Rehired public workers will have to hand back redundancy cash
Sunday 01 June 2014
Highly paid public-sector employees who lose their jobs and are re-hired by the state shortly afterwards will have to hand back part of their bumper redundancy payments.
The Chancellor, George Osborne, has moved to claw back millions of pounds of taxpayer money in plans to be outlined in the Queen’s Speech this week.
The Small Business Bill will include provisions to recover portions of redundancy payments across the public sector from individuals earning more than £100,000. These would apply when an individual takes a new job in the same part of the public sector within 12 months of being made redundant. The amount paid back will depend on the length of time between exit and re-employment.
The Health Select Committee recently established that, in 2010-13, 13 per cent of 19,000 NHS staff made redundant were rehired by the health service within a year.
The Financial Secretary to the Treasury, Nicky Morgan, said: “We must end the revolving door where highly paid public-sector workers can leave with redundancy only to rejoin a short while later. We must make sure hard-earned taxpayers’ money is not being squandered.”
Along with the NHS, local councils have also been at the centre of the redundancy-pay controversies. Over the past four years, local councils have made nearly 2,000 workers redundant, with an estimated £24m in pay-outs, only to re-employ them back into local authorities months later.
The BBC was also found to have rehired 233 staff they made redundant over the past decade. This included one executive who reportedly received £365,000 in redundancy pay.
Under the new law, all parts of the public sector are included except for the armed forces, national museums and some majority state-owned financial institutions.
The Government will consult on the proposed changes in the coming weeks.
Mr Osborne is also expected to introduce an infrastructure Bill next week. This would include giving the Highways Agency greater freedoms that would allow the body to build more major roads.
- 1 PlayStation and Xbox hacked by Lizard Squad
- 2 The 'Black Museum': After 150 years, public set to see exhibits from police’s grisly crime museum
- 3 British actor Idris Elba cannot star as James Bond because he is black, says shock jock Rush Limbaugh
- 4 Vagina canoe artist defends herself over ‘obscenity’ charges
- 5 The Queen’s speech 2014: Recap and Twitter reaction to Game of Thrones reference
PlayStation and Xbox hacked by Lizard Squad
Antonio Martin shooting: Black teenager may have tried to ambush patrolman, says police officer's lawyer
Katie Hopkins speaks out on childhood obesity: 'Parents of fat children should be prosecuted for child cruelty'
Boxing Day snowfall set to push even more bargain-hunters online for sales
The 'Black Museum': After 150 years, public set to see exhibits from police’s grisly crime museum
British actor Idris Elba cannot star as James Bond because he is black, says shock jock Rush Limbaugh
Rozanne Duncan: Ukip expels councillor for 'jaw-dropping' comments made in BBC TV interview
Germany anti-Islam protests: 17,000 march on Dresden against 'Islamification of the West'
Ukip member gets into Christmas spirit with Union Flag plea to Santa 'for our country back'
BBC director Danny Cohen: Rising UK antisemitism makes me feel more uncomfortable than ever
Alex Salmond has 'broken his word to the Scottish people' says Scottish Lib Dem leader
£40000 - £43000 per annum + benefits: Ashdown Group: Senior Marketing Executiv...
£40000 - £43000 per annum + benefits: Ashdown Group: An international organisa...
£25000 - £30000 per annum: Ashdown Group: Internal Recruiter -Rugby, Warwicksh...
£70000 - £75000 per annum + benefits: Ashdown Group: Marketing Manager/Marketi...