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Questions

Asked by Lord Oakeshott of Seagrove Bay

The Parliamentary Under-Secretary of State, Department for Communities and Local Government & Department for Work and Pensions (Lord McKenzie of Luton): There are two pay-related reward schemes operating in the Department for Work and Pensions and its agencies for which all employees are potentially eligible. They comprise end-of-year non-consolidated performance payments and in-year special awards. These are an integral element of the reward package for staff. They help drive high performance in DWP by providing a tangible reward for good performance. The payments must be re-earned each year and, as they are non-consolidated, do not add to future pay bill costs.

End of Year non-consolidated performance payments

DWP employees below the Senior Civil Service are eligible for an annual non-consolidated performance payment if they attain a "Top", "Higher" or "Majority" rating under the department's annual performance and development system. The actual payment awarded is determined by the employee's pay band and the performance level achieved.

For the Senior Civil Service, end-of-year non-consolidated performance payments are determined by the relevant departmental pay committee in line with the recommendations of the independent Senior Salaries Review Body. The total payments made in respect of each of the last three financial years were as follows:



5 Jan 2010 : Column WA37

Financial YearTotal number of recipientsTotal Paid (£m)Average payment

2006-07

116,096

40.68

350.40

2007-08

111,943

36.61

327.04

2008-09

107,726

23.32

216.48

The following tables show these figures broken down by between staff in the Senior Civil Service and those below.

Total below SCS

Financial YearTotal number of recipientsTotal Paid (£m)Average payment (£)

2006-07

115,896

39.01

336.59

2007-08

111,741

34.88

312.15

2008-09

107,518

21.50

199.97

Total SCS

Financial YearTotal number of recipientsTotal Paid (£m)Average payment (£)

2006-07

200

1.67

8,350

2007-08

202

1.73

8,564

2008-09

208

1.82

8,750

Special Awards

Individuals may be awarded a special award either as cash or retail vouchers. These are one-off recognition awards, payable at any time during the performance year, to recognise exceptional achievements beyond what would normally be expected.

Information on special awards paid prior to 2007-08 is not available. The total number of awards made in each of the last two years were as follows (a small number of individuals may have received more than one cash or voucher payment during the year in question).

Cash Payments

Financial YearTotal number of awardsTotal Paid (£m)Average payment (£)

2007-08

11,250

2.70

240

2008-09

14,612

3.04

208

Voucher Payments



5 Jan 2010 : Column WA38

Financial YearTotal number of vouchers issuedTotal Cost (£m)Value

2006-07

14,392

0.9

Between £25 and £50

2007-08

31,237

1.77

Between £25 and £50

2008-09

47,121

2.02

Between £25 and £50

Any further breakdowns by grade, beyond those given above, could only be provided at disproportionate cost.

Asked by Lord Oakeshott of Seagrove Bay

The Financial Services Secretary to the Treasury (Lord Myners): HM Revenue and Customs-HMRC-operates two bonus arrangements for delegated grades; a performance bonus tied to the annual performance mark, and a recognition bonus scheme which recognises exceptional in-year performance.

We have provided data for bonuses paid out in 2007-08 and 2008-09. HMRC does not hold the required data for earlier years in an easily accessible format and the information requested could be provided only at disproportionate cost.

Performance Bonuses-In 2007-08 bonus payments were made to top and good performers in respect of performance in 2006-07 on the pay band range maximum, as they had received a lower consolidated pay award. The rate for top performers was 2.6 per cent of their salary as of 31 May 2007. Staff on the maximum of their pay scales who received a good marking received up to 1.27 per cent of their salary as a non-consolidated payment.

In 2008-09 bonuses were only paid to top performers in respect of performance in 2007-08. The rate for top performers was 2.4 per cent of their salary as of 31 May 2008.

Data on 2009-10 bonuses for performance in 2008-09 are not yet available for HMRC. Bonuses are only payable to top performers. The rate for top performers in 2009-10 is 2.6 per cent.



5 Jan 2010 : Column WA39



5 Jan 2010 : Column WA40

2007-082008-09
Number Eligible for Bonus (1)Number AwardedAverage Bonus (£)Maximum Bonus (£) (2)Number Eligible for Bonus (1)Number AwardedAverage Bonus (£)Maximum Bonus (£) (2)

Admin Assistant

13606

8456

168

563

12145

1362

343

460

Assistant Officer

38081

21301

211

674

35361

4173

416

551

Officer

23115

14656

325

855

21621

4358

555

700

Higher Officer

10885

6893

437

1,046

10383

2607

701

856

Senior Officer

3911

2754

582

1,208

3896

1257

872

989

Band T

627

156

496

1,221

621

66

695

996

Grade 7

2297

914

908

1,724

2379

654

1,151

1,421

Grade 6

1097

563

1,123

2,077

1141

445

1,465

1,712

Recognition Bonus' Scheme (RBS)

All staff employed within the year are eligible for recognition under the RBS. Staff may have received more than one bonus payment in a year.

2007-082008-09
GradeNumber of staff receiving RBS paymentAverage Bonus paid (£)Maximum Bonus paid (£)Number of staff receiving RBS paymentAverage Bonus paid (£)Maximum Bonus paid (£)

Admin. Assistant.

549

174

1,000

557

187

1,000

Assistant Officer

1645

173

1,000

1729

200

1,000

Officer

1178

243

1,500

1472-

262

1,750.

Higher Officer

673

328

1,000

825

348

1,750

Senior Officer

310

415

1,250

396

404

1,750

Band T

8

425

1,000

18

338

2,000

Grade 7

140

476

1,100

194

467

2,500

Grade 6

80

787

5,000

107

646

3,100

SCS

4

£938

£1,800

0

N/A

N/A


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