Regulation 28 Termination paymentsI1

England and Wales

(1)

This regulation applies to a credited teacher (C) who receives a termination payment.

(2)

A termination payment is the aggregate of any lump sum payments made to C by C’s former employer which—

(a)

are made in consequence of, or as compensation for, the loss of C’s former employment;

(b)

are made in pursuance of any contract or arrangement or any provision contained in, or made under, any enactment, whenever made or enacted;

(c)

are not made by way of an excepted payment.

(3)

The excepted payments are—

(a)

a redundancy payment in respect of the cessation of C’s former employment;

(b)

so much of any payment in lieu of notice of termination of that employment as does not exceed the remuneration which C would, but for its termination, have received for the three months following the material date;

(c)

compensation paid under regulation 8, 10, 11, 19 or 20.

(4)

If C’s lump sum compensation under regulation 20 would exceed the termination payment, it is to be reduced by the amount of the termination payment.

(5)

If C’s lump sum compensation under regulation 20 would be equal to the termination payment, it is not to be paid.

(6)

If C’s lump sum compensation under regulation 20 would be less than the termination payment—

(a)

it is not to be paid; and

(b)

C’s annual compensation under regulation 19 is to be reduced by the difference.

(7)

C’s annual compensation under regulation 19 is to be reduced by the amount of the termination payment if—

(a)

by reason of regulation 27(3) or (4) no lump sum compensation is payable under regulation 20; or

(b)

lump sum compensation was paid under regulation 20 before the termination payment became payable.

(8)

The reduction under paragraph (6)(b) in annual compensation payable under regulation 19 is a reduction in the total amount payable, and accordingly payment is to be suspended until the full reduction has been achieved

Annotations

Commencement

I1: Reg. 28 in force at 1.4.2015, see reg. 1