Northern Ireland Civil Service (NICS) · Web viewInvest NI - Voluntary Exit Scheme FREQUENTLY ASKED QUESTIONS ***Please note that more detailed information concerning the terms of

Invest NI - Voluntary Exit Scheme

FREQUENTLY ASKED QUESTIONS

***Please note that more detailed information concerning the terms of the Voluntary Exit Scheme, application, selection and exit processes are set out in the Scheme Information Booklet. These documents are available on the VES Intranet page.

CONTENTS

SECTION ONE – SCHEME LAUNCH AND ELIGIBILITY 1. Why is a Scheme needed? 2. How will the Scheme be funded? 3. When will the Scheme launch and close? 4. Will the Scheme run over a number of years? 5. Who is eligible to apply for the Scheme? 6. Who cannot apply under the Scheme? 7. I work part-time, compressed hours, reduced hours or am partially retired. Can I

apply for the Scheme? 8. Does the Scheme apply to staff over retirement age? 9. I am in my probationary period. Can I apply? 10. I have less than two years’ reckonable service. Can I apply? 11. I am not a member of the Civil Service pension scheme, or any pension scheme.

Can I apply? 12. Can I apply for the Scheme if I am on sickness absence? If so, must I return to work

first? 13. Can staff on career break, or about to start a career break, apply? 14. Can Invest NI staff on secondment, paid or unpaid leave of any kinds, or on

temporary transfer/loan or detached duty apply? 15. How will staff who are on long term leave or without access to work emails be kept

informed?

SECTION TWO – BACKGROUND 16. Has Invest NI taken any other measures to reduce its paybill? 17. Would leavers generate the same savings? 18. How many staff will be released under the Scheme? 19. Has Trade Union Side been consulted?

1

Invest NI Voluntary Exit Scheme FAQsMay 2016

http://ininet/my-invest-ni/human-resources/ves.html

http://ininet/my-invest-ni/human-resources/ves.html

SECTION THREE – SCHEME PROCESSES, LAUNCH, APPLICATION, SELECTION AND NOTIFICATION 20. How will I be notified of the terms of the Scheme? 21. I do not have access to a work email address. How will I apply for the Scheme? 22. What happens if I do not have access to a work or personal email address? 23. I think I am eligible to apply but didn’t receive an email. What should I do? 24. How can I apply to leave under the Scheme? 25. How will I know how much compensation I would be entitled to? 26. Will I receive a quote of how much my compensation payment would be? 27. What date are quotes based on? 28. How will applicants be selected to leave? 29. If I am chosen, when will I leave? 30. When will I know if I have been selected to leave? 31. What will happen to applicants who are not selected? 32. I have received the notification ‘not selected’. Does this mean I will not be offered

early exit under the Scheme? 33. If I am selected to leave with an exit date, what should I do? 34. If I accept the offer, am I then committed to leave? 35. How and when will I receive my quote from Civil Service Pensions? 36. What information will be provided in my quote issued by Civil Service Pensions, if I

am selected to leave? 37. I am due to be out of the office when the notifications are being issued. What should I

do? 38. I will be away from home when the quotes are due to arrive and/or during the ten day

acceptance period. What should I do? 39. I have received my quote from Civil Service Pensions and it was different from what I

was expecting. What should I do? 40. What date will my actual compensation payment be based on? 41. Can my compensation amount change from the amount in my quote and the actual amount I receive? 42. If I am selected to leave under the Scheme, when will I receive my compensation

payment? 43. If my pay increases in August 2016, how will this affect my compensation payment?44. If I leave Invest NI before any pay award for 2016 has been implemented and I am

due an increase in salary, will I be paid arrears of compensation?45. Will everyone who is selected leave at the same time? 46. How much notice will I be given if I am selected to leave under the Scheme? 47. Is there any flexibility with the specified last day of service? 48. Can I change my mind once I apply? 49. What is my leave entitlement if I am selected to exit under the Scheme? 50. What action do I need to take in respect of annual leave, either as an applicant or as

the line manager of an applicant? 51. If I am selected to leave under the Scheme while on Maternity Leave, what will the

impact be on any maternity pay I have received? 52. I plan to notify Invest NI of my intention to retire. What impact will this have on my

selection and/or exit? 53. I am due to leave under the Scheme and am currently making repayments such as

an overpayment recovery through payroll. How will these repayments be managed? 54. I am part of the Taxsmart Scheme. What action should I take before I leave under

the Scheme? 2


55. I am part of the Cycle to Work Scheme. What action should I take before I leave under the Scheme?

SECTION FOUR – COMPENSATION AND PENSIONS-RELATED 56. What figure is used to calculate the compensation payment?57. Will the deemed minimum apply for calculating compensation payments for staff

earning less than that amount? 58. Will the deemed maximum salary level be used? 59. How are compensation payments for part-time staff calculated?60. How does partial retirement affect compensation payments?61. I am currently on temporary promotion. Will my higher salary be taken into account? 62. Why is compensation limited to 6 months’ pay for staff over normal scheme pension

age? 63. Will there be any restriction on payments to staff close to the normal scheme pension

age? 64. Does the period for which compensation is paid count towards the period for which

Civil Service pensions is calculated? 65. I previously worked for an employer that was covered by the Principal Civil Service

Pension Scheme (NI). Through a machinery of government movement, my employment was bulk transferred into the Principal Civil Service Pension Scheme (NI). What compensation am I entitled to?

66. Does the 5% actuarial reduction for each year you are under your scheme pension age apply when you leave under voluntary exit?

67. Can I also take my pension benefits at the same time if I am selected to leave? 68. Will my employer top up any shortfall for buying out the pension reduction? 69. Will my compensation payment be taxed? 70. Can I use my compensation payment to buy years of service? 71. Can I use my Compensation payment to buy out the Actuarial Reduction on my

pension? 72. Will my pension lump sum be affected by any lump sum I get through the Scheme?73. What will happen to my pension when I leave under the Scheme? 74. I am not a member of the Civil Service Pension Scheme. What does this mean in

terms of what I am entitled to? 75. If I am moving to the new Alpha scheme will this affect the amount of compensation

payable? 76. How will the Scheme affect my pension regarding the new Alpha pension scheme? 77. What are the terms of the new Civil Service Compensation Scheme (Northern

Ireland)?

SECTION FIVE – GENERAL 78. How will the potential impact on service delivery of staff leaving in such a short

period be managed? 79. If my post was to be absorbed, I may be interested in the Scheme. Will I know this

information before I decide to apply? 80. Will a compensation payment affect my Student Loan repayments? 81. Will a compensation payment affect the social security or tax-related benefits I am

currently receiving or that I would be entitled to if I leave under the Scheme? 82. Where can I get additional financial information? 83. Will I have to repay my compensation payment if I join an employer covered by the

Northern Ireland Civil Service Compensation Scheme? 3


84. I currently work for two employers covered by the Civil Service Compensation Scheme (NI); can I apply for Voluntary Exit from one?

