have made a recommendation under subsection (3) above is not complying with the recommendation they may refer the matter to the Secretary of State and on such a reference the Secretary of State may give a direction to the authority requiring it, with effect from such date as may be specified in the direction, to pay such employee or class of employees of the authority as was the subject of the recommendation and as may be so specified remuneration at the rate recommended by the advisory body under subsection (3) above and specified in the direction.

(5) Before referring any matter to the Secretary of State under subsection (4) above the advisory body shall give notice ha writing to the authority concerned of their intention to make the reference; and no direction shall be given by the Secretary of State on any such reference—

(a) except after consulting with such persons appearing to him to be representative of local authorities and of employees of local authorities as he considers appropriate in relation to the employee or class of employees concerned; or

(b) so as to take effect from a date earlier than that on which notice of the advisory body's intention to make the reference was given under this subsection.

(6) It shall be the duty of a relevant authority to which a direction is given under subsection (2) or (4) above to comply with the direction.

(7) If at any time in the period of three months beginning with the abolition date it appears to the advisory body that the remuneration paid at any time before that date to any employee or class of employees of the Greater London Council or a metropolitan county council, was such that, if that council had not ceased to exist, the advisory body—

(a) would have made a recommendation to the council under subsection (3) above ; or

(b) having made such a recommendation before that date, would have referred the matter to the Secretary of State under subsection (4) above,

they shall notify the Secretary of State and report to him the rate of remuneration which in their opinion should have been paid to the employee or class of employees concerned immediately before the abolition date or such earlier date as may be specified in the report, being the date on which the employee or employees ceased to be employed by the council concerned.

(8) On receiving a report under subsection (7) above the Secretary of State may, after such consultation as is specified in subsection (5) (a) above, by order provide that for the purpose of determining—

(a) the terms of any contract affected by section 52 below; and

(b) any compensation payable in accordance with section 53(2) or (3) below,

the employee or class of employees to whom the report relates and who are specified in the order shall be deemed to have been receiving immediately before the abolition date (or such earlier date as may be specified in the report) remuneration at the rate stated in the report and specified in the order but no such order shall affect remuneration payable in respect of service before the date on which the order is made or compensation paid or payable before that date.

(9) Nothing in this section shall apply to the remuneration payable to teachers by a local education authority; and this section shall not empower the Secretary of State—

(a) to give a direction requiring a relevant authority to pay an employee remuneration at a rate below that to which he was entitled on 1st March 1984; or

(b) to make an order specifying a rate of remuneration in respect of an employee below that to which he was entitled on that date.

(10) No direction shall be given or order made under this section after the end of the period of six months beginning with the abolition date ; and no direction shall apply to the remuneration payable by the council of a metropolitan district or London borough or the Common Council after the end of that period.

(11) The relevant authorities for the purposes of this section are the Greater London Council, the councils of metropolitan counties, metropolitan districts and London boroughs and the Common Council.