28 July 2017

The independent Senior Salaries Review Body (SSRB) has warned the government that the public sector pay cap will lead to retention and recruitment problems.

A limit on pay rises of 1% is causing "frustration and demotivation" among senior public servants, the body stated.

It also questioned why independent pay review panels continue to exist when their hands are tied by the cap.

"If the Government continues to see value in having an independent body to advise on senior salaries, we believe that some serious reflection is required about how to make better use of it," the SSRB said.

Retention among senior public servants "could deteriorate rapidly", it added.