DECEMBER 2007
Summary
1. NILGOSC undertook to carry out an
impact assessment of any new policy when it published its Equality Scheme. This
document is the impact assessment of the Committee' Pension Scheme Discretions.
2. If you require a copy of this document
in an alternative format (such as in large print, in Braille, on audio
cassette, easy read or on computer disc) and/or language, please contact us to
discuss your requirements.
3. NILGOSC is the Northern Ireland Local
Government Officers’ Superannuation Committee – in other words it is the
government body which administers the Local Government Pension Scheme (LGPS).
The LPGS is legislation which is made by the Department of the Environment (the
Department).
4. As an employer in the Scheme NILGOSC is
required to have a policy on how it will exercise its discretion over certain
aspects of the Scheme. The policy is referred to as the Pension Scheme
Discretions. It is NILGOSC's own policy, each employer in the Scheme is
required to have a policy on these matters.
5. The Discretions cover what
circumstances the Committee may allow early/flexible retirement, re-admittance
to the Scheme and the availability of a shared-cost AVC scheme.
6. There is an adverse impact on people of
different age because the early/flexible retirement options are only available
to employees aged 50 years or over. There is an adverse impact on people who
have a disability as re-admittance to the Scheme after leaving twice before is
only available to employees of good health. There is an adverse impact on
people who have a dependant or who are married because those people are more
likely to be able to avail of the Compassionate grounds for early retirement.
7. Comments on this impact assessment can
be made in person, by telephone, by email or by writing to Jennifer Campbell
who can be contacted as follows:
Post/Person: NILGOSC,
Templeton House,
Phone: 028
9076 8025
TYPETALK: 18001
028 90768025 (for people using a text phone)
Fax 028
9076 8790
Email: info@nilgosc.org.uk
8. A
copy of this impact assessment is available on the NILGOSC website which is http://www.nilgosc.org.uk/equality.htm.
In addition, the results of the impact assessment will also be posted on the
website.
Contents
|
|
|
Page
|
|
1. |
Introduction |
4 |
|
2. |
What is
NILGOSC? |
4 |
|
3. |
The Policies
Under Review |
4 |
|
4. |
Consideration
of Available Data and Research |
7 |
|
5. |
Assessment of
Impacts |
8 |
|
6. |
Consideration of
Alternatives or Methods of Mitigation |
13 |
|
7. |
Formal
Consultation |
13 |
|
8. |
Policy Decision
Following Consultation Exercise |
14 |
|
9. |
Publication of
Results |
14 |
|
|
|
|
|
Annex A |
List of Bodies
to be Consulted |
16 |
If you require a copy of this document in an
alternative format (such as in large print, in Braille, on audio cassette, easy
read or on computer disc) and/or language, please contact us to discuss your
requirements.
Post/Person: NILGOSC, Templeton House,
Phone: 028 9076 8025
TYPETALK: 18001 028 90768025 (for people using a
text phone)
Fax 028 9076 8790
Email: info@nilgosc.org.uk
1. Introduction
1.1 In April 2000 the Northern Ireland Local
Government Officers’ Superannuation Committee (NILGOSC) published its Equality
Scheme. In the Scheme it set out its commitment to expose any new policies to
an equality impact assessment.
1.2 This document assesses the impact of the
Committee's Policy Statement on Employer Discretions on the nine groups
specified in Section 75 of the Northern Ireland Act 1998 with which NILGOSC is
committed to have due regard to the need to promote equality of opportunity.
These groups are:-
·
persons
of different religious belief, political opinion, racial group, age, marital
status or sexual orientation
·
men
and women generally
·
persons
with a disability and persons without
·
persons
with dependants and persons without.
2. What
is NILGOSC?
2.1 NILGOSC is the pension scheme for the
employees of over 200 public sector organisations in
2.2 NILGOSC is managed by a Committee
appointed by the Department of the Environment. The Department also make the
pension scheme legislation. The staff of NILGOSC undertake the administration
of the Scheme rules as a service to the employers in the Scheme. Each employer
in the Scheme is also responsible for complying with the Scheme rules.
3. The Policy Statement on Employer's
Discretions
3.1 All employers in the Northern Ireland
Local Government Pension Scheme have the power to make their own decisions
about certain aspects of the scheme.
