Manzoni confirms 2010 redundancy pay reinstatement

06 Sep 2017

The Cabinet Office has written to PCS confirming that, as a result of our victory in the High Court, redundancy pay cuts imposed in 2016 have been quashed, and the 2010 civil service redundancy pay scheme (Civil Service Compensation Scheme) has been reinstated.

Civil service chief executive, John Manzoni, has confirmed that pension administrator MyCSP will contact all those who left on the 2016 terms and “will make further payments to them where additional compensation is due, before the end of the year”.

The main differences between the terms are summarised below.

2010 CSCS

2016 CSCS

1 month's salary per year of service

3 weeks' salary per year of service

Capped at 21 months' salary for voluntary redundancy and voluntary exit

Capped at 18 months' salary for voluntary redundancy and voluntary exit

Capped at 12 months' salary for compulsory redundancy

Capped at 9 months' salary for compulsory redundancy

Employer funded access to early pension option when reach minimum pension age (50 with Classic and Premium/ 55 with Nuvos and Alpha)

Employer funded access to early pension only after age 55, but to then track 10 years behind state retirement age

6 months' notice for compulsory redundancy

3 months' notice for compulsory

 

The 2010 terms will apply to any voluntary exits, voluntary redundancies and compulsory redundancies for further notice. For many this will mean around a 25% increase in redundancy terms.

John Manzoni goes on to say that the government is considering its options “including to consult again on further changes to the CSCS”. PCS will be campaigning in parliament against a new consultation, and for the 2010 terms to be retained. But if a new consultation starts, we will be at the negotiations, fully committed to defending our members’ redundancy pay.

We are also continuing to campaign for the 1% public sector pay cap to be lifted and for civil servants to be given a rise of 5% or £1200.

 

 

 

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