SECTION SIX – AFTER SELECTION IS COMPLETED 85. Can I appeal against not being selected?86. What information relating to the Scheme, for example the number of applicants by

grade or relating to those selected, will you release and when? 87. How can I obtain my ‘value for money’ score? 88. I was not selected for the Scheme, which has now closed. I still want to leave, what

options do I have and how will these impact on my pension? 89. I was not selected for the Scheme, but I would like to change my work-life balance.

What options do I have? 90. I was not selected and the scheme has now closed. What other options are available

to me now and what impact might alternative working patterns have on my pension? 91. Will there be another Scheme in 2017/18?

4


SECTION ONE - SCHEME LAUNCH AND ELIGIBILITY

1. Why is a Scheme needed?

The Northern Ireland Executive has asked the Department of Finance and Personnel to bring forward a range of proposals for strategic personnel interventions to effect a paybill reduction, including a Voluntary Exit Scheme (‘the Scheme’). The Scheme is necessary to primarily address the ongoing significant budgetary pressures facing Invest NI.

This Scheme is only one of a range of measures being implemented to deliver the required paybill reduction across government bodies, and Invest NI will play its part in contributing to those reductions in the overall public sector. Our decision to introduce a Voluntary Exit Scheme mirrors programmes run at our parent and sister departments and agencies.

2. How will the Scheme be funded?

The Scheme will be funded through the facility provided by the Stormont House Agreement, which gave the Northern Ireland Executive access of up to £700m over four years to fund early exit schemes across the public sector in Northern Ireland. £200m is available in each of the first three years and £100m in the fourth year. Invest NI has bid for resources from year two - the 2016/2017 financial year.

3. When will the Scheme launch and close?

The Scheme will be launched on 6th June 2016 and will be closed for applications on 24th June 2016 at 10.00am.

4. Will the Invest NI Scheme run over a number of years?

The Invest NI Scheme will operate in the 2016/2017 financial year, and it is anticipated that staff selected to leave under the Scheme will have left before 31 st March 2017 at the latest, provided sufficient funds are available to pay compensation costs. There are currently no plans for further schemes in subsequent years.

5. Who is eligible to apply for the Invest NI Scheme?

All permanent Invest NI employees Grade 3 and below will be eligible to apply.

Exceptions are set out in Q 6. Eligibility criteria are set out below.

i. Staff who, at 6th June 2016, are permanent Invest NI employees, whether full-time or part-time and regardless of length of service, except for staff who by the 6th June 2016 have been informed by Invest NI that, for business reasons, they cannot be released under the terms of the Scheme;

5


ii. Industrial staff and non-industrial staff.

iii. Members and non-members of the Civil Service Pension Schemes.

iv. Invest NI staff on secondment, on temporary transfer/on loan or detached duty are eligible to apply.

v. Invest NI staff that are on career break, sick absence, maternity leave, unpaid or paid special leave or annual leave, will be eligible to apply.

vi. Those staff who, by 6th June 2016, have agreed a career break date to commence within the 2016/2017 financial year, are eligible to apply.

vii. Staff who have been, as at 6th June 2016, notified of a dismissal date for disciplinary reasons or procedures under the Management of Attendance Policy or notified that Invest NI has accepted an OHS recommendation to retire them on ill health grounds, and any appeal process has been completed, will be ineligible to apply for the Scheme. However, where an individual intends to avail of any entitlement to appeal, they may apply, but a decision on their selection under the scheme will not be taken until the appeal process is completed.

viii. Staff who have been formally notified that a disciplinary investigation or procedures under the Management of Attendance Policy have commenced, or who become subject to such action which could potentially lead to dismissal before the Scheme Selection Panel/s meet /s to select those to leave under the Scheme, or who are being considered for ill health retirement, are eligible to apply. However, a decision on selection under the Scheme will not be taken until the relevant procedures have been concluded, including all appeal stages. If necessary, the selection panel/s will reconvene to consider such cases, provided that a requirement to release staff remains and funding is still available.

ix. Staff who are formally notified that they have become subject to a disciplinary investigation or procedures under the Management of Attendance Policy (which could potentially lead to dismissal) between the date of selection for release under the Scheme and their leaving date, will have their application put on hold until the investigation or procedures have been concluded, including all appeal stages. If necessary, the Scheme Selection Panel/s will reconvene at an appropriate time to consider such releases under the Scheme.

6. Who cannot apply under the Scheme?

Ineligible groups include:

i. Casual and fixed term staff, locally-engaged staff, and those seconded in to Invest NI.

6


ii. Staff who already have, by 6th June 2016, an agreed exit date due to resignation or ill-health retirement, voluntary exit under another Exit Scheme after 6 th June 2016, or who have been given a dismissal date following a disciplinary investigation or procedures under the Management of Attendance Policy, and any appeals process is complete.

iii. Staff who have notified Invest NI by 6th June 2016 of their intention to retire.

7. I work part-time, compressed hours, reduced hours or am partially retired. Can I apply for the Scheme?

Yes, you can apply for the Scheme in the normal way.

8. Does the Scheme apply to staff over retirement age?

Yes. The Scheme applies to staff regardless of age. However, compensation for those over their normal scheme pension age will be limited to a maximum of six months’ pay.

9. I am in my probationary period. Can I apply?

Yes. You are eligible to apply.

10. I have less than two years’ reckonable service. Can I apply?

Yes. The Scheme is open to eligible permanent Invest NI staff at Grade 3 and below regardless of length of service.

11. I am not a member of the Civil Service pension scheme or any pension scheme. Am I eligible to apply?

Yes. You should consult the Invest NI Voluntary Exit Scheme Information Booklet for further information.

12. Can I apply for the Scheme if I am on sickness absence? If so, must I return to work first?

Staff on sickness absence can apply without first having to return to work. However, Voluntary Exit arrangements do not apply if you have, at the Scheme launch date, been granted retirement on medical grounds, or if you have been given a date for dismissal due to procedures under the Management of Attendance Policy. See also Answer 5 bullets vii to ix.

7


13. Can staff on career break or about to start a career break apply?

Yes, staff on career break, or those staff who by 6th June 2016 have agreed a career break date due to commence within the 2016/2017 financial year, are eligible to apply.

14. Can Invest NI staff on secondment, paid or unpaid leave of any kind, or on temporary transfer/loan or detached duty apply?

Yes, these groups of staff are eligible to apply.

15. How will staff who are on long term leave of any sort or without access to work emails be kept informed?

An online application system will be used to administer the Scheme. Staff will be asked to provide alternative contact email addresses to access the application system online. HR will provide information to staff who do not have internet access or who chose not to provide an email address.

8


SECTION TWO - BACKGROUND

16. Has Invest NI taken any other measures to reduce its paybill?

Invest NI has undertaken a range of actions before launching a voluntary exit scheme. These have included the suppression of vacancies, the suspension of all volume recruitment and substantive promotion competitions. However, these interventions alone will not generate the paybill savings required.

17. Would leavers generate the same savings?

Despite staff leaving the organisation, and even alongside the other strategic personnel interventions in place, this would not be enough to generate the paybill savings required by Invest NI in the 2016/2017 period.

18. How many staff will be released under the Scheme?

Invest NI expects to release around fifteen posts under this Scheme in the 2016/17 financial year. This may equate to a higher number of staff leaving, taking into account part time working. However the numbers released under the scheme will be constrained by the number of applicants, the budget available to fund compensation payments and the need to manage the exercise in such a way that will maintain essential business continuity of our operations.

