LGPS ill health retirement

madeye25

Thanks again to everyone for their advice and support.

Durham Pension team (previous employer) are due to make a decision early April, although a date hasn't been set for the panel to review my partners case, we have been advised it isn't far away.

Current employer are now proceeding with the ill health retirement process.  HR have referred the case to Occupational Health and provisional date in early May has been set for a Chief Officer to review my partner for ill health dismissal.  This requires current employer Occupational Health to complete their process.

I am still frustrated that current employer took over 5 months to refer my partner to Occupational Health, they indicated that they had not deliberately delayed, but wanted to see if my partners prognosis and return to work would improve over time - a bit of a contradiction as the wait and see approach taken has indeed been a deliberate delay.  I suppose they mean that they have delayed with the best intentions.

Anyway, let us see what the next few weeks bring, but at least the two LGPS pensions are going through the same process and there now isn't any confusion that my partner has applied for her deferred benefits but then wants to continue with work at her current employer.  She has applications in for ill health retirement under both schemes now.

Silvertabby

madeye25 said:

Thanks again to everyone for their advice and support.

Durham Pension team (previous employer) are due to make a decision early April, although a date hasn't been set for the panel to review my partners case, we have been advised it isn't far away.

Current employer are now proceeding with the ill health retirement process.  HR have referred the case to Occupational Health and provisional date in early May has been set for a Chief Officer to review my partner for ill health dismissal.  This requires current employer Occupational Health to complete their process.

I am still frustrated that current employer took over 5 months to refer my partner to Occupational Health, they indicated that they had not deliberately delayed, but wanted to see if my partners prognosis and return to work would improve over time - a bit of a contradiction as the wait and see approach taken has indeed been a deliberate delay.  I suppose they mean that they have delayed with the best intentions.

Anyway, let us see what the next few weeks bring, but at least the two LGPS pensions are going through the same process and there now isn't any confusion that my partner has applied for her deferred benefits but then wants to continue with work at her current employer.  She has applications in for ill health retirement under both schemes now.

I do hope things work out for you, but I'm afraid that I feel that I must point out that 'Ill Health Dismissal' means dismissal without access to pension benefits.  

Was that the exact term used by your partner's current HR?

madeye25

Well it turns out that both local authorities use the same Occupational Health provider, which helps simplify things.

A pensions panel meeting (previous employer) was scheduled for next week, however my partner received a letter in the post today stating that the deferred LGPS pension is payable and requesting details to allow payment.  I have flagged with previous employer pension team and HR - HR simply stated this is a little odd and would seek feedback from the pension team.

As I understand it, this pension would be payable for life? However should my partner return to work at some point in the future, would she be able to cancel the pension payment, it go back into deferment and she continue to pay into a LGPS pension again? As you had mentioned previously, it isn't possible to receive LGPS pension payment and pay into one at the same time?

Current employer will almost certainly end her employment next month and consider her for the 3 tiered ill health scheme.  With Occupational Health being the same and already in receipt of all required evidence, I think this should take weeks as opposed to months, but lets see.

Silvertabby

Using the same Occ Health will indeed simplify matters, but they will still have to apply the appropriate criteria to each case.

In the case of the deferred record, Occ Health will only look at the physical requirements of that particular role, regardless of what your partner is doing (or would be doing, if she wasn't on sick leave) and make their assessment on that.  If the deferred role was indeed more physical then that will have been factored into their decision.  Once brought into payment, it will be for life, including being fully index linked from date of payment. 

As for her current post, are you absolutely sure what was said?  You mentioned "Ill Health Dismissal" previously, which is dismissal on the grounds of ill health, but employee doesn't meet the criteria for Ill Health retirement with immediate access to pension benefits.  Yet now you mention that they are considering her under the Tier scheme.  If that is awarded, then only Tiers 1 & 2 are payable for life (Tier 1 = 100% of enhanced service to SPA, Tier 2 = 25% of enhanced service to SPA).  Tier 3, on the other hand, has no enhancement, but is just paid without any early payment reductions - and only lasts for up to 3 years, at which point the payments stop and the record becomes deferred.  Unless another Ill Health review decides otherwise.

If your partner is awarded these benefits under ill health grounds, then she can certainly re-join the LGPS if she is fit to do so.  But a Tier 3 pension would be stopped, if still in payment.  Or, if in receipt of Tier 1 or 2, and she became too ill to work again, then she wouldn't be able to claim any further ill health benefits.

madeye25

My partner will be reviewed to see which of the 4 options is most appropriate:

Tier 1, Tier 2, Tier 3 or no Tier (ill health dismissal) - a decision hasn't been made, I had just used the wrong language in my previous post (I hadn't appreciated the importance of the terminology).

The final paragraph, does that apply to the deferred pension? It is possible to continue to be paid deferred pension and then return to work at some point in the future?

I have no idea what decision will be made so this is hypothetical:

She is awarded her deferred pension and also Tier 3.  After say 3 years she can return to work in a role that has LGPS, Tier 3 benefits stop, deferred pension continues and she can pay into a new LGPS?  Therefore receiving LGPS benefits as well as paying into them at the same time?

Silvertabby

Hypothetically, yes.  She could return to work (and join the LGPS) and continue to receive the deferred AND the Tier 1 or 2 benefits.  But if she then again became too ill to work, she wouldn't be eligible for further ill health benefits.

But ill health retirements are complex, with many factors to take into account.  

madeye25

Understood, thank you