DMFD242 LFB People Services Transformation – Phase Two

1.1    Report LFC-24-060x to the London Fire Commissioner (LFC) explains that, in November 2022, the Independent Culture Review (ICR) of London Fire Brigade (LFB), commissioned by the LFC, highlighted significant cultural challenges within the organisation. 
1.2    The ICR made 23 recommendations aimed at addressing these issues, many of which pertain directly to LFB’s People Services department.
1.3    In response to the ICR, and to enhance the People Services function, the LFB People Strategy was developed. This was consulted on with senior leaders within the organisation; and is designed to transform People Services into a customer-focused, high-value function. The Deputy Mayor for Fire, Planning and Regeneration (Deputy Mayor) was consulted on the strategy at the meeting of the Deputy Mayor’s Fire Board on 3 July 2024.
1.4    Phase two represents the next iteration of human resources (HR) in LFB. The design principles are:
•    breaking down the Organisational Development team into smaller teams: this will allow the Head of Organisational Development to focus on key areas, and further promote the importance of equality, diversity and inclusion (EDI) by reporting straight to the People Director
•    restructuring the Outreach team to allow more opportunities for positive action, where appropriate
•    bringing managerial and leadership training elements from Learning and Professional Development (L&PD) into HR.
1.5    Phase two aims to improve HR service delivery by:
•    combining the Counselling and Trauma Service (CTS) and Wellbeing teams to form Mental and Physical Health, moving it into the Health and Safety function; this includes the Fitness Advisers, who will continue to provide proactive support around occupational health referrals and other related activities
•    creating Psychological Wellbeing Practitioner roles to clear the backlog of existing cases in CTS, and to speed up service delivery thereafter
•    growing the EDI team, which includes creating EDI Excellence roles that will work across teams in LFB to recognise and promote good EDI practices, and advise on where improvements could be made
•    bringing Leadership Academy, learning resilience, talent management, coaching and mentoring functions back into the People Services department from L&PD; these roles will be grouped with organisational design and development (OD&D) specialists to form the Organisational Development function
•    restructuring the Outreach team and growing by one role, to provide additional coordination of, and administrative support for, outreach events
•    establishing a Business Support Officer role to work with the HR Business Manager, to provide department coordination and reporting administration capacity.
 

2.1    The proposed People Services structure is attached as Appendix 2 to report LFC-24-060x. This shows the next iteration of structural changes and outlines responsibilities.
2.2    The following teams are in scope for Phase Two:
•    EDI team: this team will serve as experts in promoting fairness and positive culture within LFB. They will provide advice on matters of equality, diversity and inclusion, and champion behaviours that make LFB “a great place to work”.
•    Mental and Physical Health team: this combines the CTS with the Wellbeing team, and will integrate support for mental and physical health of LFB personnel. CTS will focus on delivering clinical support, while the Wellbeing team will develop strategies and guidance to promote positive wellbeing. This is in line with recommendations following a review by the Samaritans.
•    Organisational Development team: phase one of the People Services transformation emphasised reducing senior posts to empower leaders, minimise bureaucracy and enhance accountability. This team will be restructured into three specialised areas and will mitigate this risk: OD&D, including engagement and values; the Leadership Academy and learning resilience; and talent management, and coaching and mentoring.
•    Outreach team: this team connects directly with candidates, focusing on potential firefighters in London. 
2.3    Implementation of phase two will begin to deliver the next iteration of organisational development in August 2024, with recruitment of new posts to begin shortly thereafter and running through the next few months, following budget approval.
 