3.2 In order to exercise these powers each
employer is required, under regulation 108 of the Local Government Pension
Scheme Regulations (
3.3 NILGOSC is an employer of 45 staff in the
Northern Ireland Local Government Pension Scheme and therefore is required to
have such a policy.
3.4 A summary of the discretions which
NILGOSC can apply is as follows:-
|
Benefit |
Discretion |
|
To allow employees aged over 50 and less than
60 who request to leave to receive their benefits early |
Each request from existing staff members will
be judged equally on its own merits and this discretion will only be
exercised on compassionate grounds or when the cost of funding the early
retirement, calculated by the Committee’s actuary, can be off set by the cost
saving of release within a three-year period |
|
To allow former employees over age 50 and less
than 60 with preserved benefits for membership after 31 January 2003 to
receive early payment of their benefits. |
Early payment of benefits for former employees
will only be considered in exceptional circumstances on compassionate grounds |
|
To waive the reduction to benefits where the
85-year rule is not satisfied for employees and former employees allowed to
retire over age 50 and under age 60 and for employees and former employees
who voluntarily retire over age 60. |
Requests to waive the reduction in benefits
where the 85-year rule is not satisfied will only be considered in
exceptional circumstances on compassionate grounds. |
|
Award of additional membership to Employees who
leave the Scheme |
Membership may be awarded to those leaving the
Committee’s employment on redundancy or in the interests of efficiency of the
service in accordance with an agreed severance package, or on compassionate
grounds. |
|
Award of additional membership to Employees
joining the Scheme |
Membership may be awarded in rare and
exceptional circumstances when it is deemed absolutely necessary as an
inducement to attract and retain a new employee who has specialist skills and
experience required by the Committee. |
|
Benefit |
Discretion |
|
Award of additional membership to Employees who
are active members of the Scheme |
This discretion will only be exercised in rare and
exceptional circumstances when it is deemed absolutely necessary as an
inducement to prevent an employee who is an active member, who has
exceptional specialist skills and experience required by the Committee, from
leaving the Committee’s employment. |
|
To provide a shared-cost AVC scheme. |
The Committee allows all employees to increase
their death in service grant up to a maximum of 4 years pensionable pay. Two
years cover is currently provided under the main Pension Scheme benefits. The
Committee will contribute 50% of the SCAVC cost for any employee who takes
out an SCAVC arrangement with the in house scheme AVC provider(s) to provide
further death in service cover up to a maximum of 2 years pensionable pay. |
|
To allow an employee who has opted –out of the
Scheme more than once to re-join the Pension Scheme. |
The Committee will allow employees who have
opted out of the scheme more than once to rejoin, provided the employee
requesting to rejoin satisfies the Committee that (s)he is in good health. This
may require the employee to pass a medical to the Committee’s
satisfaction. |
|
To allow early payment to members who are aged
50 or over and who reduce their hours or the grade in which they are
employed. |
The Committee will allow early payment to
employees meeting the terms of its Flexible Retirement Policy are met. |
|
To waive, in whole or in part, the reductions
to the benefits for early payment to members who are aged 50 or over and who
reduce their hours or the grade in which they are employed on Compassionate
Grounds |
Requests to waive the reduction in benefits
will only be considered in exceptional circumstances in accordance with the
criteria for compassionate grounds. |
3.5 The main criteria the Committee will
consider as exceptional circumstances for compassionate grounds are to allow
employees or former employees to care for a sick spouse, civil partner,
co-habiting partner, parent, child, sibling or other dependant, or on grounds
of severe financial hardship. Before exercising this discretion the Committee
will require:
§
Full details of the exceptional
circumstances and any supporting evidence.
§
Details of all employments held since
leaving the Committee’s employment and details of pensions deferred or in
payment and any other benefits payable.
§
Medical reports, if appropriate, to
support a case of retirement to look after an elderly or infirm spouse, civil
partner, co-habiting partner, child, parent, sibling or other dependant.
§
Confirmation in severe financial hardship
cases that the hardship would not be better assisted by the Department of
Social Development and the effect the payment of scheme benefits would have on
the receipt of any state benefits the member is entitled to.
