Trends in Public Sector Pay in OECD Countries

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The reform of pay determination systems has been completed in some OECD countries. This report presents information on the procedures which governments have developed to carry out reforms, and on the results obtained, particularly when the reforms have a positive impact on holding down public expenditure. Comparative analysis of public sector pay determination systems in OECD countries illustrates the wide variety of methods of determining public sector remuneration and shows that each country adapts the instruments available to its own institutional structure and economic and social constraints. Those countries which have not opted for radical change are taking a phased, pragmatic approach, lending weight to the view that reform of pay determination systems is extending to all OECD countries.