Regulation 14 Long term compensation for loss of employment

(1)

Subject to the provisions of these regulations, long term compensation for loss of employment may be paid until the normal retiring age or death of a person to whom it is payable, whichever first occurs, but shall not exceed a maximum annual sum calculated in accordance with the provisions of paragraphs (2), (3) and (4) of this regulation.

(2)

The said maximum annual sum shall, subject as hereinafter provided, be the aggregate of the following sums, namely—

(a)

for every year of the reckonable service of the person to whom the compensation is payable, one sixtieth of the net annual emoluments which he has lost; and

(b)

in the case of a person who has attained the age of forty years at the date of the loss, a sum calculated in accordance with the provisions of paragraph (3) of this regulation as being appropriate to his age at that date:

Provided that the said maximum annual sum shall not in any case exceed a sum equivalent to two thirds of the net annual emoluments which he has lost reduced in accordance with paragraph (4) of this regulation.

(3)

The sum referred to in sub-paragraph (b) of the last foregoing paragraph shall be—

(a)

in the case of a person who has attained the age of forty years but has not attained the age of fifty years at the date of the loss, the following fraction of the net annual emoluments which he has lost—

(i)

where his reckonable service is less than ten years, one sixtieth for each year of such service after attaining the age of forty years; or

(ii)

where his reckonable service amounts to ten years but is less than fifteen years, one sixtieth for each year of such service after attaining the age of forty years and one additional sixtieth; or

(iii)

where his reckonable service amounts to fifteen years but is less than twenty years, one sixtieth for each year of such service after attaining the age of forty years and two additional sixtieth; or

(iv)

where his reckonable service amounts to twenty years or more, one sixtieth for each year of such service after attaining the age of forty years and three additional sixtieths;

but the sum so calculated shall not in any case exceed one sixth of the said net annual emoluments;

(b)

in the case of a person who has attained the age of fifty years but has not attained the age of sixty years at the date of the loss, one sixtieth of the said net annual emoluments for each year of his reckonable service after attaining the age of forty years, up to a maximum of fifteen such years; and

(c)

in the case of a person who has attained the age of sixty years at the date of the loss, one sixtieth of the said net annual emoluments for each year of the claimant's reckonable service after attaining the age of forty-five years.

(4)

In order to calculate the maximum annual sum referred to in paragraph (1) of this regulation (in addition to deduction from long term compensation for a redundancy payment or for national insurance benefits effected in accordance with regulation 27) the following deductions shall be made from the aggregate of the sums referred to in paragraph (2) of this regulation:—

(a)

a deduction equivalent to the amount of any resettlement compensation paid in respect of a period in respect of which long term compensation under this regulation is also payable; and

(b)

a deduction equivalent to the amount of any payment of pension or other periodic payment under the relevant pension scheme payable in respect of a period in respect of which long term compensation under this regulation is also payable.