3.6 The terms of the Flexible Retirement
policy are:-
§
Requests from staff to be made in writing
§
Management will consider the change in
hours/post on its own merits taking into account the need to deliver services
effectively and efficiently, the financial implications of granting the
application and the circumstances of granting each application.
§
Requests, for a current or new post, must
reflect either a minimum reduction of 1 day per week (pro-rata for part-time
posts) or a minimum reduction of one full grade.
§
Applicants must intend to remain in new post
for a minimum of 1 year or to age 65 if less.
§
Employees cannot agree to pay the employer
strain on Fund costs. This is a cost which must be borne by employers.
§
Employees will only be allowed one
flexible retirement but that one further request for flexible retirement will
be considered on its own merits and based on the need to deliver services
effectively and efficiently together with the financial implications of
granting the application. A third request for flexible retirement will not be
allowed.
§
An employee cannot flexibly retire after
age 65.
4. Consideration
of Available Data and Research
4.1 The following quantitative data was used
in undertaking the impact assessment:-
·
NILGOSC
employee monitoring data 2007
4.2 The statistics were used to show the
possible extent of the impact on particular groupings. However in order to
identify adverse impacts research undertaken by NILGOSC staff was utilised.
This research included the analysis of the likely impact on the various groups
once the policy was introduced. A fundamental difficulty with the research was
that a simple analysis of take up of the policy was not possible because the
policy was not in operation.
5. Assessment
of Impacts
5.1 Impact
on those of different Religious Beliefs
5.1.1 NILGOSC holds information on the religious
beliefs of its employees which indicated the following split between the major
categories:-
|
Religion |
Percentage of Staff |
|
Protestant |
71.11% |
|
Roman Catholic |
17.78% |
|
Other |
11.11% |
5.1.2 Any employment policy implemented by NILGOSC
will apply to staff regardless of their religious belief therefore the
application of the Pension Scheme Discretions should result in a greater
take-up by Protestant employees when compared to the other groups simply
because there are more Protestants employed than other groups.
5.1.3 However there is nothing inherent in the
Pension Scheme Discretions per se that would give rise to an adverse impact on
persons of different religious beliefs.
5.2 Impact
on those of different Political Opinion
5.2.1 NILGOSC holds information on the political
opinions of its employees which indicated the following split between the major
categories:-
|
Religion |
Percentage of Staff |
|
Nationalist |
6.67% |
|
Unionist |
28.89% |
|
Other |
17.78% |
|
Did not disclose |
46.66% |
5.2.2 Any employment policy implemented by NILGOSC
will apply to staff regardless of their political belief therefore the
application of the Pension Scheme Discretions should result in a greater
take-up by Unionist employees when compared to the other groups simply because
there are more Unionists employed than other groups.
5.2.3 However there is nothing inherent in the
Pension Scheme Discretions per se that would give rise to an adverse impact on
persons of different political opinions.
5.3 Impact on
those of Different Race
5.3.1 NILGOSC holds information on the race of its
employees which indicated the following split between the major categories:-
|
Race |
Percentage of Staff |
|
Chinese |
2.22% |
|
White |
86.67% |
|
Did not disclose |
11.11% |
5.3.2 Any employment policy implemented by NILGOSC
will apply to staff regardless of their race therefore the application of the
Pension Scheme Discretions should result in a greater take-up by White
employees when compared to the other groups simply because there are more White
people employed than other groups.
5.3.3 However there is nothing inherent in the
Pension Scheme Discretions per se that would give rise to an adverse impact on
persons of different race.
5.4 Impact on those of different Age
5.4.1 NILGOSC holds information on the age of its
employees which indicated the following split between the major categories:-
|
Age Band |
Percentage of Staff |
|
20-24 |
6.67% |
|
25-29 |
11.11% |
|
30-34 |
13.33% |
|
35-39 |
17.78% |
|
40-44 |
13.33% |
|
45-49 |
17.78% |
|
50-54 |
11.11% |
|
55-59 |
6.67% |
|
60-65 |
2.22% |
5.4.2 A number of the Pension Scheme Discretions
are age specific. In summary only those employees who are aged 50 or over are
eligible for receipt of their pension benefits. Therefore only 20% of NILGOSC
staff could benefit from the Discretions that are age specific.
