Jerry Hicks

The 'severance payment' of over £361,000 paid to former Unite Joint General Secretary Derek Simpson, has caused outrage amongst its members and is creating a growing storm within the union. But the new General Secretary Len McCluskey who claims he knew nothing about the arrangement until recently has been slow to do much about it.

Jerry Hicks, who came runner up to Mr McCluskey in last year’s election to replace both Derek Simpson and Tony Woodley for General Secretary of Britains biggest trade union Unite said, “Members up and down the country are furious at what they see as the misuse of our subscriptions in the obscene severance payment of £361.000 to the retiring Joint General Secretary Derek Simpson.”

He went on to say “I do not see how Mr Simpson, who retired at the end of an extended term of office and was not made redundant, could have been entitled to a 'severance payment'. It stinks.Ultimately the £361,000 of members money must be returned to whom it belongs, that being, the members. I aim for that to happen by what ever means.”

Mr Simpson upon his retirement is entitled to draw down a substantial tax free lump sum from his union pension and is able to live in a union owned house for the rest of his days. Jerry Hicks who has frequently expressed his concerns over the level of remuneration received by senior officials of the union and especially that of Derek Simpson, believes that this severance payment appears to have been authorised in breach of rule and may also be unlawful.

The meeting where the decision was taken, held in March 2008 which was in the last days of the Amicus section, appears somewhat irregular given the minute taker was asked to leave the room. Jerry Hicks has been advised that, if the payment was made in breach of rule, the Union may be able make a restitutionary claim against Mr Simpson. 

Jerry Hicks has made it known that, whilst it is understood that the Union is seeking legal advice on recovering this money, should there be any to attempt to 'draw a line' under this very important matter, he himself may take action under section 16 of the Trade Union and Labour Relations Act 1996.