ESFA chief asks trusts to justify paying two or more salaries of between £100k and £150k
April 20, 2018
The chief executive of the Education and Skills Funding Agency, Eileen Milner, has written to the chairs of all academy trusts in England that pay two or more salaries between £100k and £150k, asking them to justify these salaries with a clear rationale. The letter stresses that in paying multiple salaries at that level, they are stepping outside of the approach taken by the majority of trusts.
Chairs of trustee boards were reminded of their responsibility for ensuring that these salaries represent value for money, and that the salaries are “proportionate, reasonable and justifiable”.
The further information requested from trusts in order to justify these salaries includes an overview of the roles in question, length of contract and information within the trusts' pay policy which shows a clear commitment to transparency and value for money.
The letter also reinforces the requirement set out in the Academies Financial Handbook that “the board of trustees must ensure that their decisions about levels of executive pay follow a robust evidence-based process and are reflective of the individual’s role and responsibilities”.