Departmental Manpower

Business, Innovation and Skills written question – answered on 10th February 2010.

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Photo of Philip Hammond Philip Hammond Shadow Chief Secretary to the Treasury

To ask the Minister of State, Department for Business, Innovation and Skills how many layers of management reporting from the most senior to the most junior there are in his Department and each of its agencies; how many officials are employed in each such layer; and how much was spent on salaries and associated employment costs of staff at each such layer in the latest year for which information is available.

Photo of Pat McFadden Pat McFadden Minister of State (Department for Business, Innovation and Skills), Member, Labour Party National Executive Committee

The Department for Business Innovation and Skills (BIS) was formed through a machinery of government change that occurred in June 2009. BIS was created by merging the Department for Business, Enterprise and Regulatory Reform (BERR) and the Department for Innovation, Universities and Skills (DIUS). DIUS and BERR were themselves created as part of a machinery of government change in June 2007. This means that this Department currently has two legacy structures operating alongside each other. The following information shows the layers of management that existed within each of the former Departments that were merged to create BIS.

BERR

Senior civil service

Grade 6

Grade 7

Senior executive officer (SEO)

Higher executive officer (HEO)

Executive officer (EO)

Administrative officer (AO)

Administrative assistant (AA)

DIUS

Senior civil service

Grade 6

Grade 7

Senior executive officer (SEO)

Higher executive officer (HEO)

Executive officer (EO)

Executive assistant (EA)

BERR operated with seven layers of management below the SCS while DIUS had one less because the AO and AA grades had been combined to create a single EA grade.

The following table shows the headcount and the expenditure on salaries and the associated employment costs broken down by grade as published by the Office for National Statistics which combines some of the levels of management.

BERR DIUS
Grade Headcount Employment costs (£) Headcount Employment costs (£)
SCS 180 15,189,100 80 6,729,700
Grade 6 and 7 870 44,784,900 290 14,719,300
HEO and SEO 1,130 35,832,700 350 11,238,000
EO 510 12,326,900 130 3,123,300
AA/AO/EA 380 7,588,200 60 1,166,700

The figures quoted only cover the core BIS Department. The central Department does not hold this information for our Executive agencies.

I have approached the chief executives of the Department's Executive agencies and they will respond directly to the hon. Member.

Letter from Gareth Jones, dated 29 January 2010:

I am replying on behalf of Companies House to your Parliamentary Question tabled 19 January 2010, 312823, to the Department for Business, Innovation and Skills.

There are eight layers of staff in Companies House identified by grade. For the financial year ending 31 March 2009 the number of officials, amount spent on salaries and associated employment costs for each grade are as follows.

Grades Number of officials (full-time equivalents) Total salaries (£000) (with associated costs)
SCS2 1 154
SCS1 3 331
G 12 1,149
F 18 1,103
E 42 2,149
D 101 4,304
C 264 8,663
B 483 12,554
A 137 2,739

Letter from Sean Dennehey, dated 21 January 2010:

I am responding in respect of the Intellectual Property Office to your Parliamentary Question tabled 19th January 2010, to the Minister of State, Department for Business, Innovation and Skills.

The Intellectual Property Office figures are for 2008/09 (pay costs include pay, NI and superannuation) and show the number of full time equivalents (FTE).

Grade FTE Pay cost (£000)
Director 9.58 953
Div Dir 4.00 440
Dep Dir 14.01 1,384
D1 7.15 734
C2 160.88 10,799
C1 109.58 4.987
B3 89.41 3,655
B2 124.06 4,270
B1 106.73 2,754

This includes over 200 specialist examiners (mainly C2, C1 & B2) and some other staff who are in management grades but generally do not have management responsibilities. Similarly most staff management chains will not include all the layers above.

Letter from Peter Mason, dated 1 February 2010:

I am replying in respect of the National Measurement Office to your question to the Minister of State, Department for Business, Innovation and Skills, asking how many layers of management reporting from the most senior to the most junior there are; how many officials are employed in each such layer; and how much was spent on salaries and associated employment costs of staff at each such layer in the latest year for which information is available.

Within this Agency, there are five levels, in the sense of Grades, at which managerial responsibilities can be exercised. These are: Senior Civil Servant (myself), Grade 6 (four staff currently in post), Grade 7 (10 staff), Senior Executive Officer (5 staff) and Higher Executive officer (2 managers at this level).

Managerial responsibility is only one of the factors taken into account when deciding on the grading of a post and there are therefore a couple of Grade 7s and several SEOs who are not managers, in so far as they do not have other members of staff reporting directly to them. In addition the vast majority of HEO staff do not carry out managerial functions.

In practice NMO operates flat structures, which means that it is very unusual to operate with all five of the above mentioned levels. Structures also differ according to the nature of the work-management spans are much wider in the laboratories, for instance, than they are in policy areas. At present, I have 7 direct reports; there is one layer of management between myself and 19 staff; two levels of management in the case of 28 staff; and three levels of management in the case of 11 staff. In only four cases are there four layers of management/supervision between myself and employees. The Agency currently has 66 staff in post. Please note that these do not include vacancies and are expressed in terms of individuals, not Full Time Equivalents.

The last complete year for which audited financial information is available is 2008/09, which was before the shape of the agency was significantly altered with the transfer to us of responsibility for the National Measurement System and the Teddington Estate. I regret, therefore, that meaningful information could only be provided at disproportionate cost. However, we estimate that of the current salary bill of approximately £3.1m (ie the annualised staff costs of those in post at the present time) the salaries of those whose duties include some managerial responsibilities amount to approximately £1.6m.

Letter from Stephen Speed, dated 2 February 2010:

The Minister of State, for the Department of Business, Innovation and Skills (BIS) has asked me to reply to your question how many layers of management reporting from the most senior to the most junior there are in his Department and each of its agencies; how many officials are employed in each such layer; and how much was spent on salaries and associated employment costs of staff at each such layer in the latest year for which information is available.

The Insolvency Service has 6 layers of management reporting, and the number of staff within each layer is shown in the table below based on full-time equivalent staff numbers. The costs shown are based on salary, superannuation and national insurance contributions projected annually from December 2009's payroll. However, not all B1-C2 grade staff are managers, and the number of managers at each of these grades could only be established at a disproportionate cost.

Grade Number Grade Cost of all staff in grade (£) Cost of managers in grade (£)
B1 306 B1 (EO) 8,485,968 n/a
B2 131 B2 (HEO) 4,576,896 n/a
C1 52 C1 (SEO) 2,499,156 n/a
C2 291 C2 (SEO) 15,913,908 n/a
D2 94 D2 (G7) 6,631,248 6,631,248
D3 18 D3 (G6) 1,675,164 1,675,164
Total 892 Total 39,782,340

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