MUTUALLY AGREED RESIGNATION SCHEME (MARS) PROCEDURE. December 2013

Transcription

1 MUTUALLY AGREED RESIGNATION SCHEME (MARS) PROCEDURE December 2013 DOCUMENT CONTROL: Ratified by: Board of Directors Date ratified: December 2013 (amended April 2014) Name of originator/author: Director Human Resources & Organisational Development Name of responsible committee/individual: Human Resources & Organisational Development Group Date issued: 15 th May 2014 Review date: December 2016 Target Audience All staff Final version

2 Contents Section Page 1 Introduction 3 2 Aims and Objectives 3 3 Scope 3 4 Eligibility 3 5 Re-employment 5 6 Settlement Agreement 5 7 Payment Rate 6 8 Reckonable Service 7 9 Pensions 8 10 Application Procedure 8 11 Issues for staff to consider Process for filling of vacancies as a result 11 of implementation of MARS Appendices Appendix 1 Mutually Agreed Resignation Scheme - Application Form Appendix timeframe and programme of events Appendix 3 Diagrammatic illustration of the process Appendix 4 Frequently Asked Questions (FAQ) and Answers Sheet Support Unit by close of play on 31 January Page 2

3 1. Introduction 1.1 A Mutually Agreed Resignation Scheme (MARS) is a scheme under which an individual employee, in agreement with their employer, chooses to leave employment in return for a severance payment. A mutually agreed resignation (MAR) is not a redundancy or voluntary redundancy. Redundancy is covered by Section 16 of the NHS Agenda for Change Terms and Conditions of Service Handbook. 2. Aims and Objectives 2.1 The Mutually Agreed Resignation Scheme (MARS) has been developed nationally in partnership with the Social Partnership Forum to support NHS organisations during times of rapid change and service redesign. 2.2 The purpose of MARS is to create job vacancies which can be filled by redeployment of staff from other jobs or as suitable alternative employment for those at risk of redundancy. 3. Scope 3.1 This procedure applies to those members of staff who are directly employed by Rotherham Doncaster and South Humber NHS Foundation Trust (RDaSH). The procedure is not applicable to those covered by a letter of authority or those self employed through a contract for services. 4. Eligibility 4.1 The scheme by its very nature is voluntary and staff within the scope outlined in paragraph 3.1 will be eligible to apply. 4.2 The scheme will be open to eligible staff whether their contract is permanent, fixed term or temporary, full time or part time, provided the employee has at least 1 year s continuous NHS service as at the closing date for applications of that particular scheme. 4.3 Each application for a MAR will be assessed on its own merit and must demonstrate that the departure of an employee on voluntary grounds is in the financial and operational interests of RDaSH. A business case for each application must be submitted using the form attached (Appendix one). The business case will need to demonstrate; a) how will the quality of the service delivery be affected; b) why the severance payment is in the public interest; Support Unit by close of play on 31 January Page 3

4 c) why it represents value for money; d) how it represents the best use of public funds; e) that it will not affect the organisations financial targets; f) how the skill mix in the service area will be affected. 4.4 RDaSH reserves the right to determine whether or not an application will be approved and there is no right of appeal on the behalf of the employee if their application is unsuccessful. Applications will be approved in line with affordability on a value for money basis as the Trust is restricted by the amount of money available. See Section 10 for further information. 4.5 RDASH will not be able to consider an application for a MAR payment where an employee currently occupies a post which has already been identified as the subject of a compulsory redundancy situation, ie the need for the post has or will cease in the very near future. 4.6 Where an employee falls into any of the following categories, they will not be eligible to apply or leave under the MAR Scheme. where the employee has already given formal notice of their intention to resign/retire, prior to the date when applications are being sought; where the employee has already secured employment with another employer where the employee has already been notified of the date of the termination of their contract of employment for any other reason where the employee is in breach of or failing to meet an agreed action plan to address poor performance, in accordance with the Policy for Managing Poor Performance or subject to current disciplinary proceedings. where the employee is undergoing a conduct procedure where the employee is currently in a selection pool identifying them for potential redundancy 4.7 The MAR scheme within RDaSH will run over a period to be determined by the Trust. This is outlined in appendix two. There will be a closing date for applications set. Applications received after this date, by the BSU on behalf of the Director of Workforce and Organisational Development, will not be considered. These dates will be clearly publicised when the scheme is launched. 4.8 The termination date will be mutually agreed and will normally be within 3 months after final approval. Support Unit by close of play on 31 January Page 4