19. Has Trade Union Side been consulted?

Yes. Central Trade Union Side has been consulted on the terms of the Scheme.

9


SECTION THREE - SCHEME PROCESSES, LAUNCH, APPLICATION, SELECTION AND NOTIFICATION

20. How will I be notified of the terms of the Scheme?

All relevant information relating to the Scheme, including the Scheme Information Booklet, these FAQs, links to the online calculator and further information provided by Civil Service Pensions are available on the designated section of Invest NI’s intranet.

On the launch date of the scheme (6th June 2016) all eligible staff will receive an email which will give them access to formally apply to the Scheme.

21. I do not have access to a work email address. How will I apply for the Scheme?

Where staff do not have a work email address or will be unable to access it, because, for example they are on long term absence from work, alternative email addresses will be sought by HR in advance of the Scheme launch date. As the Scheme is managed online, wherever possible it would be in your interests to provide HR with an alternative email address if you have not already done so.

22. What happens if I do not have access to a work or personal email address?

In these cases, HR will contact you to provide all the necessary information. You will be expected to find a way to access the online calculators yourself, and the online system will be used to administer the Scheme at all stages.

23. I think I am eligible to apply but didn’t receive an email. What should I do?

If you do not receive an email on 6th June 2016 and you think you satisfy the eligibility criteria set out in these FAQs and you do not fall into one of the ineligible categories, you should contact HR immediately.

24. How can I apply to leave under the Scheme?

Applications for the Scheme will be handled online. The Invest NI Voluntary Exit Scheme Information Booklet sets out how to apply to leave under the Scheme.

25. How will I know how much compensation I would be entitled to?

Civil Service Pensions has developed a compensation calculator which is available online. This will allow full time staff to input information from their latest Annual Benefits Statement to get a quote of the amount of compensation they may be entitled to. This will provide full time staff with an estimate to allow them to make a reasonable decision, but a personalised quote will only be provided once a staff member is selected to leave. The calculator is available on Civil Service Pensions’ website: www.dfpni.gov.uk/civilservicepensions-ni10


http://www.dfpni.gov.uk/civilservicepensions-ni

Staff who have worked part-time in the last three years, are partially retired, or are non-members of Civil Service Pension Scheme, do not have all the details required to be able to use the calculator – please see Q 26.

Quotes will be issued to all staff selected to leave Invest NI under the Scheme.

26. Will I receive a quote of how much my compensation payment would be?

Due to the large number of staff eligible to apply for the Invest NI Voluntary Exit Scheme and the tight timescales to which the Scheme needs to be delivered, Civil Service Pensions will not be in a position to provide all eligible staff with a quote of compensation benefits as part of the application process. Civil Service Pensions will only issue quotes to the following groups of staff (as they will not be able to use the compensation calculator):

i. Current part-time staff or staff who were part time in the last 3 years; ii. Partial retirees; and iii. Invest NI Employees who are not members of the Civil Service Pension Scheme.

These quotes will be issued by Civil Service Pensions to those staff member’s home address on Thursday 2nd June 2016

Quotes will be issued to all staff selected to leave Invest NI under the Scheme.

27. What date are quotes based on?

Quotes issued for current part-time staff, staff who were part time in the last 3 years, partial retirees and non-scheme members will use the last day of service as at 30th

November 2016 for illustrative purposes only. Staff selected to leave Invest NI will receive a quote from Civil Service Pensions up to their expected last day of service.

28. How will applicants be selected to leave?

Invest NI will gather information relating to each individual’s compensation amount and annual paybill saving. The compensation amount will be subtracted from the paybill saving figure to provide a net cost or saving in the 12 month period, representing a ‘value for money (VFM) score’.

Applicants will be ranked in order from the highest VFM to the lowest. Selection will begin with the highest VFM scores subject to the selection panel’s consideration of impact on business continuity, until all applicants are selected. Where quotas have been agreed, limiting the release of staff from particular specialist areas, they will be applied at this stage.

Random selection will occur if applicants are tied in their VFM score and the limit on the numbers to be released has been reached, subject to sufficient funding being made available. 11


The calculations carried out to arrive at value for money scores will be based on an applicant’s position at 30th November 2016 and do not take into account the potential impact of the passage of time, for example, by projecting future compensation once tapering or other changes occur.

29. If I am chosen, when will I leave?

It is envisaged that two groups of exits will take place before 31st March 2017, with the first group of exits taking place by the end of November 2016 and the second by the end of March 2017. Allocation into groups will take into account the applicants VFM score and also the business continuity needs of the organisation.

30. When will I know if I have been selected to leave?

All applicants should receive notification during August 2016 regarding the status of their application. At that stage, you will be notified that you fall into one of two groups - selected and given an offer to leave with an exit date (likely to be before the end of March 2017), or not selected.

31. What will happen to applicants who are not selected?

Staff selected to leave, (i.e. by the end of March 2017), will receive an offer. All other applicants will receive a letter advising them that their status is “not selected” and their application will not be progressed further. Please however refer to Q32.

32. I have received the notification ‘not selected’. Does this mean I will not be offered early exit under the Scheme?

Yes. Your application will not be taken any further. However, should any of the offers made to selected staff be declined, your application may be revisited.

33. If I am selected to leave with an exit date, what should I do?

If you have been selected with an exit date you will need to decide whether to accept the offer to leave. To inform your decision, shortly after you are notified you have been selected with an exit date, you will receive by post from Civil Service Pensions, a quote of the compensation you would receive and any pension options available to you.

When you receive your quote, you will have around 10 working days to confirm whether you accept the offer to leave. After you have considered your quote, submit your response making sure to meet the deadline. If you choose to accept the offer to exit, your three month notice period will begin after this time. Your agreement or withdrawal at that point will be binding and you will be unable to change your mind afterwards.12


No action is required from applicants who are not selected. 34. If I accept the offer, am I then committed to leave?

Yes, accepting the offer of early exit under the Scheme at a specific date commits you to leave at that date.

35. How and when will I receive my quote from Civil Service Pensions?

If you have received an offer to exit, Civil Service Pensions will issue you with a written quote estimating how much compensation you would be entitled to as at your last day of service. This quote will be issued to your home address. You will receive this before the beginning of the relevant ten day acceptance period.

36. What information will be provided in my quote issued by Civil Service Pensions, if I am selected to leave?

Your quote will include the following: i. Estimate of compensation benefits payable up to your last day of service; ii. Pensionable Earnings used to calculate your pension; iii. Your total reckonable service used to calculate your pension; iv. Annual Pension available to you as at your last day of service; v. Gross and net lump sum available to you, depending on the Pension Scheme

you are or were a member of; vi. Widow(er)’s pension and post-retirement widow(er)’s pension.

If you are under pension age and you have moved to the new ALPHA Pension Scheme* from the 1 April 2015, benefits due under the ALPHA Scheme will be provided to you at a later stage.

