| The following months are likely to be difficult for | | | | action, and while it may discourage similar costly |
| public sector recruitment, particularly in the civil | | | | deals in future, the immediate reaction to this |
| service. The coming months are likely to be | | | | news has been outrage. |
| difficult for public sector recruitment, particularly in | | | | In the NHS, managers are entitled to up to a |
| the civil service. | | | | year's pay if they leave their posts under the |
| Cabinet Secretary Sir Gus O’Donnell has | | | | mutually agreed resignation scheme, and while |
| said that some of the toughest challenges brought | | | | senior managers are paid just under £100,000, |
| about by the coalition government’s | | | | PCT chief executives get £137,500. If they |
| austerity measures will affect the civil service | | | | are made redundant, the severance pay could be |
| itself, particularly in areas like pay, pensions and | | | | the equivalent of up to two years' pay. However, |
| redundancy payouts. | | | | staff would need 24 years of continuous service |
| Sir Gus said in an interview recently that civil | | | | to qualify for the deal. That represents a |
| service leaders would be tested, but should | | | | considerable level of commitment from any |
| remain open and honest about the difficult times | | | | member of staff, but does it justify the large |
| ahead. | | | | payout? |
| This openness and honesty will not be made | | | | While there is money for people leaving the civil |
| easier by the magnification of financial issues in | | | | service, the problems with getting outsiders in still |
| the media brought about by the financial turmoil. | | | | remain. The civil service labour market has been |
| Issues such as redundancy packages, golden | | | | labelled as one of the most restrictive in the |
| goodbyes and salaries will be scrutinised as never | | | | country, and the Public Administration select |
| before, and the outrage at some of the more | | | | committee says it is a top priority to find a |
| extreme examples of these practices will also be | | | | radically different approach to performance |
| magnified. | | | | management. |
| A good recent example is the £127m | | | | Certainly honesty and openness in public sector |
| redundancy payout to staff and executives at | | | | recruitment is called for, perhaps, too, this radically |
| Glasgow City Council. The council has insisted that | | | | different approach is needed. However, the |
| in three years’ time the measures will | | | | rewards of such openness will not be immediate, |
| produce savings, but its easy to see why the | | | | and it could be several years before seemingly |
| £128,000 average payout is being balked at by | | | | generous or restrictive redundancy and |
| opposition parties. This is openness and honesty in | | | | recruitment practices are brought under control. |