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LABOUR Makes Staff Redundant As Cash-Strapped Party Left With Just One Month’s Payroll Funds Left

Jay Beecher by Jay Beecher
July 20, 2021
in Labour
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WHERE’S the money gone? This is the question many Labour members will undoubtedly be asking, as the Labour Party announce plans to sack staff and make financial savings to avoid going into the red.

Labour general secretary David Evans told staff in a meeting this morning that the poor financial situation of the party means its reserves are now down to just one month’s payroll.

Much of the financial damage has been dealt through the loss of members and the using of funds to deal with antisemitism cases.

Sir Kier Starmer's speech will use NHS as inspiration | The Northern Echo
The dramatic reduction in income is mainly due to dwindling membership and donors

Voluntary severance is being offered to up to 90 permanent staff so far, with 3 weeks pay offered for every year served.

One source told the website LabourList that it was “all kicking off” in a staff WhatsApp group that followed the meeting, with staffers furious that there was “no Q&A” at the end of the meeting and “no mention of staff welfare”.

The removal of support from several key trade unions is said to have also largely contributed to the party’s financial crisis, with Unite the Union deciding last year to cut funding to Labour by 10% before becoming mired in its own scandal regarding accusations of fraud.

Unite - latest news, breaking stories and comment - The Independent
Unite the Union’s Len McCluskey is under investigation after squandering millions of union funds, and for his connection to convicted Labour mayor Joe Anderson

Meanwhile, Sir Keir is planning to expel over 1,000 far-left members – a move that may help win back some centrist voters, but inevitably lead to a further dent in income.

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Tags: Keir StarmerLabourLabour fundsLabour staff
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