5.4.3 The requirement that employees must be aged
50 or over is not imposed by the Pension Scheme Discretions but rather it is a
requirement of the Local Government Pension Scheme Regulations. Nevertheless
the exercise on the Pension Scheme Discretions that are age specific will give
rise to an adverse impact on account of age.
5.5 Impact on those of different Marital Status
5.5.1 NILGOSC holds information on the marital
status of its employees which indicated the following split between the major
categories:-
|
Marital Status |
Percentage of Staff |
|
Married/Co-Habiting/Civil Partner |
46.67% |
|
Separated/Divorced |
4.44% |
|
Single |
24.44% |
|
Did not disclose |
24.44% |
5.5.2 Any employment policy implemented by NILGOSC
will apply to staff regardless of their marital status therefore the
application of the Pension Scheme Discretions should result in a greater
take-up by Married/Co-habiting employees when compared to the other groups
simply because there are more Married/Co-Habiting people employed than other
groups.
5.5.3 The Pension Scheme Discretions set out the
grounds on which benefits will be awarded on Compassionate Grounds which
includes "to care for a sick spouse, civil partner, co-habiting partner,
parent, child, sibling or other dependant".
5.5.4 Married/Co-habiting people are therefore more
likely to have grounds to avail of the Compassionate grounds as they are more
likely to have a dependant partner. There is therefore an adverse impact on the
grounds of Marital Status
5.6 Impact on
those of different Sexual Orientation
5.6.1 NILGOSC holds information on the sexual
orientation of its employees however a large proportion of staff did not answer
this monitoring question. 75.56% of staff recorded that they were heterosexual.
5.6.2 Any employment policy implemented by NILGOSC
will apply to staff regardless of their sexual orientation therefore the
application of the Pension Scheme Discretions should result in a greater
take-up by Heterosexual employees when compared to the other groups simply
because there are more heterosexual
people employed than other groups.
5.6.3 However there is nothing inherent in the
Pension Scheme Discretions per se that would give rise to an adverse impact on
persons of different sexual orientation.
5.7 Impact on those of different Gender
5.7.1 NILGOSC holds information on the gender of
its employees which indicated the following split between the major
categories:-
|
Gender |
Percentage of Staff |
|
Male |
28.89% |
|
Female |
71.11% |
|
Transgendered |
0.00% |
5.7.2 Any employment policy implemented by NILGOSC
will apply to staff regardless of their gender therefore the application of the
Pension Scheme Discretions should result in a greater take-up by Females
employees when compared to the other groups simply because there are more
Females employed than other groups.
5.7.3 However there is nothing inherent in the
Pension Scheme Discretions per se that would give rise to an adverse impact on
persons of different gender.
5.8 Impact on those of
with and without a disability
5.8 NILGOSC holds information on employee
disability which indicated the following split between the major categories:-
|
Disability |
Percentage of Staff |
|
Yes |
0.00% |
|
No |
86.67% |
|
Did Not Answer |
13.33% |
5.8.2 Any employment policy implemented by NILGOSC
will apply to staff regardless of disability therefore the application of the
Pension Scheme Discretions should result in a greater take-up by persons
without a disability when compared to the other groups simply because there are
more persons without a disability employed than other groups.
5.8.3 The Pension Scheme Discretion regarding
re-admission to the scheme states that if an employee has opted-out of the
scheme twice and wishes to rejoin they may only do so if in good health. Good
health is determined by the Committee's Doctor to the extent that a person who
it appears to be likely to retire on ill-health grounds before 65 will not be
deemed to be of good health. Therefore this Discretion will adversely impact on
those disabled persons who have a condition that would necessitate ill-health
retirement.
5.8.4 As no staff at NILGOSC have stated they have
a disability then it could be argued that the adverse impact is zero. However
13.33% of staff did not answer the monitoring question and therefore may be
disabled.
5.9 Impact
on those of with and without dependants
5.9.1 NILGOSC holds information on employee
dependants which indicated the following split between the major categories:-
|
Dependants |
Percentage of Staff |
|
Yes |
46.67% |
|
No |
28.89% |
|
Did not disclose |
24.44% |
5.9.2 Any employment policy implemented by NILGOSC
will apply to staff regardless of whether they have dependants therefore the
application of the Pension Scheme Discretions should result in a greater
take-up by those who do have dependants when compared to the other groups
simply because there are employees with dependants employed than other groups.
