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Press release: NHS Employers and trade unions launch consultation on new redundancy arrangements for NHS staff31 Jul 2006 NHS Employers and trade unions are today launching a consultation on new redundancy and early retirement arrangements for NHS staff. Staff and employers are being asked for their views on proposals, which have been drawn up and agreed jointly by NHS Employers on behalf of the Department of Health, Scottish Executive and Welsh Assembly and the trade unions. The proposals are a result of the age discrimination legislation that comes into force in October this year. The legislation outlaws discrimination on age grounds unless covered by an exemption or "objectively justified". The existing NHS redundancy and early retirement arrangements have a number of age related thresholds that give different benefits to people of different ages. NHS Employers project manager Tim Sands said: "Our main aim is to introduce fairer redundancy arrangements for everyone that also comply with the new age legislation. "Under the current system, a 40-year-old who is made redundant on a salary of £25,000 after 20 years' service, would receive a redundancy package worth just over £9,000. If he or she were aged 41 when they were made redundant, with same salary and service years, they would get a package worth just over £19,000, and if they were 50, they could get a package worth just over £119,000. This simply isn't fair." "We have drawn up proposals with the trade unions, which we believe will introduce a fairer redundancy system. We are keen to hear as many views as possible and hope people will take part in the consultation." * having a flat rate of one month's pay per year of service with a maximum of 24 months pay * staff over the minimum pension age should be able to retire early on redundancy with no reduction in the value of their pension * the possibility for staff to take early retirement in the interests of the service without the value of their pension reducing * transitional protection to be provided for existing staff until 30 September 2011 The consultation will run until Monday, September 11. Following this, NHS Employers and the trade unions will consider all responses before making final recommendations to the Departments of Health. Related publicationsRedundancy main consultation (266 kB PDF) Redundancy summary (87 kB PDF) Notes for editors
* The new arrangements will affect all UK healthcare staff working in NHS trusts, apart from those employed by GP practices, who have their own arrangements. * The Department of Health has guaranteed full protection arrangements for staff who are part of a redundancy programme announced before September 2006 and who have agreed to stay on temporarily to assist with a transition or who have been offered guaranteed employment which runs beyond 1 October 2006. This is to help staff who may be made redundant as part of an NHS reconfiguration programme. * Further information on the consultation and how to take part will be available from Monday, 31 July 2006 at http://www.nhsemployers.org/pay-conditions/pay-conditions-504.cfm, including the full consultation document, an online response form, frequently asked questions, support materials and tools. Contact detailsThe press office provides a comprehensive service to keep journalists informed about the work of NHS Employers. If you have a media enquiry, please contact the press office team:
For out of hours media enquiries, please contact the duty press officer on 07880 500726. Last reviewed 31 Jul 2006 |
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