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Public Services Exit Cap Payment Consultation

The Government are once again attacking the hard earned and fought for terms and conditions of public service workers. This time, they are trying to cap all exit payments for public service workers at £95,000.

This exit payment cap will affect many GMB members in all public sector departments, particularly those aged 55 years and above and includes:

  • Redundancy payments.
  • Pension top up payments (‘Pension Strains’) – these cost the employer if the employee leaves their post early. This is not cash in the employees’ pocket and does not give people a pension higher than what they have earned.
  • Compensation as a result of ACAS arbitration, or a settlement or conciliation agreement.
  • Severance or ex gratia payments.
  • Payments on voluntary exit.
  • Pay in lieu of notice under a contract of employment (PILON due under a contract of employment that does not exceed one quarter of the relevant person’s salary will be exempt).
  • Any other payment (contractual or otherwise) as a result of termination or loss of office.

The GMB will be making a submission of evidence into this consultation on behalf of all GMB members who are set to be negatively affected by these proposals.

You are invited to comment. You can access full details of the consultation at:-

Please email any comments you wish to be considered as a part of the GMB evidence to by no later than Monday 24th June 2019.


Posted: 22nd May 2019

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