Download document

To: Chief Fire Officers
Chief Executives/Clerks to Fire Authorities
Chairs of Fire Authorities

Members of the Employers’ Side of the NJC
Directors of Human Resources (Fire Authorities)

6 April 2006

CIRCULAR EMP/5/06

Dear Sir/Madam

Long Service Bounty Payments

1. The 6th Edition of the Grey Book on the interim and protection arrangements stated that ‘Pending the introduction of pension arrangements for employees on the retained duty system the long-service bounty scheme at Section VII paragraph 15 of the fifth edition of this scheme of conditions of service shall continue to apply.’ (Grey Book 6th Edition Appendix B refers.
   
2. You will recall that Employers circular EMP/4/06 advised authorities that the effective date for the introduction of pension arrangements for Retained Duty System (RDS) firefighters had been identified as 6 April 2006 and that, in accordance with the Pay and Conditions Agreement 2003 the bounty scheme will no longer apply from that date.
   
3. However, EMP/4/06 went on to advise that the Employers were prepared to consider what, if any, phasing-out arrangements should be put in place and interim arrangements were included in the circular which would apply until the Employers had an opportunity to do so.
   
4. The Employers’ Side met earlier this week and agreed the following arrangements:
   
   • Bounty payments should be phased out over a period of 4 years and 364 days with effect from 6 April 2006.
   • The value of a bounty payment is frozen with effect from 5 April 2006 i.e. any service beyond that date does not add to the value of the bounty payment that an individual receives.
   • Bounty payments will be made on the date that they were originally due.
   • All employees must be in service on 6 April 2006 and have at least 5 years service on that date to be eligible for a pro-rata payment on the due date.
   • Once an individual has received a pro-rata payment on the due date, they drop out of the bounty scheme.
   • The phasing out arrangements do not apply to individuals who resign from the service on or after 6 April 2006. The only exception is that the above arrangements will also apply to individuals who retire before 6 April 2006.
     
5. With regard to the pro-rata calculation, the amount payable will be a proportion of the next ‘bounty’ due based on the precise length of service (i.e. calculated in years/months/weeks/days) as at 5 April 2006, and since the date on which he/she qualified for his/her previous bounty.
   
6. For example, an employee who is due to receive a 15-year bounty payment on 26 June 2009 will not receive a payment until that date. The payment they will receive will be a pro-rata amount calculated as in paragraph 5 above.
   
7. Please ensure that this information is also forwarded to the Finance/Payroll sections of your fire and rescue services.
   
   Electronic Comminications
   
8. Authorities will be aware that from the 3 April 2006 the Employers’ Organisation for Local Government became the new Local Government Employers (LGE). This new body will take forward work on pay, pensions and the employment contract. It will also continue to provide the Employers’ Side Secretariat of the NJC for Local Authority Fire and Rescue Services. You will wish to note the new website and email details:

Website: www.lge.gov.uk
Fire Queries: firequeries@lge.gov.uk

Yours sincerely

Jacky Teasell
Negotiating Officer