The bonus scheme for the 2009-10 performance year and the previous five years was agreed between Remploy and the previous Administration. This Government believe all Departments, including non-departmental public bodies, need to show restraint in the current economic climate and that bonus payments need to better reflect the financial situation, the Government and the NDPB concerned. The Department, therefore, requested that Remploy apply the Government's bonus cap. A recent employment tribunal found that the previous administration's remuneration settlement in respect of commission payments had to be paid for contractual reasons.
All public sector bodies are reminded of the need for financial restraint and we have made clear that Remploy executives and managers should reflect this consideration in their pay and bonuses. I have instructed Remploy to ensure pay restraint is applied from here on.
|November 2010||Capped payments||1,390,000|
|January 2011||Balance of payments||315,000|
|Note: Figures have been rounded to the nearest thousand. Source: Remploy.|