The High Court has rejected a trade union’s claims that the level of severence pay offered by the Ministy of Defence’s (MoD) dismissal scheme is unlawful. The defence ministry’s early release programme could cost 5,000 employees their jobs and Prospect, the union, maintains that the ‘flexible’ severence payment scheme to be implemented is illegal.
The MoD launched its voluntary early release scheme in 2005 and Prospect claims that they have chosen to cheaper ‘flexible’ severance payments rather than ‘compulsory’ terms. Mr Justice Wyn Williams, however, ruled that such an approach was permissible under the Civil Service management code.
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