LGPS - Assumed pay pensioon calculations

AvivaNightmare

Hi, 

I am facing ill health retirement on Tier 1. 

in 2018 I reduced my hours from 36 to 34 to allow time for recovery and hospital appoints due to ill health with the backing/advise of OH 

I have now following operations had 15mths off work, had full pay for 6mths then half pay for 6mths now on zero pay. 

my salary on the LGPS portal is listed at £35,000.00 this is my reduced pay figure, without the reduction for the reduced hours it is £38,000.00 
I read on the site 

If your pensionable pay is reduced because you are away from work due to sickness or injury, or an authorised period of leave, or due a trade dispute, the reduction in your pay is ignored when calculating the assumed pensionable pay

should my pay be listed as the £38,000.00 and this used to calculate my pension, I looked at my statements for 18-19, 19-20, 20-21 and they all have my reduced pay as my 'CARE Pensionable Pay' is this correct or should it have been my full contracted hours pay 

sevenhills

AvivaNightmare said:

I am facing ill health retirement on Tier 1. 

in 2018 I reduced my hours from 36 to 34 to allow time for recovery and hospital appoints due to ill health with the backing/advise of OH 

 should it have been my full contracted hours pay 

Someone will be able to answer your question, but my pay actual paid hours can change every year just because we have less work and work flexibly, but my contracted hours will probably not change.

AvivaNightmare

sevenhills said:

AvivaNightmare said:

I am facing ill health retirement on Tier 1. 

in 2018 I reduced my hours from 36 to 34 to allow time for recovery and hospital appoints due to ill health with the backing/advise of OH 

 should it have been my full contracted hours pay 

Someone will be able to answer your question, but my pay actual paid hours can change every year just because we have less work and work flexibly, but my contracted hours will probably not change.

Thanks, mine are fixed hours contract of 36 hrs, just reduced due to ill health to 34. 

Silvertabby

"Member reduces their hours because of the ill health condition which subsequently
results in ill health retirement
45. Where a member is awarded ill health retirement benefits but, prior to their leaving
employment, they have had to reduce their hours as a result of the condition that lead to the ill
health retirement award, no account is taken of the reduction in hours. The member’s reduction
in service which is accrued between the date of the reduction in hours and the date they leave
employment, is ignored for the purposes of calculating his ill health benefits. The independent
registered medical practitioner has to certify that the reduction in hours is as a result of the
condition that causes him to be permanently incapable of the relevant local government
employment and have a reduced likelihood of under taking gainful employment, in accordance
with regulation 20 (12) (b). If this is certified, the employer can make a determination, and the ill
health pension will be calculated based on accrued service with no reduction in service because
of the reduction in hours; this applies to past service and, where appropriate, any future service

enhancement for a 2nd or 1st tier award"

These are the regs, but your case isn't straightforward, I'm afraid.  You would have to obtain medical confirmation that you reduced your hours due to your medical condition, ie that you were physically incapable of working full time (time off for hospital appointments may not count).

The facts that that was over 3 years ago, and that you only reduced your hours by 2 hours per week, could well rule this option out.  By all means run it past your LGPS and see what they say, but my gut feeling is that they won't go for it for the reasons I've stated.  You could, of course, appeal this through OCC health - but that would mean further paperwork from the independant Dr, who may not be in a position to give an opinion. 

AvivaNightmare

Many thanks @Silvertabby he ticked the box to say I had reduced my hours due to ill health. 

I’ll just have to wait & see what they say. 

OldBeanz

AvivaNightmare said:

Many thanks @Silvertabby he ticked the box to say I had reduced my hours due to ill health. 

I’ll just have to wait & see what they say. 

Good luck.

Higher22

Hi
I have just been through this scenario with LGPS. I retired on Tier 1 illhealth grounds in Feb 22. I have a degenerative health condition which forced me to reduce my working hours from 5 days to 4 in 2017 and which subsequently forced my retirement this year age 50. The quote you gave is listed in the LGPS regulations 2008 and is still current and is (or should be) as simple as it looks. The regulations also define exactly what questions the pension doctor should ask you to illicit this information and defines the process, ie the doctor to clearly indicate it on the pensions medical certificate. Do not then just assume payroll will do what should be done on receipt of the certificate.  In my experience I had to follow the process every step of the way and still questioned the final calculation of my pension three times as it dawned on me that my local council pension dept didn’t seem to know about this part of the regulations “special considerations” they are called. They sought advice from the LGPS governing body, who told them I was right , so eventually my APP was calculated on my salary scale but as if I’d continued to work full time. The evidence that the previous reduction was due to the same condition was clear as was with same employer via their occ health team. 

If you ignore the numbers for a minute and look at it qualitatively, the point of this legislation is to give parity to people who develop long term conditions in recognition that these may start to impact on your earning ability long before you have to completely give up work. 

It is one of the issues the Equality Act is meant to look at. It doesn’t matter if it’s 2 hrs or 10 or 1 yr or 10. It’s also why APP is a notional figure not an actual one - because it is designed to give parity in these situations. I had to hunt all this info out and send the relevant legislation and quotes to my employer to even get them to understand this is a real thing, including sending the ‘guide for LGPSpayroll’ to … my LGPS payroll dept…You couldn’t make it up. . Due to pandemic my sick leave-retirement took 2 years where usually would have been one and I would not have been in any fit state to consider this but after 2 years I could, although it was exhausting. It won me an extra £4k pa pension and increased lump sum. Nothing in any of the literature sent to me by my actual employer indicated this is possible. They keep it very well hidden. You can challenge any outcome within 6 months I believe, although given it’s all covered in law, if they’ve failed you I would challenge it irrespective of deadline, and go to ombudsman if nec. . Hope this is helpful. 

Higher22

Sorry- meant to add you are entitled to see a copy of the medical certificate once it’s signed (not just after the event) ; check it carefully because mine hadn’t been adequately filled in and had to be amended twice at my request as occ health, who should have sorted this out, didn’t understand the importance of the questions for my pension.