The Spending Review 2015 announced the government’s intention to consult on cross-public sector action on exit payout terms. The aim is to reduce the costs of redundancy payouts and ensure greater consistency between workforces. The Civil Service will broadly align with these reform principles.
This consultation is looking at reforming the Civil Service Compensation Scheme (CSCS) to meet the following principles:
- to align with wider compensation reforms proposed across the public sector, including the government’s manifesto commitment to prevent excessive pay-outs by ending 6-figure exit packages
- supporting employers in reshaping and restructuring their workforce to ensure it has the skills required for the future
- to increase the relative attractiveness of the scheme for staff exiting earlier in the process, and to maintain flexibility in voluntary exits to support this aim
- to create significant savings on the current cost of exits and ensure appropriate use of taxpayers money
- to ensure any early access to pension provisions remains appropriate
We would particularly, but not exclusively, be interested to hear from the representatives (trade unions) of those covered by the terms of the CSCS, any individuals affected by the changes and employers.
Once the consultation closes on 4 May 2016 we will consider all replies and publish a government response document that will set out how the government intends to proceed.