The Leader of the Opposition and Liberal Democrat Group on Oldham Council, Councillor Howard Sykes MBE, expressed incredulity that the ruling Labour Group of Oldham Council should oppose a Government proposal to limit pay-outs to staff leaving the Council to £95,000.

Concerned by some eye-wateringly generous pay-offs by councils and elsewhere in the public sector, the Government has been consulting on setting a £95,000 limit on these so called ‘Golden Goodbyes’.  These are payments made to council staff made redundant, pensioned off early or who leave early by ‘mutual consent’.

In its response to the consultation, Oldham Council stated: “the level is set too low” and “unrealistic in relation to Senior Officer, Chief Officer and Chief Executive Pay”…representing…“less than one year’s salary”.   Oldham Council wants the cap to be set at £120,000.

Cllr Sykes said: “These pay-outs have until now been uncapped.  The Labour Administration appears to live in an ivory tower by opposing the £95,000 pay-off cap suggested by the Government.  For most Oldhamer’s, £95,000 would represent a small fortune.  I am sure that most council tax payers in the Borough would resent paying even this and would want a limit on council staff pay-offs.”

“At a time when Oldham Council will be forced to make massive cuts to services, where making every penny will count, I am surprised it is not thinking more about exit benefits for top staff and therefore retaining services for ratepayers.”

The Lib Dem opposition on Oldham Council are also concerned that the authority’s response to the Government was not presented to councillors before it was sent off.

“It’s another example of the lack of transparency Oldham Council has with some matters when it comes to spending council tax payer’s cash.  Without my intervention we would all still be in the dark about this matter,” added Councillor Sykes.