The above is the very question that will be occupying every Local Government office this morning. The employers late yesterday afternoon offered a two year package of 3% and 2.5% respectively, enough the Trade Unions say to consult.
From first impressions, having discussed the offer with colleagues who were due to take art in selective action, I have my doubts. We will wait and see what consultation brings.
What remains clear is that the Westminster Governments public sector pay policy of holding pay rises to 2% needs to be scrapped. A policy that is restricting local councils and devolved administrations has inevitably led to industrial action, as administrations who receive budgets from Westminster have to fund pay awards over the 2% figure from elsewhere in their finances.
The argument that public sector pay leads to a rise in inflation is in tatters as the economic events of the last few months have shown.
To eliminate further strife, Westminster need to change this policy very quickly, but with all other economic matters recently, we shouldn't hold our breath.