The three main local government trade unions - Unison, Unite and the GMB - have decided to recommend rejection of the local government pay offer.
Last month's offer equated to an increase of 9.42% this year for the lowest paid while for those on all pay points above the top of the pay spine an offer of 3.88% was on the table.
The three unions met the employers for talks yesterday.
However, Unite's national committee has decided to recommend rejecting the offer and warned employers of ‘growing anger' among workers while the GMB's local government staff council has recommended that its members should reject the deal.
Unite argued that, with the Retail Prices Index currently standing at 13.4%, the offer amounts to a real terms pay cut of nearly 10% for some members.
General secretary of Unite, Sharon Graham, said local government workers were 'now absolutely determined to fight for a pay increase that will not see their pay eroded by inflation for yet another year'.
She added: ‘Local government employers need to enter into full pay negotiations and make a decent pay offer if industrial action is to be avoided.'
Unite acting national officer Clare Keogh added: ‘Local government employers need to recognise there is growing anger among local government workers about the way they are treated year after year in pay negotiations.
'If the employers want to avoid industrial action they need to make a much improved offer.'
GMB national officer, Sharon Wilde, said: 'Simply put, this deal isn't enough to make up for a decade of austerity, followed by a cost of living crisis.'
Head of local government at trade union Unison, Mike Short, added the offer 'falls short of what's needed when bills are soaring'.
