§ Mr. Arthur Lewis
asked the Minister for the Civil Service why, in view of the Government's policy of reducing public expenditure and restricting incomes and inflationary wage and salary payments, he will not take steps to stop, control, or restrict retirement payment to the chairmen of nationalised boards, and other public servants who voluntarily relinquish or are dismissed from their public appointments; and whether the same policy applies to industrial civil servants on the lower salary scales.
§ Mr. David Howell
The terms on which Board Chairmen and other public servants are appointed provide for the payment of compensation if their employment is terminated in certain circumstances, particularly when no question arises of dismissal for misconduct. It would be quite unjustified to set aside these terms of service.
As mentioned in my reply to my hon. Friend the Member for Bedfordshire, South (Mr. Madel) on 17th December, 1970, proposed new arrangements for compensating civil servants, including 145W industrials, who are prematurely retired are under discussion with the staff interests.—[Vol. 808, c. 450–1.]