Don't bankrupt the insolvency service, say unions

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Don't bankrupt the insolvency service, say unions

Staff from the Insolvency Service (IS) will petition the Treasury on Tuesday 1 October to express their disgust over the government's action to block negotiations over their 2002-03 pay settlement. 



A delegation of members from Prospect and the Public and Commercial Services union will present the document, addressed to Chief Secretary Paul Boateng at 1pm. 

The petition, signed by hundreds of staff from the Insolvency Service's 32 offices throughout England and Wales, reflects increasing frustration over the Treasury pay division's refusal to sanction the agency's pay settlement. This is despite the proposed deal being backed by DTI Secretary of State Patricia Hewitt.  

Keith Ellis, Prospect branch secretary at IS, said: "Tony Blair promised public sector employees fairness not favours. Is it fair that some staff get paid thousands of pounds less than their colleagues for doing the same job? 

"Is it fair that some staff need working tax credit to survive? No it is not. And it's time the Treasury put its hand in its pocket and provided the service with the funds necessary for fair pay." 

As part of last year's pay agreement, unions and management at the Insolvency Service agreed a new pay structure, which set about rectifying previous anomalies. The outline pay remit also took into account the impact on staff as a result of changes to the running of the agency following the introduction of the Enterprise Bill. 

"The Treasury is dragging its feet after the remit was agreed by the Secretary of State and three months after it was supposed to be implemented," said John Higgins, Prospect negotiator representing the union's 450 members in IS.  

"Staff are furious that this unnecessary delay not only leaves them out of pocket but threatens key parts of the reform of bankruptcy law. Case numbers are already rising and look set to soar when the forthcoming relaxation of bankruptcy restrictions come into play.  

"This is a further blow to our members in the service at a time when morale is already affecting retention and raises questions over whether there will be enough staff to police