Please note that the period of service in the ALPHA Scheme is minimal, meaning the preserved pension accrued shouldn’t be significant to prevent you from making your choice to leave if selected. Due to the ongoing pressure of work in Civil Service Pensions this work will not be scheduled until after the Voluntary Exit Scheme is finished and will be carried out over a period of time. It is likely that it will take over a year before any statement of these preserved benefits will be issued.

37. I am due to be out of the office when the notifications are being issued. What should I do?

If your application has been handled online, your notification will be issued by email to the address you used to apply for the Scheme, unless you have advised HR of an alternative email address in the interim. If you will not have access to that email account then you should make arrangements with HR to forward the notification to an alternative address.

If your application is being handled offline, HR will issue a letter to you directly to your home address. 13


38. I will be away from home when the quotes are due to arrive and/or during the ten day acceptance period. What should I do?

Civil Service Pensions will issue quotes by post. You should make your own arrangements to ensure you are aware of the contents of the quote.

39. I have received my quote from Civil Service Pensions and it was different from what I was expecting. What should I do?

Information on the Compensation Scheme rules can be found on Civil Service Pensions website: http://www.dfpni.gov.uk/civilservicepensions-ni

Further information on the Invest NI Voluntary Exit Scheme can be found in the Scheme Information Booklet.

Please take time to read the information available to you on the Invest NI Voluntary Exit Scheme and the Civil Service Pensions website. If you cannot find an answer to your query you should email your query to [email protected]

Please ensure that you include your: i. name; ii. date of birth; iii. National Insurance Number; and, iv. the reason you are querying your quote.

Please note: Civil Service Pensions will endeavour to respond to your query before the ten day acceptance deadline. However, given their volume of work this cannot be guaranteed.

40. What date will my actual compensation payment be based on?

Payments will be calculated up to your last day of service.

41. Can my compensation amount change from the amount in my quote and the actual amount I will receive?

Civil Service Pensions aim to ensure that the amount of compensation provided in your quote and the actual amount you receive are the same. However, there are times when the amount you will actually receive may differ. This can arise due to a number of reasons, for example if -

Civil Service Pensions have received additional information from your employer regarding your service and/or pay which impacts on the original quote; or

An error has occurred in calculating your quote and it has been rectified when calculating your actual award.

14


mailto:[email protected]

http://www.dfpni.gov.uk/civilservicepensions-ni

If Civil Service Pensions are notified of any changes in your service history or pay and you have already left the service and received an incorrect compensation payment Civil Service Pensions will recover any overpayment which has occurred.IMPORTANT:You should not enter into any financial commitments until you receive your final letter, which will confirm the amount that has been authorised. This is because the payment is worked out using length of service and pay. The payment could go up or down if your service or pay changes between the issuing of your quote and your proposed leaving date.

42. If I am selected to leave under the Scheme when will I receive my compensation payment?

It is anticipated that you will receive your compensation payment the day after your last day of service in Invest NI. Civil Service Pensions will process awards depending on leaving date and on receipt of the appropriate information. In the wider public sector context, significant volumes of cases to be processed, coupled with delays in receiving notification from employers or delays in receiving information from leavers may result in a delayed payment.

43. If my pay increases in August 2016 how will this affect my compensation payment?

If you are an AO or EO2 your compensation payment will only increase if the maximum of the EO2 salary scale increases. For staff in all other grades, who are receiving less than the maximum pay scale, an increase of salary will increase their compensation payment. Staff on the maximum pay point will only have their compensation payment increased if the maximum of the scale is increased.

44. If I leave Invest NI before any pay award for the 2016 year has been implemented and I am due an increase in salary due to this, will I be paid arrears of compensation?

When any pay award for 2016 is implemented, Civil Service Pensions will revise your award and pay any arrears in due course. Due to the ongoing pressure of work in Civil Service Pensions this work will not be scheduled until after the Voluntary Exit Scheme is finished and will be carried over a period of time. It is likely that it will take over a year before any revision to compensation benefits is paid.

45. Will everyone selected leave at the same time?

To maintain business continuity, it is envisaged that 2 groups of exits will take place, the first of which will be by the end of November 2016. It is anticipated that all exits would

15


have taken place by the end of March 2017 subject to the availability of sufficient funding.

46. How much notice will I be given if I am selected under the Scheme?

You will be given 3 months’ notice. If you are notified that you have been selected and advised of an exit date, you will be provided with a personal quote by Civil Service Pensions and will have 10 working days after this is issued to confirm whether you accept the offer of voluntary exit. Your notice period, if you accept, will begin at the deadline by which you had to accept the offer.

47. Is there any flexibility with the specified last day of service?

There is no scope for individuals to express a preferred leaving date for personal reasons. However, to ensure the efficient running of the organisation and business continuity, we may withhold an exit date for business continuity purposes.

48. Can I change my mind once I apply?

At the applications stage (6th – 24th June 2016), you are applying to be considered for selection under the Scheme, but at this stage you are not committed to leaving.

If you are selected to leave and provided with a leaving date, you will receive a personal quote from Civil Service Pensions. You will then be allowed 10 working days to accept or reject the terms. Your agreement or withdrawal at that point will be binding and you will be unable to change your mind afterwards.

Staff are however asked to make an application to leave under the Scheme only if they are serious about doing so.

49. What is my leave entitlement if I am selected to exit under the Scheme?

If your exit is confirmed, your annual leave balance will be revised to reflect your entitlement up to your last day of service, rather than to the end of the leave year (the annual leave year runs from 1 February to 31 January). For example, if your annual leave allowance is 30 days per year, this means you accrue 2.5 days’ annual leave each month. So, if you were due to leave on 30 November, you would accrue 25 days’ annual leave (i.e. 2.5 x 10) for the 10 months from 1 February to 30 November.

50. What action do I need to take in respect of annual leave, either as an applicant or as the line manager of an applicant?

16


If you are to exit via the Scheme, you should check what annual and flexi leave remains due to you and apply to use this before your last day of service. You should reduce your annual and flexi leave to nil by your exit date, unless for business reasons this cannot be facilitated.

If you are the Line Manager of someone who has accepted an offer to leave, it is your responsibility to ensure that the leave balances (revised as appropriate to reflect the exit date) are reduced to nil by the date of exit, unless in exceptional circumstances, this is not possible for business continuity purposes. If this happens, you will need to inform HR of any outstanding leave, to ensure payment for untaken annual leave is made to the individual.

51. If I am selected to leave under the Scheme while on Maternity Leave, what will the impact be on any maternity pay I receive?

One of the qualifying conditions for contractual maternity pay in Section 6 of the Invest NI Maternity Policy and Procedure, is that you state that you intend to return to work at Invest NI after the birth of your child, and that you agree to repay any payment made during that period if you fail to return and complete at least one calendar month’s service on your return. (This repayment excludes any statutory maternity pay (SMP) to which you are entitled.) If, before your maternity leave begins, you accept an offer to leave, as a result you will not be able to satisfy this requirement and, therefore, will not qualify for contractual maternity pay. Instead, you will rely on the SMP arrangements - see more below.

If you are on maternity leave when you are selected to leave on a specific date and an offer is made which you accept, payment of contractual maternity pay will cease once the acceptance period is over. Contractual maternity pay is granted on the condition that you intend to return to work and that you complete at least one month’s paid service on you return to work. As per normal practice, where this requirement is not satisfied, Invest NI will seek the repayment of the contractual maternity pay already received (excluding any SMP you are entitled to).

