Note from Ian Livingstone
To:
John Swinney MSP
Cabinet Secretary for Finance and Sustainable Growth
1 I have pleasure in presenting the second report of the Scottish Local Authorities Remuneration Committee looking into firstly, how the remuneration package introduced in May 2007 is being implemented by local authorities and whether there are any issues needing to be addressed and secondly, to review the levels for salary, allowances and expenses.
2 As an independent statutory Committee, we have endeavoured to take an objective view. We have also adhered to the criteria you set for the Committee, ensured that these key principles were included in our consideration of the issues, and are reflected in our final advice.
3 The package introduced in May 2007 generally has been well received by local authorities who welcome its transparency and the clarity of the system which made it easier to understand and administer. A few issues were identified, some of which we have tried to address in this review, others are more fundamental and should form part of our quinquennial review.
4 The present salary levels are based on evidence gathered in 2004 and 2005. We have therefore considered salary levels taking account of your criteria and what might be reasonable given the time lapse since the original level was set. We are also mindful of local authorities being required to set their budgets for the following financial year in February. As a result we have taken the opportunity to look at salary levels not only for the current financial year but also looking forward to what might be a reasonable increase from April 2009.
5 The Committee's advice is the result of a genuine team effort. Members have brought to the Committee a wealth of knowledge and experience which has been invaluable in taking our work forward. I am grateful to all members of the Committee and its Secretary for their support, advice and counsel.
Ian Livingstone
September 2008