IN recent years, as funding from central government to local authorities has been slashed as a result of the economic downturn, councils have got rid of staff.

They have been able to make efficiency savings by working together with neighbouring local authorities to provide key services, and outsourcing some roles to private contractors.

Some redundancy packages feature compromise and settlement agreements which, according to the latest figures, are proving costly to the taxpayer.

While the agreements bar former employees from taking action for future claims, they are resulting in payouts totalling hundreds of thousands of pounds a year.

What is controversial is not that the payouts are being made – staff who have worked for many years in the public sector surely deserve reasonable redundancy packages.

The cause of contention is the way in which the deals are being struck, so that staff are effectively being paid to keep silent about the details of the settlements.

Oxfordshire County Council is the only local authority to reveal what has prompted payments to individuals, but other local councils have decided not to reveal the information, claiming it would negate agreements made with former employees.

It seems wrong that there should not be more transparency when such large sums of taxpayers’ money are involved and new legislation may be required to outlaw the practice of deals which ‘buy’ staff silence.

In these tough economic times, councils have to justify every penny being spent.

If these severance packages were less generous, more money could be made available for council services.