5 5. Re-employment 5.1 Employees who leave the NHS under MARS will not be re-employed by the NHS in England, in the same or a different post, before a period of one month has elapsed from the date of resignation. Any re employment within the NHS in England within one month of the resignation date will result in a requirement for the employee to repay the MARS payment in full. Please refer to paragraph Where an employee returns to work for the NHS in England within six months of the resignation date, and before the expiry date of the period for which they have been compensated (as measured in equivalent months/part months salary), then the employee will be required to repay any un-expired element of their compensation. This would be reduced to take account of any appointment to a lower grade and will reflect net salary. Any re-payment will be at the same rate at which it was paid at the date of termination. These requirements would form part of a settlement agreement with the employee on their resignation which will be required to be signed as part of the approval process. 5.3 The following Organisations are classified as NHS Employers in England: NHS Trusts including Foundation Trusts NHS England Special Health Authorities/Commissioners Clinical Commissioning Groups (CCG) Commissioning Support Units (CSU) The Health and Social Care Information Centre National Institute for Health and Clinical Excellence (This is not an exhaustive list. If you are not sure whether the organisation or work you are going to undertake would be covered by these arrangements you are strongly advised to contact the Human Resources department to seek clarification). 5.4 In addition to the above list, employees choosing to leave the NHS under MARS should not be re-employed/contracted to provide services to the NHS via an agency, management consultancy or on a self employed basis in accordance with the time scales set out in section The Trust will not re-engage staff (inclusive of the working on an as and when contract on any of our Banks ) who have left RDaSH under the MAR Scheme unless there are exceptional circumstance and only then with the prior approval of the Board of Directors. 6. Settlement Agreement Support Unit by close of play on 31 January Page 5

6 6.1 Employees who are approved to leave the organisation under this scheme will be issued with a settlement agreement to sign, which will set out the financial and other terms under which the employment relationship with RDaSH will end. Issuing a settlement agreement is a standard process and practice in instances of this kind. 6.2 The employee must receive independent legal advice prior to signing the settlement agreement. To support this process RDaSH will arrange for an independent solicitor to be made available at work to those in receipt of the settlement agreement or alternatively an individual may choose to use a different solicitor of their choice. The Trust will contribute up to a maximum of inclusive of VAT towards the cost of this legal advice upon receipt of a relevant invoice. This amount equates to the amount the Trust has negotiated with the independent solicitor available to employees via the Trust. Employees will be advised exactly when to get the legal advice required and of any steps the Trust has organised to ease this part of the process. 7. Payment rate 7.1 MARS payments will be calculated using the model below and is based on fully completed years only. Reckonable Service (complete years) Scale of Payment 1 year s continuous service (RDASH/NHS) 3 months basic salary 2 year s continuous service (RDASH/NHS) 3 months basic salary 3 year s continuous service (RDASH/NHS) 3 months basic salary 4 year s continuous service (RDASH /NHS) 3 months basic salary 5 year s continuous service (RDASH /NHS) 3 months basic salary 6 year s continuous service (/RDASH/NHS) 3 months basic salary 7 year s continuous service (RDASH/NHS) 3½ months basic salary 8 year s continuous service (RDASH/NHS) 4 months basic salary 9 year s continuous service (RDASH/NHS) 4½ months basic salary 10 year s continuous service (RDASH/NHS) 5 months basic salary 11 year s continuous service (RDASH/NHS) 5½ months basic salary 12 year s continuous service (RDASH/NHS) 6 months basic salary 13 year s continuous service (RDASH/NHS) 6½ months basic salary 14 year s continuous service (RDASH/NHS) 7 months basic salary 15 year s continuous service (RDASH/NHS) 7½ months basic salary 16 year s continuous service (RDASH/NHS) 8 months basic salary 17 year s continuous service (RDASH/NHS) 8½ months basic salary 18 year s continuous service (/RDASH/NHS) 9 months basic salary 19 year s continuous service (RDASH/NHS) 9½ months basic salary 20 year s continuous service (RDASH/NHS) 10 months basic salary 21 year s continuous service (RDASH/NHS) 10½ months basic salary 22 year s continuous service (RDASH/NHS) 11 months basic salary 23 year s continuous service (RDASH/NHS) 11½ months basic Support Unit by close of play on 31 January Page 6

