Chapter 1 - Age retirement
THIS POLICY IS CURRENTLY UNDER REVIEW IN LIGHT OF THE EMPLOYMENT EQUALITY (AGE) REGULATIONS 2006. PLEASE CONTACT THE HR POLICY AND STRATEGIC RESOURCING TEAM FOR FURTHER GUIDANCE.
Appendices
- Model minute: Confirmation by Personnel of notification of continued employment beyond age 60 |
- Model minute: Approval of re-employment following retirement |
- This chapter sets out the retirement rules which apply to all permanent staff in the Crown Prosecution Service.
- The Crown Prosecution Service recognises that working patterns have changed. Staff now rarely work for the same employer throughout their working lives and may wish to work beyond the normal retirement age of 60 up to age 65.
- The contractual normal retirement age remains at 60, though staff who joined the CPS from local authorities in 1986 retain the contractual right to remain in service until age 65 under the Crown Prosecution Service (Transfer of Staff) Regulations 1985.
- There is a common retirement age of 60 for all SCS staff other than former local authority staff as above.
- Staff at Level E and below may give notice of their intention to remain beyond age 60. As for all staff, they must demonstrate that they meet, and continue to meet, the normal requirements of their level in terms of performance, attendance and conduct.
- It is not necessary for staff to reapply every year between age 60 and 65 to be retained. They will remain on the normal appraisal reporting cycle.
- The aims of the policy are:
- To assist and support employees in planning for their retirement by introducing a flexible retirement policy.
- To provide useful guidance for managers when dealing with requests from staff who wish to remain at work after age 60.
- To ensure consistent handling of applications to stay on beyond the normal retirement age across Areas, Service Centres and HQ Directorates.
- To retain experienced staff who can continue to provide effective service.
- No change in the law has yet been enacted. However, the Government published a Green Paper on 17 December 2002 in which it is proposed that the public service pension age is raised from 60 to 65. While this will not affect new staff joining the CPS until 2005 at the earliest, and existing staff after that, every Department is being asked to reconsider its retirement policy. In many departments staff already have the option, subject to fitness and efficiency, to work on to age 65.
- The Green Paper takes account of the requirement to implement, by December 2006 at the latest, the age discrimination provisions of the EU Employment Directive.
- Former local authority staff are assumed to wish to remain in employment up to age 65 unless they inform the HR Pay and Allowances Team otherwise.
- For all other staff, those who wish to remain in employment beyond age 60 should notify in writing their ABM/HR Services for HQ staff, via line management at least 6 months before their 60th birthday. In practice Service Centre personnel will contact the ABM to notify them of staff who are about to reach 59 years and 6 months.
- The pensions administrator, Paymaster, will be notified of all staff who have not stated their intention to remain in employment at least 3 months before they reach their 60th birthday to ensure that their pension is paid promptly.
- For those staff who have indicated that they wish to remain in employment beyond age 60, the ABM should notify the Service Centre/HR Services for HQ staff, who will confirm the position to the employee, via line management, (Appendix 1) informing them:
- that they can apply to retire at any time before their 65th birthday, by giving notice in writing, via line management to their ABM/HR Services, three months in advance of that birthday;
- that they can apply to work part-time.
- When the employee indicates that they wish to retire, the ABM/HR Services will notify their Service Centre/HR Services (Pay and Allowances) so that Paymaster can commence the retirement process.
- Staff remaining in employment after age 60 will continue on the normal PAR annual cycle.
- The earliest age at which a member of staff may receive benefit under the Principal Civil Service Classic Pension Scheme is 60, except where the person retires early under an agreed scheme (see Early Retirement and Severance chapter in this volume).
- Further details of the pension schemes and how they apply can be obtained from Paymaster (1836) Ltd, 5th Floor, Network House, Basing View, Basingstoke RG21 4HG, tel: 01256 365823, fax: 01256 325732, e-mail: cps@paymaster.co.uk.
- Normally the last day of employment of a member of staff retiring at the minimum retiring age of 60 is the day before their 60th birthday.
- The Crown Prosecution Service is responsible for referring any decisions concerning staff on loan to the Department who are approaching the minimum retirement age to their parent department. If they are re-employed after formal retirement their connection with their parent department stops. The preparation of the superannuation award and any subsequent revision of superannuation benefits which may become due, remain the responsibility of the parent department.
- If consent is given by the Department's approved occupational health adviser, medical retirement may take place. In the case of employees who have not yet formally retired some superannuation benefits may be enhanced. Employees who have formally retired and been re-employed are not eligible for an ill-health award.
- Medical retirement may be considered by the occupational health adviser in the following cases:
- efficiency has fallen below an acceptable standard and poor health may be a contributory factor; or
- excessive sick absence makes a member of staff inefficient.
- However, medical retirement will usually only be granted where permanent incapacity has been confirmed by the occupational health adviser.
- Most staff will retire either before or when they reach age 65. A member of staff will only be kept on beyond this age in exceptional circumstances when the needs of the Crown Prosecution Service override the normal retirement rules, for example when a replacement cannot be found immediately or when a post is to be dispensed with in the near future.
