PCS keeps up pressure on compensation scheme

The union continues to fight the proposed changes to the civil service compensation scheme (CSCS) by putting pressure on the government to improve its offer. 

PCS is the largest union of civil servants, representing workers the majority of whom earn less than £22,000 a year. The coalition wants, through its superannuation bill, to limit compulsory redundancy payouts to 12 months pensionable earnings, and voluntary to 15 months, which we argue interferes with civil servants’ human rights.

PCS argues that the effect of the bill is to extinguish, in one measure, the right of the unions to bargain collectively in relation to the worsening of benefits under the CSCS, bringing to an end at once an intricate and cooperative tradition and practice going back several decades. At the same time, the government proposes to implement a new scheme which would change redundancy compensation for people below their normal pension age on their final day of service and leaving on compulsory terms to 12 months salary and voluntary terms to 21 months.

At a meeting of Council of Civil Service Unions representatives on Tuesday fresh proposals to put to Cabinet Office minister Francis Maude were discussed. The PCS national executive committee has agreed that if any further negotiations prove unsuccessful or if the Cabinet Office refuses fresh talks, there will be a membership ballot to seek members’ approval to reject the offer.

The bill was debated by a House of Lords committee yesterday, where the government emphasised it was anxious its attempts to introduce a new scheme should not be delayed by “continuing litigation”. The bill is expected to reach the report stage in the Lords within a fortnight and will then return to the House of Commons. PCS submitted legal evidence on the bill to the joint committee on human rights on Friday.

Ballots on the compensation scheme have been suspended in FDA and Prospect partly because of a legal issue. In Europe very recently there was a judgement that has implications for both state and occupational redundancy schemes which may have implications for compensation arrangements that limit payments to a person over normal pension age 60, or 65 for those who are members of Nuvos - who have joined the principal civil service pension scheme since 2007 and are not currently in the CSCS.