Birmingham City Council, UNISON and GMB have reached an agreement to settle historic equal pay claims brought by the two unions on behalf of members working for the local authority and Birmingham Children’s Trust.

A paper will be taken to the council’s cabinet committee on Tuesday 17 December to seek formal approval for the agreement.

The full terms of the settlement are confidential. But the cost of the settlement falls within the limit of the exceptional financial support package agreed with the previous government in January 2024. 

The council and the unions say they are “committed to ensuring that all staff are treated fairly and paid equally”.

Councillor John Cotton, Leader of Birmingham City Council, said: “This framework agreement marks the end of an intense period of dialogue between the council and its unions.

”It is an important step on the council’s improvement journey. I would like to put on record my thanks to GMB and UNISON for the constructive way in which they have approached these negotiations.

“I was appointed as Leader to end the failings within this council that led to the equal pay liability and this framework agreement is intended to mark the start of a new era of productive and progressive industrial relations built on trust and mutual respect.

“The council is facing unprecedented challenges.  It will only get through this period by working collaboratively with its staff and their union representatives to focus upon delivering the best possible outcome for communities across the city.

“The next phase of the equal pay programme will be to deliver a new pay and grading model and job evaluation scheme so that pay inequality at the city council can end once and for all.”

UNISON West Midlands head of organising Claire Campbell, added: “This is a good day for low-paid women who work at the council. They will at last get the pay justice they deserve.

“Birmingham City Council has longstanding industrial relations issues. But this agreement will show what can be achieved when the council negotiates constructively and in good faith.

“This will hopefully be the much-needed turning point for staff, services and local communities across the city.”

Alice Reynolds, GMB Organiser, said: “The women of Birmingham City Council have delivered an historic outcome today.

“This agreement would not have happened without the determination shown by low paid women workers.

“In schools, offices and workplaces across our city, GMB members have led the fight for equal pay.

“Now this Framework Agreement sets out a cast iron plan to settle our members claims and pay back their wages after years of discrimination.

“Pay justice for Birmingham’s women workers is something that our union has long led the fight for; today this Framework Agreement brings that within touching distance.”