5.9.3 The Pension Scheme Discretions set out the
grounds on which benefits will be awarded on Compassionate Grounds which
includes "to care for a sick spouse, civil partner, co-habiting partner,
parent, child, sibling or other dependant".
5.9.4 Those staff with dependants are therefore
more likely to have reason to avail of the Compassionate grounds as they are
more likely to have a dependant. There is therefore an adverse impact on those
staff without dependants. At least 28.89% of staff do not have dependants.
6. Consideration
of Alternatives or methods of mitigation
6.1 There are no alternatives or methods of
mitigating the adverse impacts.
6.2 The requirement that early retirement can
only be made to those employees over 50 is a requirement of the Local
Government Pension Scheme Regulations, not the Pension Scheme Discretions
exercised by NILGOSC. NILGOSC could however choose not to exercise these
options because they are age discriminatory however it would remove a key
business tool for dealing with human resources.
6.3 The requirement that only those employees
that are of good health will be allowed to re-join the scheme a third time is
designed to protect the funding of the scheme from the significant cost
associated with ill-health retirement. The funding of the scheme is based on an
assumption that there is a certain probability of a member retiring on ill
health grounds therefore if a member only joins the scheme once it is known
that they are unfit, and likely to retire on ill- health grounds, this would no
only be unfair to other scheme members who have made pension contributions but
would skew the costs of the scheme.
7. Formal Consultation
7.1 This impact assessment is subject to a
formal consultation exercise. Consultees included those individuals and
organisations (see Annex A) listed in Appendix I of the Committee’s Equality
Scheme and amended by experience. A public notice will be placed inviting
comment from the general public and other stakeholders.
7.2 The formal consultation exercise
commenced on 20 December 2007 and will allow 12 weeks for comments to be
received.
7.3 This document is available in printed
form by contacting NILGOSC at Templeton House, 411 Holywood Road, Belfast, BT4
2LP, telephone number 028 90768025. If
you require a copy of this document in an alternative format (such as in large
print, in Braille, on audio cassette, easy read or on computer disc) and/or
language, please contact us to discuss your requirements.
7.4 The results of impact
assessments will be posted on the NILGOSC website which is http://www.nilgosc.org.uk/equality.htm
7.5 Comments
can be made in person, by telephone, by email or by writing to Jennifer Campbell
who can be contacted as follows:
Post/Person: NILGOSC, Templeton House,
Phone: 028 9076 8025
TYPETALK: 18001 028 90768025 (for people using a text phone)
Fax 028 9076 8790
Email: info@nilgosc.org.uk
8. Policy Decision Following Consultation
Exercise
8.1 This
impact assessment is a review of a policy not yet in operation. No action will
be taken until the consultation exercise is complete in order that comments received
can be taken into account.
9. Publication of Results
9.1 NILGOSC
will publish by the most appropriate method to those listed in Annex A and any
other organisation representing some or all of the stakeholders, the outcome of
this equality impact assessment and any monitoring undertaken.
9.2 This
material will also be available in printed form by contacting NILGOSC at
Templeton House,
9.3
A copy of this impact assessment is available on the NILGOSC website which is http://www.nilgosc.org.uk/equality.htm.
In addition, the results of the impact assessment will also be posted on the
website.
9.4 The report on the impact assessment will
include:
§
Executive
summary
§
Details
of the procedures being assessed
§
Collection
of data
§
Key
findings
§
Conclusions
Annex A
List
of Bodies Consulted
NILGOSC has compiled
the following list of consultees for all matters with a special emphasis on
those who are affected by the pension scheme policies.
This list was
subject to consultation in 2000 and amended as a result.
The list below is
not exhaustive and may be amended in the light of experience.
