Article 7 Preparation of schemes

(1)

Any scheme prepared by an existing authority shall, subject to paragraph (2) below, provide for the transfer of employees of that authority in accordance with the following criteria:—

(a)

any person included in the scheme who is employed wholly or mainly for the purposes of the functions referred to in section 91(1)(b) of the 1994 Act shall be transferred to the water and sewerage authority responsible after 31st March 1996 for the function for the purposes of which the person is wholly or mainly employed;

(b)

any other person included in the scheme shall be transferred to the new local authority responsible after 31st March 1996 for the function for the purposes of which the person is wholly or mainly employed.

(2)

Where it appears to an existing authority that—

(a)

neither of the criteria specified in paragraph (1) above is adequate to determine the new authority to which such an employee should transfer; or

(b)

taking into consideration the matters referred to in article 6 above, it is not appropriate to transfer such an employee by reference to the criteria specified in sub-paragraph (b) of that paragraph,

that existing authority may, in preparing a scheme, apply other criteria in respect of such an employee.

(3)

Other criteria applied in accordance with paragraph (2) above shall be specified in any scheme to which they apply.