As far as SMP is concerned, once you have qualified for SMP, you are entitled to receive it even if you leave Invest NI, and that could be for the full 39 weeks. However, if after your baby is born you start work for another employer who did not employ you in the Qualifying Week, SMP should stop.

The links below contain additional information on SMP and changes in circumstances.

https://www.gov.uk/statutory-maternity-pay-business-changes-that-affect-payment#your-employee-is-made-redundant (see Your employee is made redundant which also mentions reasons other than redundancy)

https://www.gov.uk/statutory-maternity-pay-employee-circumstances-that-affect-payment(see Employee isn’t returning to work and Employee works for another employer)

http://www.hmrc.gov.uk/manuals/spmmanual/spm21110.htm

17


http://www.hmrc.gov.uk/manuals/spmmanual/spm21110.htm

https://www.gov.uk/statutory-maternity-pay-employee-circumstances-that-affect-payment

https://www.gov.uk/statutory-maternity-pay-business-changes-that-affect-payment#your-employee-is-made-redundant

https://www.gov.uk/statutory-maternity-pay-business-changes-that-affect-payment#your-employee-is-made-redundant

http://www.hmrc.gov.uk/manuals/spmmanual/SPM20130.htm

52. I plan to notify Invest NI of my intention to retire. What impact will this have on my selection and/or exit?

If you formally notify Invest NI of your intention to retire you will be removed from the scheme and you will no longer be considered for selection and/or exit.

53. I am due to leave under the Scheme and am currently making repayments such as an overpayment recovery through payroll. How will these repayments be managed?

HR will liaise with you before you leave to confirm how your repayment will be handled. This may include a deduction from your final salary to cover the outstanding balance, recovery from your compensation payment or through an agreed recovery plan. Where an overpayment is in place, the payroll system will automatically recover as much as possible from the final salary. If staff have a large overpayment this could result in nil pay. Where an overpayment exceeds final salary, monies will be taken from your compensation payment, unless an alternative recovery plan is in place.

This will however be discussed with you at the time.

54. I am part of the Taxsmart Scheme. What action should I take before I leave under the Scheme?You should complete a Life Event form and forward to HR as close as possible to the start of the month in which you are leaving. Translink must receive the notification by the 15th of the month in order to terminate your participation in the Taxsmart scheme.

55. I am part of the Cycle to Work Scheme. What action should I take before I leave under the Scheme?HR will contact you to confirm whether you wish to keep the bicycle. If you wish to retain the bicycle, the remaining payments, including the residual payment, will be automatically recovered in your last month’s salary. If you do not wish to keep the bicycle, you will need to make arrangements to return it with HR to avoid the residual payment being deducted from your salary.

18


http://www.hmrc.gov.uk/manuals/spmmanual/SPM20130.htm

SECTION FOUR - COMPENSATION AND PENSION –RELATED

56. What figure is used to calculate the compensation payment?

Your annual salary and any permanent pensionable allowances will be used to calculate your compensation payment.

57. Will the deemed minimum apply for calculating compensation payments for staff earning less than that amount?

Yes, the deemed minimum amount of £24,728 (current maximum of EO2 pay scale as at August 2015) will apply to staff in all disciplines whose full time equivalent salary is less than the EO2 payscale maximum.

58. Will the deemed maximum salary level be used?

Yes. The deemed maximum salary level of £100,091 (the current maximum of the Senior Civil Service Grade 3 as at August 2015) will apply. This will be the deemed maximum salary used for calculating compensation.

59. How are compensation payments for part-time staff calculated?

The calculation will be based on the full time equivalent rate of pay and pro-rata service. There are limits to the maximum benefits that part-time workers can receive so that they do not receive disproportionately more than full-time workers. Staff who are currently part-time or have been in the last 3 years will receive a quote from Civil Service Pensions of payment due to them.

a) Reckonable Service x Salary / 12 b) b) (Maximum Reckonable Service x Salary / 12) x (your reckonable service including

PT service divided by your reckonable service as if you had never gone part time)

Example: Deirdre is 34 and switched to part time working 5 years ago. She worked full time for 10 years and 3 days per week for the last 5 years. Deirdre is paid £18,000 per annum (full time equivalent earnings of £30,000). Her reckonable service is 13 years (10 years full-time and 5 years working at 3 days per week). If Deirdre leaves on Voluntary Exit terms she will receive the lesser of:

a) 13 x (£30,000/12) = £32,500

19


b) 21 x (£30,000/12) x 13/15 = £45,500

Deirdre will receive compensation of £32,500 the lesser amount.

For further information please see the link below to the rules of the Civil Service Compensation Scheme (Northern Ireland) 2014. Rule 12.1.6 refers to the calculation for staff that have had part time service in the last 3 years.

https://www.dfpni.gov.uk/publications/rules-civil-service-compensation-scheme-northern-ireland-april-2014

60. How does partial retirement affect compensation payments?

Partial retirement does not affect compensation payments as full current reckonable service is taken into account however, the payment will be liable to the same restriction as other part time workers.

Calculation of Voluntary Exit Benefits where the member is Partially Retired The whole of the members current continuous service, both pre and post partial retirement, will count towards calculating the compensation payment subject to the maximum limits and the members part time service.

The compensation payable will be the lesser of:

a) Reckonable Service x Pensionable Earnings/12

c) Maximum Reckonable Service x Pensionable Earnings/12 x (your reckonable service including PT service divided by your reckonable service as if you had never partially retired).

Example: David worked for 10 years before taking partial retirement at age 60 (he is in the Classic Pension Scheme). Since taking partial retirement he has worked 3 days per week for the last 5 years. David is paid £18,000 per annum (full time equivalent earnings £30,000). His reckonable service is 13 years (10 years full time plus 5 years working at 3 days per week). If David leaves on Voluntary Exit terms he will receive the lesser of:

a) 6 x (£30,000/12) = £15,000

b) 6 x (£30,000/12) x 13/15 = £13,000

David will receive compensation of £13,000, the lesser amount.

61. I am currently on temporary promotion. Will my higher salary be taken into account?

If you are currently on temporary promotion and you do not expect this to last until your last day of service, you should use your salary at your substantive grade to work out your compensation payment. However if you expect your temporary promotion to 20




continue until you leave Invest NI, then you should use the salary you are currently receiving at your temporary grade. Staff who received a quote based on a temporary promotion which ceases prior to their last day of service will only be entitled to compensation benefits based on their substantive grade. Therefore, an overpayment may arise if Civil Service Pensions is not notified of this change. Civil Service Pensions will recover all overpayments.

62. Why is compensation limited to 6 months’ pay for staff over the normal scheme pension age?

The purpose of the Scheme is to provide a proportionate financial cushion to those who decide to leave. There is less need for that financial cushion when an employee is able to draw an unreduced pension during the time they are looking for new employment.

