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Government proposals on compensation scheme unacceptable

31 July 2009

The Cabinet Office has published proposals for what it describes as 'reform' of the civil service compensation scheme.

Members will be aware that we, with the other civil service unions, have been in negotiations with the Cabinet Office about the scheme since the autumn of last year. The published proposals have not been agreed with the unions.

The proposals are an outrageous attempt to cut people’s jobs on the cheap at a time when many are worried about job security.

They amount to a cut in accrued and contractual rights to decent redundancy compensation at a time when we can clearly see that tens of thousands of jobs are at risk over the next few years.

They would mean a huge financial loss amounting to tens of thousands of pounds for the vast majority of existing staff, particularly those facing redundancy, whether that be compulsory or voluntary.

The proposals will be considered at an emergency meeting of the national executive on 6 August. The NEC is determined to defend members' rights and will consider all options.

We will be seeking to meet Cabinet Office ministers and, considering the detailed and positive legal advice we have received, to determine whether we should seek a judicial review to halt this process.

  Cabinet office letter to PCS

Full details of the proposals for reform of the civil service compensation scheme are available on the civil service website.

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