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The Education and Libraries (Northern Ireland) Order 1993

Status:

This is the original version (as it was originally made).

Premature retirement compensation costs

31.—(1) After Article 53 of the 1989 Order there shall be inserted the following Article—

Premature retirement compensation costs

53A.(1) This Article applies in any financial year if—

(a)in the case of any board, the board’s financial provision for relevant schools is subject to regulation by a scheme; and

(b)in accordance with that scheme, premature retirement compensation costs of the board in relation to members of the staff of relevant schools are not included in the board’s aggregated budget for that year.

(2) Premature retirement compensation costs of a board in relation to a member of the staff of a relevant school shall not be met from the budget share of that school, except in pursuance of, and in accordance with the terms of, a direction under paragraph (3).

(3) Where there appears to a board to be good reason to do so in relation to any school, the board may direct that—

(a)a specified amount shall be deducted from the budget share of the school in any single specified financial year; or

(b)a specified amount shall be deducted from the budget share of the school in each financial year for such period (not exceeding 10 years) as may be specified,

in respect of premature retirement compensation costs of the board in relation to a member of the staff of the school.

(4) In paragraph (3) “specified” means specified in directions under that paragraph.

(5) The amount or (in a case falling within sub-paragraph (b) of that paragraph) the total amount to be deducted from the budget share of a school in pursuance of a direction given under paragraph (3) in relation to a member of the staff of a school shall not exceed such amount as appears to the board to represent the cost, capitalised as of the date on which the direction is given, of discharging the board’s liability to pay premature retirement compensation to, or in respect of, that member of staff.

(6) Where in pursuance of a direction under paragraph (3) an amount falls to be deducted from a school’s budget share at a time when the school does not have a delegated budget, that amount shall not be deducted from any sum made available out of that budget to the Board of Governors under Article 51.

(7) Sub-paragraph (5) of paragraph 7 of Schedule 4 applies for the purposes of paragraph (3) of this Article as it applies for the purposes of sub-paragraph (4) of that paragraph.

(8) In this Article—

“member of staff” includes former member of staff;

“premature retirement compensation” means compensation under Parts III and IV of the Teachers' (Compensation for Redundancy and Premature Retirement) Regulations (Northern Ireland) 1991(1);

“premature retirement compensation costs of a board”, in relation to any person, means the costs incurred or to be incurred by the board in paying premature retirement compensation to, or in respect of, that person..

(2) In Article 60 of the 1989 Order at the beginning of paragraph (3) there shall be inserted the words “Subject to paragraph (7A),” and after paragraph (7) there shall be inserted the following paragraphs—

(7A) An amount may, in pursuance of, and in accordance with the terms of, a direction under paragraph (7B), be deducted from the amount of any grant to be paid under this Article to the Board of Governors of any school.

(7B) Where there appears to the Department to be good reason to do so in relation to any school, the Department may direct that—

(a)a specified amount shall be deducted from the amount of any grant to be paid under this Article to the Board of Governors of the school in any single specified financial year; or

(b)a specified amount shall be deducted from the amount of any such grant to be so paid in each financial year for such period (not exceeding 10 years) as may be specified,

in respect of premature retirement compensation costs of the Department in relation to a member of the staff of the school.

(7C) In paragraph (7B) “specified” means specified in directions under that paragraph.

(7D) The amount or (in a case falling within sub-paragraph (b) of that paragraph) the total amount to be deducted in pursuance of a direction given under paragraph (7B) in relation to a member of the staff of a school shall not exceed such amount as appears to the Department to represent the cost, capitalised as of the date on which the direction is given, of discharging the Department’s liability to pay premature retirement compensation to, or in respect of, that member of staff.

(7E) In this Article—

“member of staff” includes former member of staff;

“premature retirement compensation” means compensation under Parts III and IV of the Teachers' (Compensation for Redundancy and Premature Retirement) Regulations (Northern Ireland) 1991(2);

“premature retirement compensation costs of the Department”, in relation to any person, means the costs incurred or to be incurred by the Department in paying premature retirement compensation to, or in respect of, that person..