63. Will there be any restriction on payments to staff close to the normal scheme pension age?

There will be a degree of tapering of the award so that those who are particularly close to their normal scheme pension age are not advantaged over those who have reached pension age. Therefore the cap on the number of months’ pay cannot be any larger than the time to normal scheme pension age (rounded to the nearest whole month) plus six months. For example, someone with a normal scheme pension age of 60 leaving under the Scheme at age 59 years and 3 months will be able to receive a maximum payment of 15 months’ pay (9 months for the time remaining until 60, plus the 6 months maximum that could be paid to those past pension age).

64. Does the period for which compensation is paid count towards the period for which your Civil Service pension is calculated?

The amount of pension a person would be entitled to would only be the amount they have built up at the time of taking the early exit scheme. If you wanted to boost the amount of pension you would receive, you would have to buy added pension (see question 72 overleaf).

65. I previously worked for an employer that was not covered by the Principal Civil Service Pension Scheme, NI, but through a machinery of government movement, my employment was bulk transferred into the Principal Civil Service Pension Scheme, NI. What compensation am I entitled to?

You are entitled to compensation for the continuous periods of service in both schemes, regardless if you opted to transfer your pension benefits into the Principal Civil Service Pension Scheme, NI, or if you preserved them with your previous employer. This is the case for all compulsory bulk transfers from public sector schemes into the Principal Civil Service Pension Scheme, NI.

21


66. Does the 5% actuarial reduction for each year you are under your scheme pension age apply when you leave under voluntary exit?

Yes, if you bring your pension into payment early on an actuarially reduced basis, it will be reduced by roughly 5% for each year.

67. Can I also take my pension benefits at the same time if I am selected to leave?

Staff who have reached their minimum scheme pension age (50 if they were in the pension scheme since before 6 April 2006 or 55 if they joined after that date) can have access to their pension which will be reduced for early payment.

The compensation payment can be used to buy out any reduction for early payment of the pension and where there is a shortfall the individual will need to make the additional payment.

Pension lump sums are paid tax free although the pension will be subject to normal HMRC tax rules.

68. Will my employer top up any shortfall for buying out the reduction?

No. Employer top-ups are not offered under the terms of this Exit Scheme.

69. Is my Compensation Payment Taxable and if so at what rate of tax?

Yes. The first £30,000 of the compensation payment is tax free. Any amount in excess of £30,000 is subject to HMRC Rules.

Since 6 April 2011 HMRC requires Civil Service Pensions to apply tax on a ‘month 1’ basis using the applicable tax bands. This treats the balance of the compensation payment as if the individual earned that amount each month.

The tax bands from April 16 are:

First £2,666.67 over £30,000 is taxed at 20% The next £9,833.33 is taxed at 40% Then the remainder of the compensation is taxed at 45%

Further advice on the effect of the compensation payment on your own tax liabilities should be obtained from HMRC.

The compensation calculator is applying the 16/17 year tax rates correctly and will provide you with an estimate of your compensation on a gross and net basis.

22


70. Can I use my compensation payment to buy years of service?

The option to purchase a defined amount of service is no longer an option that is available to members of the Principal Civil Service Pension Scheme, NI. This was known as “buying added years.” This option has since been replaced with “buying added pension.” You can find more information about buying added pension by reading the booklet “Added Pension for Classic, Classic Plus, Premium, Nuvos and Alpha” which is available on the Civil Service Pensions website, below:

https://www.dfpni.gov.uk/publications/added-pension-classic-classic-plus-premium-nuvos-and-alpha-issue-5-feb-2015

You can use some or all of your compensation payment to buy added pension. If you are interested, there is a calculator on the Civil Service Pensions website to see how much you would like to spend, and how much pension it will buy for you:

http://www.dfpni.gov.uk/civilservicepensions-ni/index/resources/calculators.htm

Please be advised, however, added pension is subject to the Annual Allowance for tax. If the value of your pension increases during a scheme year, (January to December), by more than £40,000, you will have to pay extra tax on the excess under current tax rules.

71. Can I use my Compensation payment to buy out the Actuarial Reduction on my pension?

Yes, it is possible to use the gross amount of your Compensation Payment to buy out the reduction.

If the compensation payment is used to buy-out the reduction to the pension for early payment it is only any remaining compensation lump sum over £30,000 that will be subject to tax.

72. Will my pension lump sum be affected by any lump sum I get through the Scheme?

Your pension lump sum is not affected by any compensation lump sum you may receive.

73. What will happen to my pension if I leave under the Scheme? Will it be frozen for me until pension age or can I transfer it to either a private pension or a new work pension if I get new employment?

You have the option to transfer your preserved Civil Service pension into either a private pension or a new work place pension. If you decide to transfer your pension benefits into 23


http://www.dfpni.gov.uk/civilservicepensions-ni/index/resources/calculators.htm



your new employer’s pension scheme, you must tell your new employer’s scheme administrator that you are interested in transferring your Invest NI pension benefits.

Before deciding to go ahead with any transfer, you should understand what you are giving up and what you will get in return. If you need help with this, we recommend that you see an Independent Financial Advisor, but you should be aware that they may be charged a fee for this service. This fee is not recoverable from Invest NI.

If you choose not to exercise this option, we will automatically preserve your pension until it becomes payable from your scheme pension age.

74. I am not a member of the Civil Service Pension Scheme. What does this mean in terms of what I am entitled to?

Compensation payments are determined by the rules of the Compensation Scheme which currently state:

i. One month’s pay per year of service up to 21 months.

ii. Cap of 6 months’ pay for staff over the normal scheme pension age.

75. If I am moving to the new Alpha scheme will this affect the amount of compensation payable?

No, this will not affect your compensation amount.

76. Can you inform me how the impact of the exit scheme would affect my pension with regards to the new Alpha pension scheme?

For example, if I decide to move over to ‘Alpha’ at the end of my tapered period, but I want to leave under voluntary exit before this, how will this affect my pension?

If you are due to move over to ‘Alpha’ in the future but you take voluntary exit before this, then your pension will be preserved under your current pension scheme status. However, if you chose to move over to ‘Alpha’ on 1 April 2015, and leave under voluntary exit after this date, your previous pension scheme benefits will be preserved up to 31 March 2015, and any Alpha pension accrued for the period after this will also be preserved.

77. What are the terms of the new Civil Service Compensation Scheme (Northern Ireland)

The new Civil Service Compensation Scheme came into effect from 1 April 2014 and sets out the level of compensation that can be paid on leaving under voluntary exit or voluntary or compulsory redundancy.

24


The key facts and answers to frequently asked questions can be found at Civil Service Pensions (NI) website, under the ‘New Compensation Scheme’ heading in the new members section – please see link below: https://www.dfpni.gov.uk/publications/civil-service-compensation-scheme-qa-november-2014

25


https://www.dfpni.gov.uk/publications/civil-service-compensation-scheme-qa-november-2014

https://www.dfpni.gov.uk/publications/civil-service-compensation-scheme-qa-november-2014

SECTION FIVE - GENERAL

78. How will the potential impact on service delivery of staff leaving Invest NI in such a short period be managed?

Staff leaving under the Scheme are expected to be released by the end of March 2017. Due to the voluntary nature of the Scheme, the effect on business areas will not be known until applicants are selected to leave. However, as a consequence of the need to exit staff in a short period of time, there may be a need to redeploy staff to maintain business continuity. There is no guarantee therefore that you will be able to remain in your current post as a result of the impact of the Scheme.

