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Cabinet Office makes ‘offer’ of big cuts to civil service redundancy pay 01/10/2016

Posted by pcsdwpsheffield in Uncategorized.

Please see below from the PCS Website

26 September 2016 

Without any prior notice the Cabinet Office has today written to the civil service unions confirming its ‘offer’ on a revised Civil Service Compensation Scheme.

The ‘offer’ contains swingeing cuts to members’ redundancy provisions, including:

  • The standard tariff for calculating redundancy to be reduced from 4 to 3 weeks’ pay
  • The voluntary exit payments to be capped at 18 months salary
  • The voluntary redundancy cap to be reduced from 21 to 18 months
  • The compulsory redundancy cap to be reduced from 12 to 9 months
  • Reduced access to early payment of pension, with the age at which this can be taken rising to 55 and tracking behind state pension age.

The ‘offer’ is in the most part unchanged from the Cabinet Office’s initial proposals outlined in its consultation document, despite thousands of PCS members responding in opposition to the changes. We believe that the consultation exercise has been little more than a sham.

Members will recall that we, along with POA and Unite, were effectively debarred from the final stages of the talks by the Cabinet Office as we refused to sign up to their outrageous preconditions for further talks which demanded that we sign up to many of the detrimental changes that now form their ‘offer’.

Act of cynicism

In a further act of cynicism and poor industrial relations, the Cabinet Office has indicated that, unless the ‘offer’ is accepted by a sufficient number of unions, they will impose further detrimental terms, including a further reduction in the voluntary redundancy cap to 15 months.

The latest round of cuts to redundancy terms comes on the back of a previous round of cuts in 2010. At that time, the then Minister for the Cabinet Office, Francis Maude, said that those changes were “fair for civil servants and fair for other taxpayers,” and that the changed scheme was “fair, protects those who need the most support, addresses the inequities in the current system and is right for the long term.”

The latest ‘offer’ from the Cabinet Office proposes a ministerial statement indicating that the government believes that the latest changes provide a firm foundation for a generation. They then go on to say that “this administration” will not seek to deviate from the terms in the ‘offer’. These assurances will ring hollow to PCS members when set against Francis Maude’s previous comments and the knowledge that “this administration” will only last until 2020 at the latest. We were not fooled last time by such mealy-mouthed assurances; nor are we fooled this time.

PCS general secretary Mark Serwotka said: “These latest cuts in redundancy terms, coming on the back of vicious cuts in 2010, are a further kick in the teeth to our members from an employer that has no regard for their wellbeing nor the important work that they do.

“These cuts to redundancy pay are a cynical attempt to lay the ground for further job cuts on the cheap in the Public Sector as this government continues to pursue its ideological objective of dismantling public services. PCS will continue to campaign against these proposals and to defend public services and our members’ terms and conditions.”

The PCS national executive committee (NEC) will be meeting in the coming period to consider our formal response to the Cabinet Office and the next steps in our campaign.

In the meantime, our consultation with members on the campaign is running until 6 October. We urge all members to make their views known to their local representatives and to participate in the survey.

Visit our CSCS campaign page to read:

  • The government’s formal offer letter to trade unions on changes to the Civil Service Compensation Scheme
  • Annex A: further details on the CSCS terms
  • Annex B: proposed changes to inefficiency compensation
  • CSCS Consultation response
  • CSCS Equality Impact analysis
  • Proposed 2016 Protocol; and
  • Revised guidance to accompany the 2016 protocol.”


Yours fraternally

Bev Laidlaw

PCS NEC Member, DWP GEC Member, PCS DWP Sheffield Branch Organiser, PCS Branch H&S Officer & TU Rep



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