Council employees have been offered a 2% pay increase over two years starting from April 2016.
The pay offer proposes that staff who earn at least £17,714 a year receive a 1% pay rise in April 2016 and another 1% increase in April 2017. Those on lower salaries would receive higher increases to take into account the implementation of the new national living wage of £7.20 an hour.
The pay offer will affect over 1 million employees. It does not apply to council chief executives, senior officers, teachers or firefighters, who are covered by separate national pay arrangements.
The National Employers, who negotiate pay on behalf of 350 local authorities in England, Wales and Northern Ireland, made the offer to unions on 9 December. Unions will consult with their members on the pay offer.
Councillor Sian Timoney, chair of the Employers' Side, said: "Despite the challenges now facing local authorities following the Spending Review and new national living wage, there is a broad consensus among councils that there should be a pay offer to staff this year.
"This offer balances our commitment to increase the pay of our hardworking employees with the responsibility we have to address the on-going financial pressures we face.
Justin Bowden, national officer at GMB, the union for local government workers, added: "GMB will be issuing full details of the offer to members. We will then seek initial feedback at a national meeting of representatives to be held on 7 January 2016. This meeting will decide the GMB stance on the proposals before giving all members a vote on the offer in a ballot."
