Oral Answers to Questions

Baroness Clark of Kilwinning Excerpts

Wednesday 14th July 2010 Commons Chamber

The Minister for the Cabinet Office was asked—

[Katy Clark (North Ayrshire and Arran) (Lab)]

1. What recent discussions he has had with trade union representatives on reform of the civil service compensation scheme.

[The Minister for the Cabinet Office and Paymaster General (Mr Francis Maude)]

I wrote to the chairman of the Council of Civil Service Unions immediately after making my statement to the House on 6 July. I have invited the unions to begin discussions with us on developing a sustainable and affordable long-term successor to the current civil service compensation scheme. I met the unions yesterday, and my officials have had further meetings with them.

[Katy Clark]

I thank the Minister for that answer. As he will appreciate, thousands of civil servants currently face losing their jobs as a result of this Government’s policies. Will such people be able to rely on their contractual terms?

[Mr Maude]

It is common ground that the current civil service compensation scheme is unaffordable. The hon. Lady’s own Government attempted to introduce a new scheme that introduced modest changes to the current scheme. That was agreed by five out of the six civil service unions, but sadly, the sixth did not agree, went to the High Court, and had it struck down. The result is that savings that had been scheduled to be made by the previous Government now cannot be made, so there is an additional cost. I have taken the view that it is not responsible to leave matters as they are. Nor is it fair to leave in limbo for ever people who know that there is, through no fault of their own, no job for them for the future, which has been the case for some time.