One of the country’s largest trusts is planning redundancies at around 20 of its schools, blaming “extremely challenging” school budgets caused by “unfunded” pay and national insurance rises.
But the NASUWT teaching union has accused the Harris Federation of “disgraceful behaviour”, pointing out its chief executive Sir Dan Moynihan (pictured) earns over £500,000 a year and the trust has tens of millions in reserves.
Schools Week understands around 20 schools are in scope – nearly half of Harris’s 55 academies. NASUWT has said it believes 45 teachers are at risk. The trust was approached for comment.
Funding ‘extremely challenging’
In a letter from Harris about the redundancies, seen by Schools Week, the trust pointed to the “UK-wide issue that schools are experiencing in respect of a challenging financial situation”.
“The key elements of this problem are outside of our, and indeed most schools, control. These issues can only be dealt with by reductions in costs and this will regrettably impact on teaching and support staff numbers for the next financial year.”
Harris said it was “facing an unfunded pay rise for teachers of 2.8 per cent and for support staff of 3.2 per cent, which we will have to fund from existing budgets.
“Added to this, we also have the extra burden of the governments [sic] increase to national insurance, again which is not fully funded.”
There have been reports that the teacher pay award recommended by the School Teachers’ Review Body could be even higher – around 4 per cent – with government adamant additional funding is not coming.
The letter states the other issue is a “critical drop in income as, like nearly all London schools, we are experiencing a significant drop in our rolls resulting from the falling birth rate and therefore we have no extra income to offset costs.
“We are therefore in a challenging situation; and we need to act quickly to restructure in time for the start of the next academic year.”
Harris is “mindful that we are required to have any changes in place” by the end of May “in respect of any fall in teacher numbers due to redundancy”.
‘Underhand tactics’
The trust will “look to ‘natural wastage’ and redeployment wherever possible to preserve employment. It is never our aim to lose good and dedicated teaching staff, but the current situation is extremely challenging”.
Harris said indicative affected roles were due to be provided by the end of April 30, and group and one-on-one meetings would start this week.
But the NASUWT’s acting general secretary Matt Wrack accused Harris of “trying to make dozens of dedicated teachers redundant and are using underhand tactics to try and force this through.
“Their disgraceful behaviour is causing untold stress to our members and will only serve to damage children’s education”.
The union claimed that alongside “refusing” to hold a collective consultation, the trust “failed to provide a business case for the redundancies or any financial justification at all”.
Trust CEO has £500k salary
Wrack added: “This academy trust has tens of millions in the bank, pays its boss more than the prime minister and yet is seeking to get rid of 45 teachers in its schools.”
Harris was contacted for comment.
Moynihan last year became the first academy trust CEO to draw a salary of over £500,000.
He took home between £515,000 and £520,000 in 2023-24, up from a range of £485,000 to £490,000 the previous reporting year.
The trust – which has been criticised over its executive pay salaries – has six other members of staff earning more than £190,000.
Harris’s £28 million reserves equate to around 7.7 per cent of its annual income – which is “approximately 1.1 months’ revenue expenditure”, accounts state.
Government guidance states nearly all trusts hold at least 5 per cent of total income in reserves, and levels of 20 per cent are considered high.
The union is calling for an “immediate halt to the 45 proposed teacher redundancies, a “proper collective consultation” and full transparency on the rationale for redundancies.
Schools Week should also look at reach 2, its finances, its staff reductions and so on…
Lucky they have a guy like this to make these calls. Half a million+ well spent.
I’m hoping the above is an ironic comment.
When given free rein it doesn’t take long for the avaricious and ambitious to get their noses in the trough does it.
Excessive Academy pay will be the next crisis in education. Most trusts publish their executive pay data and the number of staff on six figure salaries is mind boggling. I’ve got to ask what staff are doing for £100k plus a year in academies because in my experience they certainly aren’t doing any classroom-based teaching. What value are they adding?
Absolutely shameful. The pay in trusts have gotten completely out of control, with people who has a very doubtful use getting higher and higher salaries. I hope this is a wake up call and we limit this parasites.
Funny how CEOs (still wondering why these are needed in education) do not talk about “unfunded” when they are negotiating their ridiculously high salaries or creating unnecessary posts for their people…