7 salary 24 year s continuous service (RDASH/NHS) 12 months basic salary 7.2 Basic pay is the employee s gross basic salary without enhancements (e.g. on call/unsocial hours payments) and will be based on the number of contracted hours worked. Up to 30,000 will be payable tax free. 7.3 See Section 8 regarding definitions of continuous service. 8. Reckonable Service 8.1 Reckonable service means continuous service, full or part time employment with the present or any previous NHS employer where there has been a break of service of less than 12 months as at the time of leaving. Employment that has previously been taken account of for the purposes of a previous redundancy or loss of payment by an NHS employer will not count as reckonable service. It is the employee s responsibility where there are anomalies with continuous service dates (on ESR etc) to evidence with formal documentation (e.g. contracts/pension summary) their continuous service. 8.2 For the purposes of MARS, RDaSH will not take into account any period of employment outside of the NHS. The continuous/ reckonable service date will be that which can be verified via ESR/ Pensions data. 8.3 Any severance payment made will be offset against any subsequent payment made for the purposes of any future calculation of redundancy payments in subsequent NHS employment. This applies where the period of employment covered by the severance payment is taken into account in calculating the redundancy payment. 8.4 The severance payment is subject to the employee not having secured another job in the NHS at the time of leaving and employees will be required to give warranty of this via the settlement agreement. Please refer to paragraph An employee accepting a MARS severance payment and resigning from the organisation may find alternative employment elsewhere in the NHS subject to the conditions set out in section 5. In the event that any future NHS employer intends to make the employee redundant, the employer will be notified of any MARS severance payment made. 8.6 The employees proposed leaving date will be subject to negotiation and mutual agreement between the organisation and the employee. However, the latest date an employee can leave the employment of RDaSH will normally be within 3 months of the resignation being formally approved. Support Unit by close of play on 31 January Page 7

8 9. Pensions 9.1 Employees whose application under MARS is accepted, and who have reached their normal pensionable retirement age, will also be eligible to claim their NHS pension benefits. For members of the 1995 Section of the NHS Pension Scheme, normal pension age is 60 (55 for members with special class status). For members of the 2008 section of the NHS Pension Scheme, normal pension age is Employees whose application under MARS is accepted and who have reached their minimum pensionable age, may also wish to apply for Voluntary Early Retirement with reduced pension benefits. For members of the 1995 Section of the NHS Pension Scheme, minimum pension age is 50 for most but 55 for some members who first joined or returned to the Scheme on or after 6 April For members of the 2008 Section of the NHS Pension Scheme, minimum pension age is Applications for pension benefits must be made in the normal manner and payment of such benefits is not guaranteed to coincide with the date of resignation. 9.4 RDaSH will not agree to make up payments lost as a result of a reduction in benefits due to resignation under the MAR scheme. 9.5 If an employee has previously taken flexible retirement, reckonable service for the MARS payment will be calculated from the date the employee resumed working for the Trust after taking their pension. 9.6 MARS and pensions are not linked and are two separate, unconnected issues. 10. Application Procedure 10.1 Employees who wish to apply for MARS should discuss their case with their line manager in the first instance. Informal discussions will be confidential and will not make a binding commitment on either party. The Human Resources (HR) department will be available to provide information on the scheme. The Staff Side will be available to accompany any staff to meetings where this is requested. Where the employee wishes to pursue an application for MAR, they should complete section A on the expressions of interest application form (Appendix one) and give this to their line manager so that they can complete section B of the form. It is the employee s responsibility where there are anomalies with continuous service dates (on ESR etc) to evidence with formal documentation (contracts/pension summary Support Unit by close of play on 31 January Page 8

