25/04/2008

£15m 'Golden Handshakes' Defended By Health Minister

Over £15 million of health service money has been spent on senior health service managers, it has been revealed.

The so-called 'golden handshakes' have been handed out to more than 100 NHS bosses in Northern Ireland who took voluntary redundancy or voluntary early retirement when the 18 trusts merged last year.

The voluntary redundancies and early retirement led the way for the streamlining of the system under the Review of Public Administration (RPA).

Mr McGimpsey defended the payouts, saying they would keep money free for frontline services.

He said: "What we're looking to do is reduce the burden - to release money for frontline and this is one of a number of exercises that I have undertaken."

However, SDLP assembly member Alistair McDonnell criticised the payouts, he referred to as "golden handshakes".

"For me it reflects poor personnel management, poor human resource management and a need for us to look forward when we're employing people and if necessary employ people on short to medium term contracts," he said.

"I think that we should now in the public services be employing people on five to seven year contracts rather than contracts for life."

Each of the 127 managers who retired or were made redundant were given an average pay-out of just under £120,000.

(JM/KMcA)

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