Reviewing employee pay

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  • #164626
    LNichols
    Participant
    ()

    Does anyone have any advice on how to go about reviewing or ‘benchmarking’ the pay of our charity’s employees annually? Any useful resources or anyone willing to share how they review their employee salaries/hourly rates?

    We now have four employees including the part-time Clerk and Assistant Clerk, plus an Almshouse Manager (non-resident, 35 hours a week). We want to implement a process to review those salaries annnually to check that they’re in line with other charities and fair pay for the work they do- but have no idea where to start!

    The benchmarking tools I can find online aren’t sector specific and would need a subscription, so I’m looking to understand other charities’ approaches before looking at these further.

    Any guidance much appreciated!

    Laura (Trustee)

    #164632
    clerk.stjohnswilton
    Participant
    ()

    Laura

    It’s a tricky area, isn’t it?

    The first thing to do is to implement the TAA model policy on the Payment of Staff. To determine the annual salary rise, we look at CPI (never RPI), AWE and Google for surveys on ‘typical private sector pay rises’, in October each year – take an average and discuss it in our Finance Committee. Then we revisit our decision in March, just before the 1 April start of our pay year.

    Benchmarking of salaries is almost non-existent in the almshouse world, although the Wessex Almshouse Group (or WAG, details on the TAA local meetings page) does a triennial benchmark survey. However, of the 50 potential responders, only 17 contributed to this year’s survey.

    Have you tried chatting to your peers in other almshouses nearby? The discussions don’t have to be entirely dry and transactional – they can evolve into very useful, convivial, networking meetings (as has WAG).

    Some people have looked for remuneration parallels in Local Government salary rates. And given that the job of a Clerk is similar to that of a (small, prep-school) boarding school bursar (albeit on a much smaller scale and with a totally different demographic!), you could extrapolate from their salaries.

    One consideration would be to reward above-and-beyond performance with only a non repeating bonus. Raising salary for one-off good work locks that increase in, while continually awarding one-off bonuses is a contradiction in terms and ‘hard bakes’ them into the recipient’s pay.

    Happy to chat further if you wish.

    Nick Stiven
    clerk@stjohnswilton.org.uk

    #165440
    LNichols
    Participant
    ()

    Thanks Nick, much appreciated!!

    #165947
    William Clemmey
    Participant
    (1646)

    Laura
    We tend to consider the September CPI plus 1% figure we use for WMC increases, also Google for average salary increases in the charity sector. We have used the Wessex Almshouses list in the past (though it can be difficult to compare the posts).
    We then consider a maximum payrise at our November Finance and Risk meeting which is then approved by our Board. This helps to set our budget . The final pay rise is then agreed at the People and Governance meeting in March.

    In order to raise the inadequate levels we were paying our Scheme Manager and Deputy Scheme Manager when I arrived we initially benchmarked against NJC scales. We also brought in an external consultant (pro bono) We have subsequently managed to improve on this and they have had pay rises of 87% for the Scheme Manager and 117% for the Deputy Scheme Manager over the last 4 years to bring them up to a realistic figure.

    It would be really helpful if the Almshouse Association could undertake a survey which would help us all to benchmark.

    Meanwhile we would be very happy to share salary levels for our Chief Officer, Finance Officer, Scheme Manager, Operations Manager, Handymen and cleaner

    William Clemmey
    chiefofficer@municipal-charities.org.uk

    #165988

    The Trustees asked me to go through a benchmarking exercise for our staff a few years ago. I found it impossible as there were very few, if any, almshouse charities our size and with the same structure. Eventually we paid Croner to undertake the exercise. Pay reviews are now very simple – Wardens who have an accommodation package receive a rise equivalent to CPI (I have to present the budget to the Trustees in October so I use the August inflation figures), and those without accommodation RPI. When CPI/RPI is high the Trustees can get twitchy, but have accepted, since the Croner benchmarking exercise, that it is only fair to the staff.

    Susan Coen
    Salisbury City Almshouse & Welfare Charities

    #166244
    LNichols
    Participant
    ()

    Thanks all, appreciate the insights which are all really helpful. We’re currently deciding on an approach but likely to be aligned with CPI increases with consideration of other factors such as ONS data for average wage increases for private sectors.
    We’ll discuss at the charity’s HR Committee and then present a recommendation to the Board of Trustees ahead of the Finance Committee’s meeting to plan next year’s budget.

    Thanks

    Laura
    Trustee, Odiham Consolidated Charities

    #166287
    ljardine
    Participant
    ()

    Hi
    Our Charity also looks at CPI and RPI and salaries get reviewed annually. We have 4 members of staff, Me (Clerk) and 3 Scheme Managers. I’d be happy to share information in a benchmarking exercise.
    Regards
    Lynne Jardine
    Guildhall Feoffment Trust

    #166293
    William Clemmey
    Participant
    (1646)

    Dear Lynne
    Very happy to benchmark our salary figures
    These are the ones from 1 April 2025

    2024 hourly rate 2025 hourly rate 2024 hours Total/week
    Scheme Manager £22.00 £23.10 30 £693
    Operations Manager £22.00 £23.10 30 £693
    Chief Officer £28.53 £29.96 20 £599
    Finance Officer £26.00 £27.30 22.5 £614
    Cleaner £15.89 £16.68 2 £33
    Handyman £16.48 £17.30 10 £179
    Handyman £16.48 £17.30 30 £519

    hope this helps
    William Clemmey
    chiefofficer@municipal-charities.org.uk

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