It has been brought to light that an estimated 1700 civil servants who have been made redundant are actually still on the public payroll. This is due to their "gold plated" redundancy deals which makes it far too expensive to give them their official payout so many areas are simply getting rid of employees but leaving them on the payroll.
It is thought that they are pocketing about 50m a year despite them having no jobs to do. Instead these workers are being left in talent pools to be redeployed elsewhere.
Cabinet Office Minister Francis Maude, will announce shortly the plans for the legislation that will unpick deals that entitle civil servants to six years salary if they lose their jobs. Under the existing rules, a civil servant who is on 24k per year and has been working for 25 years is entitled to 6.2 years salary. This can be about 150,000, whereas a private sector worker with the same circumstances would only be entitled to about 8,360.
Labour attempted to cap the pay offs at 2 years, but the move was defeated in the course.
Mark Serwotka of the PCS union stated "it would be absolutely outrageous if the government tried to overrule what the high court has decided twice". This is a very controversial statement considering the current state of the country and the economy.
If you would like more information on redundancy, employee/employer rights or would just like some advice from one of our employment lawyers then don't hesitate to give us a call on 01527 571 600 or visit www.agilityuk.com