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<p>The government has previously consulted and legislated on the policy for a cap
of £95,000 on exit payments in the public sector. The consultation published on 10
April 2019 seeks views on the draft regulations to implement this policy.</p><p>An
equalities impact assessment was conducted and published in the 2016 consultation
ahead of the primary legislation. Following the current consultation, a further equalities
assessment will be conducted on the final version of the legislation.</p><p>The government
is aware of concerns about the impact of the cap on long serving workers and workers
that cannot be categorised as amongst the best paid. The government was clear during
the passage of the primary legislation that the cap will have no impact on the large
majority of public sector workers. The proposed cap, amounting to six times the maximum
statutory redundancy entitlement, will still offer a significant level of compensation
and support to employees who must support their families, find new employment or as
a bridge until retirement age. We accept that there will be some circumstances where
it is necessary or desirable to relax the cap. The waiver is in place for use in exceptional
situations, including where imposing the cap would cause genuine hardship.</p>
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