(3) In Article 77 of the 1989 Order at the beginning of paragraph (2) there shall be inserted the words “Subject to paragraph (7),” and for paragraph (7) there shall be substituted the following paragraphs—

(7) An amount may, in pursuance of, and in accordance with the terms of, a direction under paragraph (7A), be deducted from the amount of any maintenance grant to be paid under this Article to the Board of Governors of any school.

(7A) Where there appears to the Department to be good reason to do so in relation to any school, the Department may direct that—

(a)a specified amount shall be deducted from the amount of any maintenance grant to be paid under this Article to the Board of Governors of the school in any single specified financial year; or

(b)a specified amount shall be deducted from the amount of any maintenance grant to be so paid in each financial year for such period (not exceeding 10 years) as may be specified,

in respect of premature retirement compensation costs of the Department in relation to a member of the staff of the school.

(7B) In paragraph (7A) “specified” means specified in directions under that paragraph.

(7C) The amount or (in a case falling within sub-paragraph (b) of that paragraph) the total amount to be deducted in pursuance of a direction given under paragraph (7A) in relation to a member of the staff of a school shall not exceed such amount as appears to the Department to represent the cost, capitalised as of the date on which the direction is given, of discharging the Department’s liability to pay premature retirement compensation to, or in respect of, that member of staff.

(7D) In this Article—

“member of staff” includes former member of staff;

“premature retirement compensation” means compensation under Parts III and IV of the Teachers' (Compensation for Redundancy and Premature Retirement) Regulations (Northern Ireland) 1991(3);

“premature retirement compensation costs of the Department”, in relation to any person, means the costs incurred or to be incurred by the Department in paying premature retirement compensation to, or in respect of, that person..

(4) After Article 115 of the 1989 Order there shall be inserted the following Article—

Premature retirement compensation costs

115A.(1) This Article applies in any financial year if—

(a)in the case of any board, the board’s financial provision for institutions of further education under its management is subject to regulation by a scheme; and

(b)amounts to meet premature retirement compensation costs of the board in relation to members of the staff of such institutions are not appropriated by the board for allocation in accordance with that scheme among institutions covered by the scheme.

(2) Premature retirement compensation costs of a board in relation to a member of the staff of an institution of further education covered by the scheme shall not be met from the budget share of that institution, except in pursuance of, and in accordance with the terms of, a direction under paragraph (3).

(3) Where there appears to a board to be good reason to do so in relation to any institution of further education, the board may direct that—

(a)a specified amount shall be deducted from the budget share of the institution in any single specified financial year; or

(b)a specified amount shall be deducted from the budget share of the institution in each financial year for such period (not exceeding 10 years) as may be specified,

in respect of premature retirement compensation costs of the board in relation to a member of the staff of the institution.

(4) In paragraph (3) “specified” means specified in directions under that paragraph.

(5) The amount or (in a case falling within sub-paragraph (b) of that paragraph), the total amount to be deducted from the budget share of an institution of further education in pursuance of a direction given under paragraph (3) in relation to a member of the staff of an institution shall not exceed such amount as appears to the board to represent the cost, capitalised as of the date on which the direction is given, of discharging the board’s liability to pay premature retirement compensation to, or in respect of, that member of staff.

(6) The fact that a board has a policy precluding dismissal of its employees by reason of redundancy is not to be regarded as a good reason for the purposes of paragraph (3).

(7) In this Article—

“member of staff” includes former member of staff;

“premature retirement compensation” means compensation under Parts III and IV of the Teachers' (Compensation for Redundancy and Premature Retirement) Regulations (Northern Ireland) 1991(4);

“premature retirement compensation costs of the board”, in relation to any person, means the costs incurred or to be incurred by the board in paying premature retirement compensation to, or in respect of, that person..

