Birmingham City Council settles historic equal pay claims

Birmingham City Council, UNISON and GMB have reached an agreement to settle historic equal pay claims.

6,000 predominantly women workers look set to receive settlement payments from the local authority, expected to be as much as four times higher than the payment offered to workers in 2021 say GMB.

The council says that the settlement falls within the limit of the exceptional financial support (EFS) package agreed with the previous government in January 2024.

A paper will be taken to the council’s cabinet committee on Tuesday 17 December to seek formal approval for the agreement.

Cllr John Cotton, Leader of Birmingham City Council said: “I’m delighted to confirm that Birmingham City Council, UNISON and GMB have reached a framework agreement to settle the historic equal pay claims brought by the two unions on behalf of members working for the local authority and Birmingham Children’s Trust.

“This agreement marks the end of an intense period of dialogue between the council and its unions. It’s an important step on the council’s improvement journey. I would like to put on record my thanks to GMB & UNISON for the constructive way in which they approached negotiations.

“I was appointed as Leader to end the failings within this council that led to the equal pay liability and this framework agreement is intended to mark the start of a new era of productive and progressive industrial relations built on trust and mutual respect.

“The Council is facing unprecedented challenges. It will only get through this period by working collaboratively with its staff and their union representatives to focus upon delivering the best possible outcome for communities across the city.

“The next phase of the equal pay programme will be to deliver a new pay and grading model and job evaluation scheme so that pay inequality at the city council can end once and for all.”

Rhea Wolfson, GMB’s head of industrial relations said: “The women of Birmingham City Council have delivered an historic outcome today.

“This result would not have happened without their dedicated and tireless leadership of a campaign which was overcome huge odds. They were told there wasn’t enough money, that they must accept that women workers are paid less. But they showed Council bosses that the show doesn’t go on without them.

“Their bravery on the picket line, in the classrooms, care homes, offices and workplaces across Brimingham has been staggering. This result today sends a clear message to employers across the country.

“Pay discrimination is rife and GMB will not turn a blind eye when women workers are being shortchanged.”

UNISON West Midlands head of organising Claire Campbell said: “This is a good day for low-paid women who work at the council. They will at last get the pay justice they deserve.

“Birmingham City Council has longstanding industrial relations issues. But this agreement will show what can be achieved when the council negotiates constructively and in good faith.

“This will hopefully be the much-needed turning point for staff, services and local communities across the city.”