Public sector

Industrial relations experts have said that the latest public sector strikes are unlikely to have any impact on government policy. I don’t think you have to be an ‘expert’ to reach that conclusion. The last time industrial action led to substantial demands being met was probably back in 1981, when the Thatcher government backed down over a planned programme of pit closures after an NUM strike ballot. And little wonder this was the last taste of success for strikes. Strikes do little but alienate people. The present set of demands – anger about a rise in the pension age for fire fighters from 55 to 60, a demand for substantially

Public benefit Public sector unions held a strike over pay. How well are public-sector workers paid compared with their counterparts in the private sector? — Comparing jobs like for like, public sector workers earn between 2.2% and 3.1% more than private sector workers in April last year. — In the lowest-earning 5% of workers, public sector workers earned 13% more than private sector workers. — In the highest-earning 5%, public-sector workers earned 6% less than private sector ones. Source: ONS Fine, fine, fine Network Rail was fined £53 million for running late trains. We are used to public authorities fining us, but how much do they fine each other? £2.5m:

I have just decided that my work is of equal value to that of the feminist supermodel Cameron Russell. Neither of us, admittedly, is quite as useful as a plumber, and I can’t claim to be of much use promoting swimwear. But otherwise I reckon we are a pretty close match. We both tart ourselves around and while my work doesn’t involve a lot of physical input, I would like to think that it requires a slightly higher contribution from the brain department. There then arises the question: should I not be paid as much as she is? Ludicrous? Perhaps, but no more so, I think, than what is going

If politics was science, you would call Wales the ‘control’ group, for public service reform. Here is a country where Labour are the only game in town and a socialist philosophy which places a monopolistic state provider at the centre of health care and education reigns supreme – yes, even more supreme than the pupils and patients this system is designed to serve. In fact, in devolved Wales, Labour are running the public services as Ed Milliband would like to see them; a Labourite utopia of State supremacy, with none of the so-called evils of alternative providers getting in the way of the tight grip of the State. So how

Can someone please explain to me why the BBC newsreaders were not wearing black armbands last weekend when reporting the tragic story of Sally Morgan being given the boot from Ofsted? In all other manners the coverage was adequately respectful and the reporters, rightly, allowed their anguish to bleed through the fraying bandage of impartiality. Not enough, mind – I could have done with some real weeping and tearing at the hair: how could this brilliant and exciting woman be so traduced? The Tories are trying to take over everything! You’d have thought they’d won an election, or something. How dare they. I wonder which public institution will be the

When the Chancellor stands up to present his spending review next Wednesday it will be with the reputation of a crazed axeman. Much of the country, whether it thinks it a good thing or not, subscribes to the belief that George Osborne is shrinking the state year-on-year, slicing here, chopping there. In a recent poll 58 per cent of respondents agreed with the proposition that Osborne’s ‘austerity drive’ is ‘harming the economy’. Twenty per cent agreed that it was the ‘correct medicine’. Yet it was a trick question based on a faulty premise: that there has been an austerity drive. The truth is that public spending has risen under this

Twenty-five years ago, when he had left the Communist party and taken over as chief executive at Doncaster Royal Infirmary, Sir David Nicholson made a point of promising his staff a ‘job for life’. He has certainly stuck to his ideology. This week he admitted his part in the Mid Staffordshire hospitals scandal, in which up to 1,200 patients died from poor care and neglect. He confessed that as chief executive of the Shropshire and Staffordshire Strategic Health Authority — the body which was supposed to oversee Stafford Hospital — he had failed to notice its high death rates. And yet still he appears to believe that he has the

One of the things I love about being a classical liberal is that I’m always on the right side of every argument. I’m pro: freedom, jobs, self-determination, cheap energy, higher living standards, academic excellence, property rights, an even better future, Michael Gove MP, wine, women, song. (So long as the song is not by Maroon 5 or Bruno Mars.) And I’m anti: arbitrary authority, nanny-statism, money-printing, tyranny, despair, almost all war, poverty, prohibition, disease, squalor, uncleaned-up dog poo, meddling busybodies, crap capital projects based on massive lies (that means you HS2!), corrupt officials, civil war, totalitarianism, hyperinflation, injustice, Tim Yeo MP. Yet you’d scarcely guess this to read some of

I knew that British doctors are well-paid but unti I saw, via Kevin Drum, this chart I had no idea they were so much better-paid than most of their peers in the western world.  This is culled from a 2004 OECD report (Pdf) and all figures are in PPP-adjusted dollars. Of course, doctors received significant pay increases during the Blair years. Specialists were not treated as kindly as (well-trained) GPs but even their wages increased by more than 30% in real terms. Which is fine. The constituency demanding pay cuts for doctors is very small. Nevertheless, these charts (which are not, I think, outdated in any significant sense) are worth

Employment has almost entirely recovered to its pre-recession peak, according to today’s new figures. Total employment for May to July stood at 29.56 million — up 236,000 on the previous three months and just 12,000 shy of the 29.57 million peak of April 2008. This recovery is thanks to the expansion of the private sector, which has added over a million new jobs in the last two years, and now employs 381,000 more people than it did before the crash. Public sector employment, meanwhile, has been cut by 628,000 since the coalition took over, and is now at its lowest level since 2001. The scale of private jobs growth —

What’s next in David Cameron’s intray? If he’s feeling butch and fancies a fight, he might want to consider bringing public sector pay and pensions into line with the private sector. Policy Exchange believes aligning public sector pay would save £6.3 billion in public spending and create up to 288,000 new jobs. Its report, Local Pay, Local Growth, which it published yesterday, points out that the average ‘premium’ for public sector workers is now seven per cent higher than workers doing similar jobs in the private sector. In some parts of the country, that premium rises to as much as 25 per cent. The think tank argues this is unfair,

The Keynes vs Hayek debate is at its sharpest on the issue of employment. Can government create jobs (as Balls says)? Or does large public sector employment simply displace economic activity that would happen elsewhere (as Osborne says)? A fascinating study has been released today by the Spatial Economics Research Centre at the LSE showing the damage done by public sector employment to the real economy. Drawing on a huge amount of local-level data over an eight-year period, it’s a serious piece of research that is worth looking into and deserves to impact our economic debate. 1. First, what is seen. In the short term, hiring someone to work for

No public sector strike is easy to sell to the public. I recently did a stint of jury service and witnessed the chaos caused by court staff, members of the PCS union, striking over pensions. It’s one thing working around the inconvenience of jury service, but it’s quite another being kept on the premises when there is little chance of the courts actually sitting, as proved to be the case. But, the BMA have it doubly difficult. Today, doctors decided to strike for the first time in more than 40 years. Doctors have a reputation for being well-paid, a reputation that is ingrained and, when one examines the NHS pay structure,