Bryan Slater Director of Education	Distribution
	All Headteachers of Norfolk Schools

The attached document is provided for your information:

ACTION	Title	CHANGES TO TEACHERS’ PAY AND CONDITIONS - APRIL 2004
	Summary of contents	Letter
	Associated documents	School Teachers’ Pay and Conditions Document 2003 and Statutory Guidance (amended April 2004) and MI 74/04. More details available at: http://www.teachernet.gov.uk/mnagement/payandperformance/pay/2004
	Date	11^th June 2004
	Summary of action required	To read the attached letter and practical advice on actions required by schools where appropriate.
	To be completed by	Immediate
	LEA Contact	Bob Hedley Personnel Manager or your school’s Personnel Consultant or Personnel Assistant	(	01603 222418 as previously notified
	E-mail address	bob.hedley@norfolk.gov.uk
	Norfolk Self Review reference	1. How well is the school led and managed? 2. How well does the school use its resources?
	Document reference	MI 120-04

Dear Colleague,

Changes in Teachers’ Pay and Conditions - April 2004

Management Allowances

You will recall that I wrote to you on 26^th March 2004 (MI 74/04 refers) in relation to changes which were to come into effect from April 2004. Since then, a number of Headteachers have contacted Education Personnel Services with queries related to the requirement for all new management allowances to be fixed term for a period not beyond 31^st March 2005.

Whilst those queries have been dealt with, I have now received further advice and clarification from the Employers Organisation. The advice stems from the Rewards and Incentives Group (RIG), a national group set up by the DfES and comprising representatives from the Department, Employers Organisation and the majority of the teacher unions. Set out below is a major extract from the advice.

“Review of Management Allowances

The Secretary of State asked the School Teachers’ Review Body (STRB) to consider and report on management allowances because of concerns that allowances were sometimes awarded inconsistently and inappropriately. Last year the STRB recommended that there should be a review of management allowances and set out a framework for that review. That review has now begun. The review is considering all management allowances, not just those awarded recently. We anticipate that a new allowance framework will be introduced in 2005, following further recommendations from the STRB.

However, in the interim before the new framework is introduced, there has already been a change in the way new allowances must be awarded. This letter explains some of the issues which are arising because of this change.

Management Allowances Awarded Before 1^st April 2004

Any management allowances formally awarded - that is, offered - before 1^st April 2004 fall under the former arrangements, before the pay and conditions document was amended. This means that allowances could either be given on a permanent basis, for as long as the teacher remains in the same post, or on a fixed-term basis determined at the time of the award. This applies even if posts have not yet been taken up and payment has not yet commenced, or if the offer was not accepted until, on or after 1^st April. It also applies where teachers within the same school were offered a management allowance before 1^st April, either for the first time or at a new level.

Management Allowances Awarded After 1^st April 2004

Following the STRB’s recommendations, the Education (School Teachers’ Pay and Conditions) Order 2004 amended the statutory pay arrangements so that all new management allowances awarded from 1^st April 2004 must be fixed term, not exceeding one year. This applies to teachers accepting a different level of allowance within the same school as well as to new appointments. The phrase ‘fixed term’ does not relate to the post itself, but to the payment of the allowance element.

The long-term position relating to the way management allowances are awarded should become clearer later this year. Whilst not wishing to pre-empt the outcome of the review, when awarding new management allowances LEAs and schools would be advised to take account of the STRB recommendation that all management allowances should be awarded for ‘specific, additional, weighty responsibilities targeted on teaching and learning’. Any new framework for allowances will take careful account of the need to reward such responsibilities in future.

Advertising Posts with Management Allowances

Whilst the review is taking place, we suggest that any advertisements for, or information about, posts attracting management allowances include wording along the following lines: “The successful candidate will be paid management allowance X¹ for a fixed term of Y^2, subject to the outcome of the review of management allowances.”

If a post was advertised before 1^st April 2004 under the ‘old’ arrangements but no offer of appointment was made until on or after 1^st April 2004, then the ‘new’, post 1^st April arrangements must apply, regardless of whether these terms were made clear at the time of offer. The same applies to posts which have been advertised since 1^st April 2004 but which did not make clear in the paperwork that the allowance is fixed-term.

Contractual Issues

If contracts, in respect of posts with management allowances awarded on or after 1^st April 2004, did not state that the allowance is fixed-term, or if they specified a fixed-term period exceeding one year, there will be a need to clarify the position with the teacher concerned.

Further Information

The reviewed pay order setting out the new provisions³ and the reviewed statutory guidance which accompanies them should be consulted and may be found at:-

www.teachernet.gov.uk/management/payandperformance/pay/2004/ ”

I hope this clears up any outstanding issues or doubts you have about the interim arrangements for Management Allowances, but colleagues in the Education Personnel Services are available to help where queries still exist.

Yours sincerely,

Bryan Slater

Director of Education