London Fire Brigade

Pay multiple and policy statement

Under the Localism Act 2011, the Authority must produce an annual pay policy statement.

The Statement is produced in line with guidance – openness and accountability in local pay – issued by the Department for Communities and Local Government under Section 40 of the Localism Act.

The Pay Policy Statement must be approved by 31 March each year.

The Act requires the Authority to outline its policies relating to the relationship between the remuneration of Chief Officers and non-Chief Officers. The guidance, under Section 40 of the Act, recommends a pay multiple is included in pay policy statements as a way of illustrating the Authority's approach to pay dispersion.

The government's Local Government Transparency Code 2015 defines the multiple as the ratio between the highest paid taxable earnings for the given year - including base salary, variable pay, bonuses, allowances and the cash value of any benefits-in-kind - and the median earnings figure of the whole of the Authority's workforce.

Based on the above, the pay multiple between the highest paid employee and median earnings for 2015/16 (i.e. coinciding with the end of the 2015/16 financial year) was 4.4.

In 2015/16, the highest paid employee was the Director of Operations, given the current Commissioner's pay arrangements. If the Authority's highest paid employee in 2015/16 had been a Commissioner paid at the maximum of their salary band, the above pay multiple would have been 6.0.

The maximum multiplier in 2016/17 for the relationship between the highest paid employee and median earnings is set at 6.0.

The latest salary bands paid to senior members of staff can be viewed the top management group pay scales document.