7.3.11

Challenging compensation scheme changes

The following details have been supplied by the PCS HQ:

PCS is continuing to challenge the government’s massive planned reductions to our hard-fought redundancy rights.

On 21 December the new civil service compensation scheme was imposed. PCS members voted comprehensively to reject the proposals on the civil service compensation scheme, as did members the POA, together representing 60% of civil servants. Four other civil service unions accepted the scheme and Cabinet Office minister Francis Maude has put it in place.

PCS had previously informed the Treasury solicitor of its intention to take a judicial review of the government’s decision to lay a new scheme in parliament, and was due to launch proceedings as Activate went to press. It has also called on the government to reopen negotiations to agree a new scheme that protects members’ rights.

The bill limits compulsory redundancy payouts to 12 months’ pensionable earnings, and voluntary to 15 months. The new scheme changes redundancy compensation for people leaving on compulsory terms below their normal pension age on their final day of service to one year’s pay and 21 months’ pay, plus notice, for voluntary.

For updates check the Q and A section on the PCS website