(5) After Article 119 of the 1986 Order there shall be inserted the following Article—

Recovery by Department of certain premature retirement compensation costs

119A.(1) Where the Department becomes liable to pay premature retirement compensation in relation to a member of the staff of a special school, the Department may, where there appears to the Department to be good reason to do so, direct that—

(a)a specified amount shall be charged to the responsible board in any single specified financial year; or

(b)a specified amount shall be charged to the responsible board in each financial year for such period (not exceeding 10 years) as may be specified,

in respect of premature retirement compensation costs of the Department in relation to that member of staff.

(2) In paragraph (1)—

“responsible board” means—

(a)in relation to a member of the staff of a controlled school, the board responsible for the management of the school;

(b)in relation to a member of the staff of a maintained school, the board by which the school is maintained;

“specified” means specified in directions under that paragraph.

(3) The amount or (in a case falling within sub-paragraph (b) of that paragraph) the total amount charged to a board in pursuance of a direction given under paragraph (1) in relation to a member of the staff of a special school shall not exceed such amount as appears to the Department to represent the cost, capitalised as of the date on which the direction is given, of discharging the Department’s liability to pay premature retirement compensation to, or in respect of, that member of staff.

(4) Where a board becomes liable to pay premature retirement compensation in relation to a member of the staff of—

(a)a controlled school which does not have a delegated budget under Part V of the 1989 Order; or

(b)an institution of further education which does not have a delegated budget under Part VII of that Order,

the Department may, where there appears to the Department to be good reason to do so, direct that—

(i)a specified amount shall be charged to that board in any single specified financial year; or

(ii)a specified amount shall be charged to the board in each financial year for such period (not exceeding 10 years) as may be specified,

in respect of premature retirement compensation costs of the board in relation to that member of staff.

(5) In paragraph (4) “specified” means specified in directions under that paragraph.

(6) For the purposes of paragraph (4)—

(a)a controlled school does not have a delegated budget during any period when the right of the Board of Governors of that school to such a budget is suspended under Article 53 of the 1989 Order;

(b)an institution of further education does not have a delegated budget during any period when the right of the governing body of that institution to such a budget is subject to any suspension, limitation or restriction under Article 117 of that Order.

(7) The amount or (in a case falling within sub-paragraph (ii) of that paragraph) the total amount charged to a board in pursuance of a direction given under paragraph (4) in relation to a member of the staff of a school or institution of further education shall not exceed such amount as appears to the Department to represent the cost, capitalised as of the date on which the direction is given, of discharging the board’s liability to pay premature retirement compensation to, or in respect of, that member of staff.

(8) Where the Department becomes liable to pay premature retirement compensation in relation to a person employed otherwise than at a grant-aided school or institution of further education, the Department may, where there appears to the Department to be good reason to do so, direct that—

(a)a specified amount shall be charged to the employer of that person in any single specified financial year; or

(b)a specified amount shall be charged to the employer of that person in each financial year for such period (not exceeding 10 years) as may be specified,

in respect of premature retirement compensation costs of the Department in relation to that employee.

(9) In paragraph (8) “specified” means specified in directions under that paragraph.

(10) The amount or (in a case falling within sub-paragraph (b) of that paragraph), the total amount charged to an employer in pursuance of a direction given under paragraph (8) in relation to an employee shall not exceed such amount as appears to the Department to represent the cost, capitalised as of the date on which the direction is given, of discharging the Department’s liability to pay premature retirement compensation to, or in respect of, that employee.

(11) Any amount charged by the Department to a board or an employer under this Article in any financial year shall be payable by the board or employer to the Department at such time or times and in such manner as the Department may direct.

(12) In this Article—

“member of staff” includes former member of staff;

“premature retirement compensation” means compensation under Parts III and IV of the Teachers' (Compensation for Redundancy and Premature Retirement) Regulations (Northern Ireland) 1991(5);

“premature retirement compensation costs of the board”, in relation to any person, means the costs incurred or to be incurred by the board in paying premature retirement compensation to, or in respect of, that person;

“premature retirement compensation costs of the Department”, in relation to any person, means the costs incurred or to be incurred by the Department in paying premature retirement compensation to, or in respect of, that person..

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