The BMA has supported calls for better oversight of the use of compromise agreements and severance payments for NHS doctors. The Commons PAC (public accounts committee) recently released a report criticising the use of these agreements to terminate employment contracts, especially where confidentiality clauses might prevent doctors or other staff raising patient safety concerns.
The committee urged the cabinet office to issue guidelines on the appropriate use of compromise agreements and severance payments and the governance arrangements that should be in place.
BMA council chair Mark Porter said he agreed with the committee’s view, but emphasised there was still a need for properly used compromise agreements, as long as they were not abused.
He said: “There must be proper public scrutiny of these things and Government departments must be assured that hospitals up and down the country are not doing anything wrong.”
Dr Porter said sometimes there was no sensible alternative to a compromise agreement – with or without a confidentiality clause – when relations between employee and employers had broken down. He added that the problems occurred when a confidentiality clause was used to gag an employee from speaking out about safety concerns.
“Not only is that morally dubious, it is professionally dubious, wrong and contrary to the law,” Dr Porter said. “However, we feel there are a number of members who benefit from properly written confidentiality clauses allowing people to terminate a difficult working relationship with dignity and appropriate compensation.”
Dr Porter added doctors should remember that gagging clauses were not enforceable in law under the 1988 Public Interest Disclosure Act, which offers legal protection to anyone who wants to raise a legitimate concern.