Monday, 24 February 2014

Lump Sum offer to buy out of enhancement rights


Following a ballot; UNISON and UNITE opted into a five year pay deal with Oxford City Council employers for their members.
 

One of the aspects of this pay deal involved the possibility of selling your rights of enhancements you receive such as overtime and weekend working.

What this means, if you accept a lump sum payment you will forfeit your right to enhanced payments and any subsequent weekend work or overtime will result in only basic pay, not at the enhanced rate.

This is your individual decision to make.

UNISON members AGREED with the decision to give members this opportunity: whether you decide to or not is a decision that can only be made by you.

You will receive a letter from Human Resources that outlines how much lump sum they are willing to offer you if you wish to take up the opportunity.

Advantages of choosing lump sum:

Ø  Cash lump sum, based on the average amounts of what you have been paid in the past.

Ø  Future payments of enhancements and overtime will be pensionable meaning you will be paying more into your Pension.

 
Disadvantages of choosing lump sum:

Ø  You lose future benefit of enhanced payments

Ø  If you are in the Pension Scheme and you do not continue to be paid enhanced payments that become pensionable; then, you will not benefit from these additional contributions when you retire.

Ø  Lump sum is subject to tax and national insurance just like the enhanced payments.
 

The offer is available to you until 7th March 2014 – if you choose to accept the Lump Sum you will need to return the slip at the bottom of the letter that Human Resources will send you.
 

If you have any questions, please speak to your UNISON representative or contact the Branch Office on 01865 252522

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