HC Deb 10 November 1920 vol 134 cc1183-4
82. Sir IVOR PHILIPPS

asked the Secretary to the Treasury whether the additional bonus in accordance with the sliding scale based on the cost of living awarded to civil servants has been calculated on their net pay after deduction for pension and not on their gross pay, which has been the practice since January, 1918; and if he will state the reason for this change, which apparently effects a small economy by reducing the benefits to those of the lower grades while having no effect on those of the higher grades, who do not have deductions made from their pay on account of their pensions?

Mr. BALDWIN

The bonus of civil servants is calculated upon their ordinary rate of remuneration, with the exception that in the case of pensionable civil assistants employed in the Ordnance Survey, it has in the past been calculated on the rate of remuneration of unpensionable ranks, which is somewhat higher than that of corresponding pensionable ranks. It has been decided that this practice is not justifiable and that, as from the 1st November, bonus should be calculated, in this as in other cases, on the actual remuneration received.

Sir I. PHILIPPS

Is the right hon. Gentleman aware that the result of this decision on the part of the Treasury is to inflict hardship on the lower paid men, who receive less bonus under this increased bonus scheme, while those who are higher salaried men, and who pay nothing towards pension, get full bonus? Is he aware that the result of this decision is to throw the burden entirely on the poorer men?

Mr. BALDWIN

According to my information, the only result is that these men are put on exactly the same basis as everybody else in the Civil Service, and that, owing to some error when the bonus was first given, they have been obtaining more bonus in proportion than any other branch of the service.

Sir I. PHILIPPS

But will the right hon. Gentleman really reconsider this matter, if he takes into view that these men who were given this pay had it fixed once and for all, with a deduction for pension; and is he aware that the result is to alter the decision originally given by the Treasury, and throw an extra burden on the poorer men and not on the better paid men?

Mr. BALDWIN

Perhaps my hon. Friend will be good enough to consider the matter in the light of my answer, and afterwards, if he has any cause of complaint, to mention it to me.

Sir I. PHILIPPS

May I show the right hon. Gentleman the figures on which I base my argument?

Mr. BALDWIN

I shall be delighted.