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WHITEHALL

Knee-jerk redundancy measures could prove costly

The National Audit Office (NAO) has reported a future spike in staff costs could occur unless workplace practices are reformed.

Government departments spent £600m securing the early departures of 17,800 staff last year, with minimal co-ordination, risking a future spike in staff costs unless workplace practices are reformed, the National Audit Office (NAO) has reported.

In a study published 15 March, the spending watchdog found Coalition changes to civil-service leaving packages lowered redundancy costs by around 45% in the year from December 2010, and indicated departments could save £400m annually on wages once the initial costs are met.

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