Workforce and Training

05.03.13

DH role in vetting severance payments for NHS staff

The Department of Health has played a “key role” in NHS staff payouts, some of which could have been linked to gagging clauses to silence potential whistleblowers.

The BBC has reported that since 2005, all proposed special severance payments to staff have gone through the DH. The Department has received 578 proposals, rejecting 171. The final decision is made by the Treasury.

The health secretary recently warned against paying off staff whistleblowers via so-called gagging clauses, which can lead to terrible breaches of quality care.

It is unknown how much of the money involved with the severance payouts may have been tied to gagging clauses.

A spokesman for the DH said: “We have consistently made clear to the NHS that local policies should prohibit employment contracts and compromise agreements from including confidentiality ‘gagging’ clauses which seek to prevent people from speaking out on issues which are in the public interest.

“Sir David Nicholson wrote to NHS organisations last year to remind them of their responsibilities in this area and Jeremy Hunt has since written to the NHS to be clear that they must not just comply with the letter of the legislation and guidance, but also the spirit of it.

“The Department's role in this process is to ensure that public money is being used appropriately. The number of approved special severance payments in NHS trusts is coming down. In 2011/12, there were just 20 approved cases in NHS trusts, up to a maximum total value of £540,000. In 2012/13, so far, there have been just seven approved cases, up to a maximum total value of £66,000.”

Cathy James, chief executive of Public Concern at Work, said: “[Business and equalities minister] Jo Swinson has said she is going to call for evidence to the Public Interest Disclosure Act. She could start looking in the DH and looking at these issues and looking at these agreements.

“How many have there been? How much public money has been spent? And what do these agreements say? Do they say you can never speak about this again? Because if that is the case, that is wrong.”

(Image of DH offices at Richmond House courtesy Steph Gray, used here under a Creative Commons licence, some rights reserved.)

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