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Whitehall trade unions have vowed to oppose, ‘root and branch', ministers' emergency plans to slash redundancy payments for up to 500,000 civil servants. The Cabinet Office again appears to be on collision course with civil service unions over the cost of redundancy packages for staff, and is now seeking to impose short-term emergency measures which would cap payments ahead of new legislation enshrining cheaper arrangements. Ministers want to introduce cheaper redundancy terms as part of their plan to tackle the public deficit by slashing jobs and costs across the public sector. The Cabinet Office this week said the aim was to ‘bring it [the civil service redundancy scheme] into line with practice in the private sector', where redundancy terms were far lower. Civil servants can currently be compensated for redundancy up to a maximum of six-and-a-half years' salary, whereas many private sector programmes are capped at one year's salary, or lower. The Labour Government last year imposed a deal that would have seen the maximum payment to its staff reduced to two years. Five of the six major Whitehall unions had prepared to back the deal, but the Public and Commercial Services (PCS) union – Whitehall's largest staff organisation – rejected it. Following an appeal by the PCS, the High Court ruled in May that the imposition of the Government's changes without union agreement was unlawful. But the Conservative-Liberal Democrat coalition now wants to go further than the Labour proposals, and is seeking to implement a tough new settlement, backed by new legislation that would negate the court ruling. PCS general secretary, Mark Serwotka, predicted a ‘fierce' response from his members. But other major unions have now promised to join the PCS in opposing the coalition's plan. Dai Hudd, deputy general secretary of Prospect, a 122,000-strong union for Whitehall's professionals, said: ‘Conflict can be avoided if ministers take a fair and sensible line, but the Draconian measures now being leaked we will oppose, root and branch.'

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WHITEHALL

Unions vow to fight plans to slash severance pay

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