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Q&A: public sector redundancy

What do public sector workers get? Nurses – one month's pay per year of service, up to two years' salary Teachers – one week's pay per year of service (statutory redundancy), but local authorities can award more on a discretionary basis up to two years' salary Other NHS staff – one month's pay per year of service, up to two years' salary Council workers – one week's pay per year of service (statutory redundancy), but local authorities can award more on a discretionary basis up to two years' salary Civil servants – the government's proposed reforms would reduce severance terms to one month's salary per year, doubled after five years up to a maximum of two years' pay. At present, up to six years' salary can be paid. Who is eligible? Anyone with two years' continuous service What's the minimum redundancy rate under law? Statutory redundancy pay is one week's pay per year of employment, up to a maximum of £380 a week for employees aged 22-40. Thereafter, redundancy pay is calculated at 1.5 weeks' salary for each year of service after the age of 41. The maximum length of service that can be counted is 20 years. How do public sector redundancy terms compare to the private sector? According to the Chartered Institute of Personnel and Development (CIPD), half of all organisations with over 1,000 employees have redundancy terms above one week's pay per year of service. While 47% of the private sector and 50% of the voluntary sector have severance pay above the statutory minimum for some or all employees, in the public sector the figure is 56%. What's the average redundancy payout? The average payout is £17,926 in the public sector, £8,981 in the private and £7,629 in the voluntary sector, according to CIPD figures. • Are you aware of cuts in your workplace or community? Please report them to Cutswatch, so that we can incorporate your news into our coverage. The url for the page to report cuts is: http://www.theguardian.com/society/signup/2010/jun/22/budget-2010-cutswatch-public-services .

Source: The Guardian ↗

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