List of
Organisations/Groups to Consult
NILGOSC
Staff
Abode Housing Association Limited
Acorn Integrated Primary School
Antrim Borough Council
Arc21
Ards Borough Council
Ards Citizens' Advice Bureau
Ark Housing Association Northern Ireland Ltd
Arts Council of
Ballymena Borough Council
Ballymoney Borough Council
Ballynafeigh Housing Association Limited
Banbridge District Council
Belfast Community Housing Association Limited
Belfast Institute of Further and Higher Education
BIH Housing Association Limited
Braidside Integrated Primary & Nursery School
Bridge Integrated Primary School
Carrickfergus Borough Council
Castlereagh Borough Council
Causeway Institute of Further and Higher Education
Cedar Integrated Primary School
Citizens Advice
Citybus Limited
Coleraine Academical Institution
Coleraine Borough Council
Comhairle na Gaelscolaiochta
Community Relations Council
Connswater Homes Ltd
Construction Industry Training Board
Cookstown District Council
Council for Catholic Maintained Schools
Council for the Curriculum, Examinations and
Assessment
Countryside Recreation Northern
Covenanter Residential Association Limited
Craigavon Borough Council
Donacloney Housing Association Ltd
Down District Council
Drumlins Integrated Primary School
Drumragh Integrated College
Dungannon & South Tyrone Borough Council
East Antrim Institute of Further and Higher
Education
East Down Institute of Further and Higher Education
Engineering Training Council for
Enniskillen Integrated Primary School
Erne Integrated College
Fermanagh District Council
Filor Housing Association Limited
Flax Housing Association Limited
Fold Housing Association
Foyle and
General Teaching Council for
Glenmona Resource Centre
Gosford Housing Association
Grove Housing Association Limited
Habinteg Housing Association (
Hazelwood Integrated Primary School
Hearth Housing Association Limited
Ilex Urban Regeneration Company Limited
Integrated College Dungannon
Jordanstown Schools
Kingdoms of Down Tourism Ltd
Larne Borough Council
Limavady Borough Council
Linen Hall Library
Lisburn City Council
Lisburn Institute of Further and Higher Education
Livestock & Meat Commission for
Local Government Staff Commission
Loughview Integrated Primary School
Magherafelt District Council
Mill
Millennium Forum
Millennium Integrated Primary School
Mourne Heritage Trust
Moyle District Council
New-Bridge Integrated College
Newry & Mourne District Council
North & West Housing Limited
North Down and Ards Institute of Further and Higher
Education
North Down Borough Council
North East Institute of Further and Higher
Education
North Eastern Education and Library Board
Northern Ireland Co-Ownership Housing Association
Limited
Northern Ireland Railway Company Limited
Northern Ireland Transport Holding Company
Oakgrove Integrated College
Oakgrove Integrated Primary School
Oaklee Housing Association
Oakwood Integrated Primary School
Omagh District Council
Omagh Integrated Primary School
Our Lady & St Patrick's College
Our Lady's Grammar School
Portadown Integrated Primary School
Presbyterian Housing Association (NI) Limited
Probation Board for
Rainey Endowed School
Royal
Royal
Rural Development Council for
Rural Housing Association
Sacred
Saints and Scholars Integrated Primary School
SHAC Housing Association
Shimna Integrated College
Slemish Integrated College
South Eastern Education and Library Board
South Ulster Housing Association Limited
Southern Education and Library Board
Southern
Sperrin Integrated College
Sports Council for
Sports Institute
St Columb's College
St Dominic's High School
St MacNissi's College
St Malachy's College
St Mary's Christian Brothers
St Mary's Grammar School
St Mary's
St Matthew's Housing Association Limited
St Michael's College
St Patrick's Academy
St Patricks Grammar School
Staff Commission for Education and Library Boards
Strabane District Council
Trinity Housing
Ulidia Housing Association Limited
Ulidia Integrated College
Ulsterbus Limited
United Dairy Farmers
Western Education and Library Board
Windmill Integrated Primary School
Woodvale & Shankill Housing Association Limited
Youth Council for
Youth Justice Agency For NI
Youthnet
Equality Commission for NI
Community Relations Council
NIPSA
Department of the Environment
NI Council for Ethnic Minorities
Child Care Northern
Help the Aged
Coalition on Sexual Orientation
Disability Action
NI Anti-Poverty Network
Gingerbread
Committee on the Administration of Justice
NI Association for the Care and Resettlement of
Offenders
RNID NI
Age Concern