My HR Knowledge Bank
Welcome to My HR Knowledge Bank. You will find frequently asked questions on all current HR Policies and procedures, links to all policies, useful forms, guidelines and toolkits.
RETIREMENT AND FLEXIBLE RETIREMENT
Are you able to continue to pay pension contributions on a reduced grade or hours post?
Yes, but this would be a new pension record based on the reduction in hours or grade.
Can employees retire before their normal retirement age (either 65, 66 or 67 years of age) and access their pension?
Pensions can be accessed from the age of 55, however, there may be a reduction to pension entitlements, dependent on the length of pensionable service. For accurate and up-to-date information, please contact the Pensions Section directly on 01443 680611, e-mail email@example.com or visit the pensions website at www.rctpensions.org.uk.
Can the Council waiver any pension reductions?
Yes, however, to agree a waiver of reductions, is likely to result in a cost to the Council. Therefore, deciding to apply this discretion will be on a case-by-case basis and considered by the RCT Discretions Panel.
Can the Service Director turn down an application for flexible retirement?
Yes, the Service Director can turn down applications if she/he feels:
- There is a detrimental effect on service delivery as a consequence of a reduction in the hours of the post.
- The arrangement detrimentally affects the workload of other team members.
- There is no alternative available work at the lower grade.
Do employees have to finish work when they reach 65 years of age?
No, they have a right to continue working if they wish to do so. The Council can no longer tell employees that they have to retire at age 65, and will assume that they wish to continue working unless told otherwise.
Employees who wish to retire at age 65 (or earlier) can do so; however they will have to inform the Council of their intended retirement date giving the appropriate notice in line with the grade of their post.
Does the Council make any payments for long service on retirement?
Yes, employees with more than twenty years continuous service with the Council will receive £200 for twenty years service, plus £10 for every additional year of service over twenty years.
From what date will flexible retirement pension benefits be paid?
The payment of pension benefits will take effect from the date of the reduction in hours or grade.
How do you apply for flexible retirement?
Applications should be made to your Service Director using the Flexible Retirement Scheme Application Form.
You would have to request and accept a permanent reduction in your hours or grade to be considered and it is expected that you would be requesting a role of at least one grade lower than your current grade or a minimum of a 40% reduction in hours.
The Council's Flexible Retirement Scheme Application Form can be accessed here.
How much annual leave is an employee entitled to during the year that they are retiring?
Employees are entitled to leave on a pro rata basis for each completed calendar month worked in the year. For example an employee retiring in October would receive leave for the months of April to September.
How much tax is paid on a pension?
Any tax liability on your pension is a matter for you and Her Majesty's Revenue & Customs. www.hmrc.gov.uk.