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Scottish councillors' pay frozen | |
(about 22 hours later) | |
The salaries of Scotland's councillors are to be frozen for the next year. | |
However, the Convention of Scottish Local Authorities (Cosla) rejected an earlier plan to freeze pay for two years. | |
The decision, which was backed by council leaders and will apply for the financial year 2010-11, was agreed at a meeting in Edinburgh. | |
It will affect Scotland's 1,222 councillors, most of whom are paid £15,000 a year. | |
Initially councillors had been asked to agree a two-year freeze on their pay, recommended by the Scottish Local Authorities Remuneration Committee. | |
After the meeting a Cosla spokesman said: "Scotland's council leaders have today agreed to a pay freeze over the next year to be reviewed on a continuous basis." | |
I don't think there's any future that we can see within these numbers that doesn't involve fewer jobs in the public sector Sir John Elvidge | |
The pay freeze comes as pressure mounts on highly-paid public sector executives to give up their bonuses. | |
The Cosla spokesman said its decision was "in sharp contrast to some other parts of the public sector, in particular the quango state". | |
Scottish government ministers have already taken a pay freeze, which also applies to senior civil servants. | |
The news comes as Scotland's top civil servant warned that public spending could be cut by 20% in real terms in future years. | |
Sir John Elvidge, the permanent secretary to the Scottish government, said spending was likely to be reduced by 10% in real terms in three years time and by 20% in seven years, compared to current levels. | |
'Political territory' | |
He said: "I think one of the hardest questions that faces us all as managers is how will the trend of real terms reductions last. | |
"I think, without getting into political territory, it's difficult to identify the point of certainty at which one says: 'Ah, yes, it will definitely have turned round by then.' | |
"And all I'd say is, that if one looks beyond four years, at that rate of annual real terms reduction and taking into account compounding, it doesn't take very long to get to 20% instead of 10%. | |
"Clearly one gets there in less than four years because of the effect of compounding. So if, instead of four years, it lasts for seven years - and plenty of commentators have suggested that it could - then we're at 20% real terms reductions." | |
Sir John also said that the number of jobs in the public sector was also set to decline. | |
In an interview with Holyrood Magazine, he said: "I don't think there's any future that we can see within these numbers that doesn't involve fewer jobs in the public sector." |
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