- This policy ensures that a member of staff is only kept on in the Civil Service after age 65 if there is a pressing need, and in such cases their employment will end as soon as possible.
- If an employee reaches 60 years of age and retires it will not normally be appropriate for them to be re-employed in the same, or at an equivalent level. An employee who is retiring may, however, apply to be re-employed at a lower level and abatement will apply to part of their pension payment (paragraph 27 refers). In considering an application for re-employment the ABM/HR Services for HQ staff will take into account the following factors:
- has the individual a satisfactory performance, conduct and attendance record?
- are they likely to be efficient in the lower level? and
- is there an operational need for their re-employment?
- If an application is approved the employee should be informed, via line management, using the minute at Appendix 2.
- An employee who has opted to remain in the Classic pension scheme is able to accumulate 40 years service at age 60. If they are re-employed after this age they can accrue up to a further 5 years' pensionable service subject to a limit of 45 years in total. Any service after this limit would reckon towards an additional service payment and not a pension. For the Classic Plus and Premium pension schemes the total service allowed is 40 years, including any re-employed service. Pay & Allowances Unit in HR Services must be informed when anyone in receipt of a Civil Service pension (hereafter termed a 'pensioner') is re-employed, so that abatement action can be taken, if necessary.
- Abatement is the reduction or suspension of a civil service pension when a pensioner is re-employed in the Civil Service. The principle is that a civil servant must not receive more by way of civil service pay and pension on re-employment than their actual rate of salary on the last day of their earlier service.
- Abatement applies to civil servants who:
- left the service with an award of pension under the Principal Civil Service Pension Scheme (PCSPS) or the Superannuation Acts; and
- are re-employed in the Civil Service.
- Abatement also applies to re-employed pensioners who retired at or after the normal retirement age of 60 or before 60 with:
- preserved awards which have subsequently been put into payment;
- ill-health pensions;
- actuarially reduced pensions; or
- pensions or annual compensation payments on early retirement.
- Abatement of pension does not apply to:
- staff whose pensions were awarded under any scheme other than the PCSPS (or Superannuation Acts);
- civil service pensioners who are re-employed in posts outside the Civil Service;
- civil service pensioners engaged by the Civil Service Commissioners as interviewers;
- civil service pensioners who, after a break in service, are re-employed on a casual basis for less than 15 days in any period of 91 consecutive days.
- It is in the public interest that people with experience of public administration should be able to move into business or other bodies, and that such movement should not be frustrated by unjustified public concern over a particular appointment. It is equally important that when a former Crown servant takes up an outside appointment there should be no cause for any suspicion of impropriety.
- The Business Appointment Rules provide for the scrutiny of appointments which former Crown servants propose to take up in the first two years after they leave the service. To provide an independent element in the process of scrutiny, the Advisory Committee on Business Appointments is appointed by the Prime Minister, comprising people with experience of the relationships between the Civil Service and the private sector. The Committee gives advice on applications at the most senior levels, and reviews a wider sample to ensure consistency and effectiveness.
- The aim of the rules is to maintain public trust in the Crown Services and in the people who work in them, and in particular:
- to avoid any suspicion that the advice and decisions of a serving employee might be influenced by the hope or expectation of future employment with a particular firm or organisation; or
- to avoid the risk that a particular firm might gain an improper advantage over its competitors by employing someone who, in the course of their official duties, has had access to technical or other information which those competitors might legitimately regard as their own trade secrets or to information relating to proposed developments in Government policy which may affect that firm or its competitors.
- Most applications submitted under the rules are approved without condition. In some cases approval may be given subject to a waiting period or other conditions. Full details of the regulations are covered in Appendix 2 to Chapter 4 of this volume.
- Staff within one year of retirement are encouraged to attend a pre-retirement course. Further information about the following organisations can be obtained from Counselling and Support Services.
- Staff about to retire and their dependants may join the fellowship. Its aims are to:
- promote a wide variety of social and cultural activities; and
- organise a welfare and home visiting service. This is to ensure that people who are ill, housebound, or living alone are visited and given companionship, advice and any information they may need.
- The aim of the Alliance is to represent the interests of all public servants. It keeps a close watch on benefits and pensions and makes representations to Government Departments with the aim of increasing benefits and pensions.
- Alliance groups meet regularly to discuss pensions and other related subjects.
- The Association was formed by the Civil Service Benevolent Fund and the Civil Service Retirement Fellowship. Its aim is to help meet the accommodation needs of present and former members of staff and their dependants, particularly for sheltered housing or other specialised housing. Further information is available from the Secretary:
Introduction
Principles
Relevant legislation
Procedures
Action before age 60
Calculating pensionable service
Effective date of retirement
Staff on loan from other government departments
Retirement on medical grounds after 60
Retention beyond age 65
Re-employment at a lower level after retirement
Abatement of pension
Abatement applies whether or not the civil servant is a member of the PCSPS on re-employment.
Business appointments after retirement/resignation
Retirement courses and organisations
Civil Service Retirement Fellowship
Monthly subscriptions can be deducted from salary/pension.
Civil Service Pensioners Alliance
Crown Housing Association
Crown Housing Association Ltd
8 Cheam Court
Station Way
Cheam
Sutton
Surrey SM3 8SP
