Dealing with absences
There are many types of member absences that you'll be faced with as an employer. It's important you know how to deal with these situations if they arise. Some examples include:
- Unpaid leave of absence
- Paid child related leave
- Unpaid child related leave
- Strike break because of a trade dispute
- Sickness
You should always inform us of the dates of an absence when a member decides to buy back lost pension. This can be done by your iConnect submission (if you submit an extract file) or by sending us form PEN004. If the member is on a period of maternity, paternity, or child related leave you should send us the dates through your iConnect submission (if you submit an extract file) or by completing form PEN005.
For employers who submit an extract file, please refer to the iConnect user guides (item 26 and 27) which can be found here.
What happens if a member is off sick?
During a period of sick leave your employer contributions will continue to be the same.
If the member receives any pay whilst off sick they'll pay contributions on this. However, their benefits will continue to build up as if they were working normally and receiving full pay.
If a member moves on to unpaid sick leave, they'll not pay any contributions. But, your employer contributions will continue as normal.
What pay is used to work out benefits if the member leaves the LGPS and has been on reduced or no pay?
You'll need to use the employee's assumed pensionable pay. Information on how to work out assumed pensionable pay can be found on the pensionable pay and assumed pensionable pay page.
Strike action
If a member goes on strike they can choose to cover the cost of the ‘lost’ pension through additional pension contributions (APCs). These can be paid regularly or as a one-off lump sum. For trade disputes (and any other unauthorised absences), the APC will always be fully funded by the member.
What do I need to do during strike action?
You must always:
Tell members about their right to buy ‘lost’ pension.
Tell them the amount lost and refer them to the LGPS website where they can find more information, along with the additional pension calculator and the required forms. This calculator will show them how much they need to pay to make up the lost pension.
If they don't have internet access you should help them with their calculation.
Action: You must let us know if a member's gone on strike and chosen to repay the contributions. You should also confirm when there has been a strike but none of the members took part. If they do take part you should let us know their name, national insurance number, payroll number(s), unique identifier(s) of the post(s) in which the member took industrial action (if they have more than one job) and the date(s) of absence.
If you don't tell us about a member paying back the lost pension, we'll assume that the day of the strike doesn’t count for pension purposes. This is particularly important for members with pre 1 April 2014 service, as lost membership still affects these benefits.
