Consultation on the recovery of exit payments in the public sector

Close date: 17 September 2014

The Government consults on its proposals to introduce legislation that will require the recovery of exit payments from highly-paid employees returning to the public service within one year of leaving. Exit payments are intended to provide compensation while looking for new employment and a bridge between jobs. However, where staff return after a short period the justification for these payments is weaker. The consultation seeks views on the Government's proposals for new legislation to establish a contractual term requiring the repayment of exit payments from those earning £100,000 or more, with tapering provisions for those earning over £80,000, where they return to the same sector. These proposals, which will form part of the Small Business Enterprise and Employment Bill, are expected to be implemented no later than April 2016.

Consultation document: Recovery of public sector exit payments
Consultation outcome: Recovery of public sector exit payments