Reform of local government exit pay
06 Oct 2020
On 7 September 2020, MHCLG published a consultation on restricting exit payments in local government in England and Wales. The consultation goes wider than delivering the previously stated £95k cap; these proposals will affect all local government workers who are retiring from age 55 on redundancy or efficiency grounds. It is important for local authorities and others to appreciate the major reductions in redundancy pay (statutory and discretionary) which will arise.
To help you put this into context, download our Briefing Note where we've set out some examples. These demonstrate the ‘before and after’ impact of the reforms on employees, and the new options that will be available post reform.
Our 60 Second Summary provides further detail about the consultation.
As ever, we will be keeping a close eye on the situation and continuing to issue communications as things develop. In the meantime, if you wish to discuss the matter further, please speak to your usual Hymans Robertson contact or get in touch here.