3.1    The LFC and the Deputy Mayor are required to have due regard to the Public Sector Equality Duty (section 149 of the Equality Act 2010) when taking decisions. This in broad terms requires organisations to consider how they could positively contribute to the advancement of equality and good relations including by understanding the potential impact of policy and decisions on people sharing protected characteristics, taking this meaningfully into account and identifying appropriate mitigations against any impacts. It requires equality to be considered in decision-making, in the design of policies and in the delivery of services, including internal policies, and for these matters to be kept under review. 
3.2    It is important to note that consideration of the Public Sector Equality Duty is ongoing and is not a one-off task. The duty must be fulfilled before taking a decision, at the time of taking a decision, and after the decision has been taken.
3.3    Section 149(1) of the Equality Act 2010 provides that, in the exercise of their functions, public authorities must comply with the Public Sector Equality Duty by having due regard to the need to:
•    eliminate discrimination, harassment and victimisation and other conduct that is prohibited by or under the Equality Act 2010
•    advance equality of opportunity between persons who share a relevant protected characteristic and persons who do not share it
•    foster good relations between persons who share a relevant protected characteristic and persons who do not share it.
3.4    The protected characteristics are: age, disability, gender reassignment, pregnancy and maternity, marriage and civil partnership (but only in respect of the requirements to have due regard to the need to eliminate discrimination), race (ethnic or national origins, colour or nationality), religion or belief (including lack of belief), sex, and sexual orientation.
3.5    Having due regard to the need to advance equality of opportunity between persons who share a relevant protected characteristic and persons who do not share it involves having due regard, in particular, to the need to:
•    remove or minimise disadvantages suffered by persons who share a relevant protected characteristic where those disadvantages are connected to that characteristic
•    take steps to meet the needs of persons who share a relevant protected characteristic that are different from the needs of persons who do not share it
•    encourage persons who share a relevant protected characteristic to participate in public life or in any other activity in which participation by such persons is disproportionately low.
3.6    Having due regard to the need to foster good relations between persons who share a relevant protected characteristic and persons who do not share it involves having due regard, in particular, to the need to:
•    tackle prejudice 
•    promote understanding.
3.7    An equalities impact assessment (EqIA) was conducted for the People Services transformation proposals and is attached to the LFC report in the appendices. The impact assessment found that, with no posts at risk of redundancy, and the addition of 20 new posts, there is no high impact adverse effect on members of staff with protected characteristics.
3.8    Whilst there are no adverse effects outlined, the EqIA (Appendix 4 to report LFC-24-060x) should be taken into account when making this decision. It specifically highlights age, as the 40-49 age bracket accounts for 33 per cent of staff impacted by these proposals (this age bracket makes up the largest proportion of People Services staff). These impacts arise from the potential change in reporting lines and working practices; they will be monitored to ensure that no groups are adversely affected.
 

Workforce comments
4.1    LFB’s representative bodies and equality support groups have been engaged with. Formal consultation ended on 18 June 2024.
Sustainability comments
4.2    This report does not introduce any significant sustainability impacts. Where new policies and/or corporate projects arise, they are subject to LFB’s sustainable development impact assessment process.
Procurement comments
4.3    There are no procurement comments arising from this report.
Conflicts of interest
4.4    There are no conflicts of interest to declare from those involved in the drafting or clearance of this decision.
 

5.1    This report requests approval to commit to revenue expenditure to implement phase two of the People Services restructure, as set out in the options in Appendix 1 of report LFC-24-060x (appended to this decision). This phase two is anticipated to cost approximately £1,419,549 annually, and £946,366 in 2024-25. These costs are based on current rates and are subject to ongoing reviews. Future years’ costs will be built into future financial planning rounds, taking into account pay rises.
5.2    This additional cost is to be funded from ongoing annual revenue funding of £1,350,000. This was approved as part of the LFC’s 2024-25 revenue budget under the Cultural Transformation Programme; and is reflected in the Mayor’s Final Draft Consolidated Budget 2024-25 and the LFC final budget 2024-25.
5.3    The additional £69,549 annual funding requirement to deliver phase two is expected to be covered by existing departmental staffing or non-staffing budgets. The details will be outlined in future budget-setting proposals, so future years costs are anticipated to be fully budgeted for. 
 

6.1    Under section 327A of the Greater London Authority Act 1999 (the GLA Act 1999) (as amended by the Policing and Crime Act 2017), the LFC is established as a corporation sole with the Mayor appointing the occupant of that office. Section 1(2)(c) of the Fire and Rescue Services Act 2004 states that the LFC is the fire and rescue authority for Greater London. 
6.2    The Fire and Rescue Services Act 2004 provides, under sections 7 and 8, the duty to secure provision for the personnel, services and equipment necessary efficiently to meet all normal requirements – that being the personnel needed to meet statutory functions relating to fire-fighting. Section 5A provides, amongst other things, the power for a fire and rescue authority to do anything it considers appropriate: for the purposes of the carrying-out of any of its functions (its “functional purposes”); for purposes incidental to its functional purposes; and for purposes indirectly incidental to its functional purposes through any number of removes. These powers and or duties provide the statutory basis for the decision set out herein regarding the proposed People Services personnel, structure and the proposed use of external resource.
6.3    The LFC is also a ‘best value’ authority under the Local Government Act 1999. It must make arrangements to secure continuous improvement in how its functions are exercised, having regard to a combination of economy, efficiency and effectiveness. 
6.4    Under section 327D of the GLA Act 1999, as amended by the Policing and Crime Act 2017, the Mayor may issue to the LFC specific or general directions as to the manner in which the holder of that office is to exercise his or her functions. By direction dated 1 April 2018 (the direction), the Mayor set out those matters for which the LFC would require the prior approval of either the Mayor or the Deputy Mayor. 
6.5    Paragraph 2.1 (b) of Part 2 of the direction requires the LFC to seek the prior approval of the Deputy Mayor before “[a] commitment to expenditure (capital or revenue) of £150,000 or above as identified in accordance with normal accounting practices”. The proposals in this report are £150,000 or more and so the direction is engaged.
6.6    To the extent that there are any requirements to collectively consult or any positive action proposals the LFC will comply with its legal obligations in respect of those. 
 

Appendix 1 – LFC-24-060x – LFB People Services Transformation – Phase Two