79. If my post was to be absorbed I may be interested in the Scheme as I would not want move to another location. Will I know this information before I decide to apply under the Scheme?

Due to the voluntary nature of the Scheme, the effect on business areas will not be known until applicants are selected to leave. Given the need to exit a number of staff in a short period, it will not be possible to advise staff whether their current post is to be absorbed, or whether redeployment is likely, in the same timescale.

80. Will a compensation payment affect my Student Loan repayments?

You should contact The Student Loan Company for clarification.

81. Will a compensation payment affect the social security or tax-related benefits I am currently receiving or I would be entitled to receive if I leave under the Scheme?

As each individual’s circumstances are different, you should contact HMRC or your local Social Security Office for advice.

82. Where can I get additional financial information?

DFP Civil Service Pensions, and Invest NI line management and HR are not in a position to provide financial advice to individuals. Individuals may wish to consult with an independent financial advisor but should be aware that they may be charged a fee for this service. This fee is not recoverable from Invest NI.

26


83. Will I have to repay my compensation payment if I join an employer covered by the Northern Ireland Civil Service Compensation Scheme?

You will have to repay a proportionate part of your compensation payment if you join any employer covered by the Northern Ireland Civil Service Compensation Scheme. You will not, currently, need to repay if you join another public sector employer. No repayment will be required if you find work in the private sector. Departments wishing to re-employ a member of the senior civil service for a period covered by a compensation payment will require Department of Finance and Personnel approval.

If someone is re-employed in an organisation covered by the Civil Service pension and compensation arrangements within 28 days of leaving their current employer, their compensation will be cancelled and their service will treated as continuous. They will have to repay the full compensation amount.

A compensation payment must be re-paid in full or in part if an employee is re-employed in an organisation covered by the Civil Service pension and compensation arrangements within the lesser of (a) 6 months and (b) the notional period of their compensation payment.

The notional period is calculated as follows - the number of months’ compensation received less the period of time between leaving and being re-employed. For example, if you receive 21 months’ compensation and are re-employed after 4 months your notional period will be 17 months.

Example: Millie receives a compensation payment of £30,000 which represents12 months’ pay. 4 months later, Millie is re-employed in the Civil Service on a salary of £24,000. Millie will be required to repay 8 months’ compensation, adjusted for her new salary level.

The amount to be repaid will be calculated as £30,000 x 8/12 x 24,000/30,000 = £16,000. (In this case, the compensation payment – being no more than £30,000 – would not have attracted tax. In cases where tax is payable, any repayment is adjusted to take account of tax paid.)

If you require further information on re-employment please contact Civil Service Pensions.

84. I currently work for two employers covered by the Civil Service Compensation Scheme (NI); can I apply for Voluntary Exit from one?

If you are currently employed by more than one employer covered by the Civil Service Compensation Scheme (NI), you may choose to apply for the Scheme. However, if your employment in those organisations is pensionable, and you accept an offer of early exit under the Scheme, you must leave all employments covered under the Civil Service Compensation Scheme (NI). How your compensation is calculated will depend on whether both your employers are running a Voluntary Exit Scheme.

27


Where both employers offer a Voluntary Exit Scheme, the member must leave both employments on the same day. Each period of reckonable service for each employer will be calculated separately. The compensation from each employment will be added together to give the total amount of compensation due. Any compensation payable will be subject to the Rules of the CSCS(NI);

Where only one employer offers a Voluntary Exit Scheme, the member must leave the other employment either before or on their last day of service. Only reckonable service from the employer who is offering the Voluntary Exit Scheme will be used when calculating compensation.

28


SECTION SIX – AFTER SELECTION IS COMPLETED

85. Can I appeal against not being selected?

As set out in the Voluntary Scheme Information Booklet, applicants who are unsuccessful in their application for the Scheme will have the right to appeal the outcome. However, appeals will not be considered until applicants receive their formal notification that that the Scheme is closing and that they have not been selected. If you are considering bringing an appeal you should read paragraphs 37 and 38 of the Scheme Information Booklet, in conjunction with this FAQ. Formal appeals must be submitted in writing using the relevant appeal form available on the intranet – within 10 working days of the date of the notification advising you that you have not been selected and that no further selections will be carried out.

An Appeals Panel will be formed to consider valid appeals.

Any appeals outside of the 10 day period will not be accepted unless there is a reasonable and relevant explanation as to why you were unable to submit an appeal within the appeal deadline. The closing date for all appeals is one month from the date the ‘not selected’ notifications are issued, advising that no further selections are to be made.

Appeals will not be permitted if they solely concern complaints or objections relating to the terms of the Scheme, such as the method applied in the calculation of VFM scores.

Appeals will only be considered if they are based on substantive evidence provided by the appellant concerning the following criteria, which would have had a material impact on whether or not an offer of early exit was received and which concern actions which cannot be legitimately justified as being necessary to achieve the aims of the Scheme:

That there has been an error in how selection occurred; That significant, relevant information was not taken into account at the time the

selection outcome was determined; or That some form of alleged discrimination occurred in the way the selection

process was carried out (excluding complaints relating solely to the terms of the Scheme or to the correct application of the selection criteria and methodology) and which cannot be legitimately justified.

HR will examine your appeal on receipt to determine whether the grounds for appeal appear to have been met. You should be advised whether or not the appeal is to proceed within 5 working days.

There is no requirement for the Appeals Panel to meet with you if you make an appeal. Appeals will be considered within a reasonable timescale, where possible within 15 working days of receipt of the appeal. HR will advise you if there is to be any significant delay in the decision-making process.

You will be informed in writing of the Appeals Panel decision within 5 working days of the decision. If an appeal is upheld and it is established that an offer of early exit should have been made, you will receive an offer, the cost of which, if you accept it, will be met 29


http://secure.investni.com/static/library/intranet/documents/ini-ves-appeals-form.docx

http://secure.investni.com/static/library/intranet/documents/ini-ves-appeals-form.docx

from the funding made available through the Transformation Fund. Where this funding is no longer available, Invest NI will cover the cost of the exit.

You will have only one opportunity to appeal the selection outcome decision and the decision of the Appeals Panel is final. Invest NI’s Grievance Policy and Procedure is not permitted as an additional source of appeal.

86. What information relating to the Scheme, for example the number of applicants by grade, or relating to those selected to leave, will you release and when?

Information relating to the number of people who applied to leave under the Scheme and those who received and accepted offers will be made available on the designated VES section of the intranet.

87 How can I obtain my ‘value for money’ score?

You can obtain ‘value for money’ (VFM) score by emailing HR Employee Support at [email protected] when the scheme has closed.

You should include your National Insurance number and date of birth in the subject title of the email, to verify your identity and so the correct information can be extracted. You should also provide your name and payroll number in the body of the email.

HR will provide you with the random number assigned to you as well as the pay bill saving and compensation amounts used to calculate your VFM score. An explanation of how VFM scores and random numbers were used in selection is set out in FAQ 28.

