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Spending Review gaffe reveals 490,000 public sector job cuts

The coalition expects 490,000 public sector job cuts by 2014-15 as a result of the spending cuts, Treasury Chief Secretary Danny Alexander has accidentally disclosed.

Alexander was photographed with two pages of report, set to be unveiled tomorrow, as he left the Treasury building.

It also calls for employers to strike deals to cut hours in order to lower the levels of redundancies, which has been forecast by the Office of Budget Responsibility.

The document also claims the overall public sector pay has been generous, with pay packages four times as high as for those in the private sector. It says the two-year freeze put in place for all but the lowest paid – will reduce the job losses.

It says the Government plans to mitigate the impact of redundancies by creating improved conditions for private sector growth. The Government hopes that the private sector will take the slack in the labour market caused by public sector job losses.


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There are 3 comments at the moment, we would love to hear your opinion too.

  1. The Government’s argument about the public sector pay packages being “four times as high” as the private sector’s is creative accounting at its finest. It fails to take into account the massive number of middle managers who have been tempted into the public sector over the past ten years with private sector pay levels. (The same private sector managers who cut corners leading to sensitive data on unencrypted CDs being lost by private sector couriers, or the million unanswered letters in the HMRC.)

    Their generous pay has to come out of someone’s pocket – and it’s been paid for already by low and middle-ranking public servants, for when you have a pay budget and someone takes an inflated salary, everyone else suffers.

    The repetition of the lie about public sector pay paints all public servants with the same brush. Those of us already facing bankruptcy because of thrity years of pay restraint, because “the time isn’t right for a generous pay increase” or “we must not jeopardise the recovery” are reaching breaking point with the attack of this Government. At least in thye private sector, when times are good, pay recovers. Not so in the public sector – at least, not for the rank-and-file. So no-one should be surprised when we fight back. We have nothing left to lose.

  2. To Robert Day – get real. Do you think that the great British Public not at sneior level have fared any better in their pay deals – if so then dream on.

    At least you haven’t had your pensions totally destroyed.

    Sorry, but no sympathy from me

  3. The value of Britain’s public services to the wider community is unarguable. The problem is that rather a lot of people working in the public sector aren’t actually of much value to anybody and may well find it very difficult to find alternative employment in the private sector. Quite a few of them simply couldn’t hack it in the real world of commerce and the unions probably know it very well.

    The idea that the private sector will soak up this many people shed from the public sector is simply ridiculous.

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