Working Whilst Receiving Pension Benefits
Changes in tax legislation allowed the introduction of “flexible retirement” which gives employers the discretion to pay pensions to employees who reduce their hours or grade as they get older.
Because of this change, our policy for reducing or suspending pensions during periods of re-employment has been reviewed. The Pensions Committee approved a policy which no longer requires any reduction or suspension of pension during re-employment in local government.
One exception to this is if you were given additional years because you retired on redundancy/service efficiency grounds (shown on your payslip as COMPSCC or COMPOTHER). This part of your pension will still have to be adjusted where necessary because there is no discretion available to remove the reduction and suspension rules in respect of compensation.
Please note that this change does not apply to teachers’ or firefighters’ pensions.
If you think you may be affected in any way, please contact the Pensions Team for advice.