PCS: Department for work and pensions accused of burying bad news

Thursday, 10, May 2007 12:00

The Department for Work and Pensions (DWP) were accused of burying bad news today as it announced the closure of three debt centres in Makerfield, Lawnswood in Leeds and Edinburgh at the cost of 380 jobs on the same day as Tony Blair announced the date of his departure. The Public and Commercial Service Union (PCS) reacted angrily to the closures and warned that the recovery of millions of pounds of overpaid benefits will be significantly undermined.

Part of the DWP’s shared services, the debts centres have a target to claw back £257 million in benefits that have been overpaid due to fraudulent claims or where people have given the wrong information.

Coming at a time when the organisation is falling short of its target by

£22.3 million due to a lack of staff and unstable IT, the union warned that the lost millions would spiral out of control due to a lack of resources.

The target for clawing back overpayments for next year with 380 fewer staff and three less debts centres is £277.3 million. The remaining sites which have escaped closure are: Stornoway. Glasgow, Washington (Durham), Corby, Dearne Valley, Bradford, Manchester, Nuneaton and Porth (Wales).

Commenting, Mark Serowtka, PCS general secretary said: “It is scandalous that this announcement has been slipped out when all eyes are on the departure of Tony Blair. Staff are already struggling to hit targets in overpayments due to a lack of resources and unstable IT systems. Cutting staff and closing offices at the same time as increasing the amount to be clawed back in the name of efficiency are the economics of the madhouse. Hardworking staff who have already taken part in two national civil service strikes this year will view this announcement as contemptible spin. With a change of prime minister the government have the opportunity to recognise that decent public services need civil and public servants to deliver them.”

ENDS

Notes to editors:

* PCS, the Public and Commercial Services Union is the union

representing civil and public servants in central government. It has more than 325,000 members in over 200 departments and agencies. It also represents workers in parts of government transferred to the private sector. PCS is the UK’s sixth largest union and is affiliated to the TUC. The general secretary is Mark Serwotka and the president Janice Godrich

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