88. I was not selected for the Scheme, which has now closed. I still want to leave, what options do I have and how will these impact on my pension?

There are several options available to you with differing impacts depending on your age and which scheme you are in. They are:

Preserved Benefits Early Retirement - Actuarially Reduced Pension Partial Retirement

- Preserved Benefits – Classic, Classic Plus, Premium and Nuvos

Your pension benefits will be preserved and these will normally be paid to you at the scheme pension age, which for Classic, Classic Plus, and Premium is 60, and 65 for Nuvos.

The preserved pension benefits will have cost of living increases (pension increases) added each year until they are put into payment.

30


mailto:[email protected]

Full details are provided in the guide “Leaving before pension age with 2 or more years’ service”, which can be accessed here - https://www.dfpni.gov.uk/publications/leaving-pension-age-two-or-more-years-service-issue-2-april-2013

Preserved Benefits – Alpha

Your pension benefits will be preserved and these will normally be paid to you at the scheme pension age, which in Alpha is linked to your State Pension Age.

The preserved pension benefits will have cost of living increases (pension increases) added each year until they are put into payment.

Full details can be found in Section 4B of the “Alpha scheme guide” –

https://www.dfpni.gov.uk/sites/default/files/publications/dfp/alpha-scheme-guide-march-2015.pdf

- Early Retirement - Actuarially Reduced Pension - Classic, Classic Plus, Premium and Nuvos

You can apply to have your pension paid early on a reduced basis at any time after reaching age 50 (55 if you joined the Pension Scheme on or after 6 April 2006). You should note that your benefits will be reduced permanently by around 5% for each year before scheme pension age.

Full details are provided in the guide “Leaving before pension age with 2 or more years’ service”-

https://www.dfpni.gov.uk/publications/leaving-pension-age-two-or-more-years-service-issue-2-april-2013

- Early Retirement - Actuarially Reduced Pension– Alpha

You can apply to have your pension paid early if you have reached the minimum pension age in Alpha which is 55. The pension will be reduced for early payment because it is likely to be paid for a longer period of time. The exact amount of reduction can vary, but in general the earlier you claim your pension, the greater the reduction will be.

Full details can be found in Section 4B of the “Alpha scheme guide” –

https://www.dfpni.gov.uk/publications/alpha-scheme-guide

31


https://www.dfpni.gov.uk/publications/alpha-scheme-guide







Important note: If you have benefits in Classic, Classic Plus, Premium or Nuvos and also have benefits in Alpha it is possible to take them at the same time if you have reached the minimum pension age in both. If you have not reached the normal pension age in both schemes, all of your pension benefits will be reduced for early payment. Alternatively, if you have reached the normal pension age in one scheme but not in the other benefits will be reduced for the scheme in which you have not reached the normal pension age.

- Partial Retirement Pension – Classic, Classic Plus, Premium and Nuvos

Note: Civil Service Pensions do not issue partial retirement quotes until the job reshaping has been approved by the Employer.

If you meet all the conditions for partial retirement, you can decide how much pension (and tax-free lump sum) you want to take:

if you are in Classic, Premium or Classic Plus, your reckonable service is reduced by an amount corresponding to your chosen pension;

if you are in Nuvos or have bought added pension, your pension account is reduced by the amount of pension you choose to take;

If you take benefits before pension age (usually 60 in Classic, Classic Plus or Premium and 65 in Nuvos) your benefits will be reduced for early payment.

You then carry on working in your reshaped job and building up further pension (assuming that you have not reached your pension limit);

Full details of the conditions for partial retirement in Classic, Classic Plus, Premium and Nuvos are provided in the booklet “Partial Retirement – a guide for scheme members” - https://www.dfpni.gov.uk/publications/partial-retirement-guide-scheme-members-issue-4-aug-2014

- Partial Retirement Pension – Alpha

Partial retirement is available for all active members of Alpha subject to agreement from Invest NI, but you must:

• be over minimum pension age (55 in Alpha); • have built up some Alpha pension; • be able to reduce your earnings by at least 20%.

You can partially retire from the minimum pension age in Alpha which is currently 55. But if you do partially retire before the normal pension age in Alpha, your pension will be reduced because it is likely to be paid for a longer time.

32


https://www.dfpni.gov.uk/publications/partial-retirement-guide-scheme-members-issue-4-aug-2014

https://www.dfpni.gov.uk/publications/partial-retirement-guide-scheme-members-issue-4-aug-2014

Because partial retirement involves making changes to your job to reduce earnings, you must have the agreement of your employer. If your employer agrees to the changes, you can apply.

Full details on Partial Retirement are provided in Section 5B of the “Alpha scheme guide” - https://www.dfpni.gov.uk/sites/default/files/publications/dfp/alpha-scheme-guide-march-2015.pdf

- Partial retirement for Alpha members who were formerly members of Classic, Classic Plus, Premium or Nuvos

You can only partially retire once using your Alpha pension benefits and once using your Classic, Classic Plus, Premium or Nuvos pension benefits.

If you choose to take the Alpha and Classic, Classic Plus, Premium or Nuvos parts of your pension at the same time, you can only partially retire once.

If you choose to claim only your Classic, Classic Plus, Premium or Nuvos pension at partial retirement, you can, at a later date, choose to partially retire only using your Alpha pension.

You can do this the other way round too, if you partially retire only using your Alpha pension, you can partially retire at a later date using only your Classic, Classic Plus, Premium or Nuvos pension.

If you choose to partially retire a second time using the other part of your benefits, you must meet all the criteria again. Your employer must agree, you must be over the minimum pension age, and you must reduce your earnings by a further 20%.

89. I was not selected for the Scheme, but I would like to change my work-life balance. What options do I have?

Many of us may need to work different patterns to help us get the right mix of home and work life and Invest NI has a number of policies to help achieve this: part-time or personalised working patterns; career breaks and compressed hours. These are important benefits and are, of course, subject to the business being able to accommodate such requests.

Details of the various types of alternative and flexible working patterns can be found on the Employee, HR section on the intranet.

90. I was not selected and the Scheme has now closed. What impact might alternative working patterns have on my pension?

33




There are several options available to you if you wanted to change your work life balance. However they may have an impact on your pension at final retirement.

Note: If you wish to avail of any of the changes in working patterns referred to below, your initial point of contact will be your Line Manager.

Part-time employment

In Classic, Classic Plus and Premium any type of part-time service counts on the basis of the actual hours you work and the equivalent full-time pensionable earnings.

In Nuvos and Alpha working part-time will reduce the amount of pensionable earnings which counts towards calculating the amount of pension you build up.

Working part-time may have an impact on the amount of any compensation payment payable as part of any future Voluntary Exit scheme.

Condensed working hours

Condensed working hours will not impact on your pension if you continue to work the same number of total hours you worked in your previous employment.

Redeployment

Redeployment will not impact on your pension if you continue to work the same hours as you worked in your previous employment.

92. Will there be another Scheme in 2017/18?

There are no plans for another scheme in 2017/18.

34


Documents

Northern Ireland Civil Service (NICS) · Web viewInvest NI - Voluntary Exit Scheme FREQUENTLY ASKED QUESTIONS ***Please note that more detailed information concerning the terms of