Pay and Grading on a Large Scale

Designing and implementing a new pay and grading system for a large, central government department

The Project

This department had doubled in size, operated over 43 separate sets of terms and conditions and had widely differing internal cultures.  As part of a joint consultancy team we were asked to review the whole range of reward and grading structures and to design a common set of terms and conditions for the department.

Our Role

We reviewed all existing pay agreements in order to provide detailed costings and cost modelling for future pay options.  We undertook executive board, management and employee engagement to determine the strategy, design and testing of systems, processes and governance arrangements.

We conducted external market research and developed different cost models to inform Board discussions.  We ensured the new structure and terms and conditions fit with, and provide sufficient flexibility, for the future direction of the department and the high degree of change anticipated.

Outcome

Our deliverables included gaining Board agreement to a market-based pay and grading structure that is expected to deliver £20m savings in four years, as well as ongoing performance improvement and culture change.