9 etc) their continuous service. The line manager will be required to indicate their support or otherwise on the application form. The line manager will be asked to outline the potential impact on the workforce, skill mix, quality of service and how many applications at the band/skill or expertise level could be supported from that area. After completing all of section B the line manager will pass the application form to the Assistant Director/Service Director/Head of Service or Corporate Director for completion of section C. They will outline how the criteria in section 4.3 of this procedure have been met with particular reference to the financial savings and payback time along with reassurance as to how the quality/business/workforce needs of the organisation will continue to be met Human Resources (HR) will write to any staff on maternity/paternity/adoption leave, long term sickness absence or a career break to notify them of the MARS and advise on how to pursue an application should the employee wish to do so. Line managers will work with/support the HR department in undertaking this task by working with the staff concerned where requested The Assistant Director/Service Director/Head of Service or Corporate Director completing section C of the application form will submit the completed form for MARS to the Business Support Unit as soon as possible but no later than the closing date of the Scheme. The HR department will then verify the information and the potential MARS payment calculated on the application form (section D), maintain a database of applications received and acknowledge receipt of applications received. The HR department will pass the verified applications to the Director of Workforce and Organisational Development. The application form will be acknowledged. All applications will be dealt with in strict confidence. The closing date for applications to be submitted is outlined in appendix two. The application will be considered as an expression of interest. It is the applicant and line manager s responsibility to ensure the application is received by the Business Support Unit by close of play on 31 January Applications will be considered by a panel comprising of a Service Director, Finance Director, Workforce and Organisational Development Director plus a Non Executive Director Following consideration by the above panel, where an application is approved, the Director of Workforce and Organisational Development will write to the employee within 15 working days of the panel decision making period to confirm that their application has been approved, the MARS payment due and the proposed mutually agreed leaving date. A copy of the draft settlement agreement will also be shared once the employee has indicated they still wish to pursue their application. Support Unit by close of play on 31 January Page 9

10 10.6 The employee will be required to seek legal advice at this stage prior to signing the settlement agreement. The Trust will arrange/make available access to an independent solicitor for staff to access and make an appointment with. Alternatively, a member of staff may choose to use another independent solicitor of their choice (see paragraph 6.2) The employee will be requested to accept or reject the offer, in writing, within 5 working days, after their meeting with the independent solicitor. If the offer is accepted, RDaSH will consider that the employee has agreed to resign Once the settlement agreement is signed the acceptance of MARS is binding on both parties Where an application is not approved, the Director of Workforce and Organisational Development will write to the employee advising them of the outcome and outlining the reasons for this within 15 working days of the panel decision making period Please note as stated in paragraph 4.4 there is no right of appeal against the decision reached A diagrammatic outline of this process can be seen at appendix three. 11. Issues for Staff to Consider 11.1 When considering an application for the voluntary MAR Scheme, employees will need to understand the consequences of their decision to leave employment under the Scheme. Some of the implications for employees to consider may include, for example: the possible loss of entitlements to welfare benefits mortgage protection insurance policies not covering resignations any possible impact on pensions lease car penalties credit agreements and credit protection insurance policies salary sacrifice schemes, for example Computershare Vouchers any appropriate advice from the Department of Work and Pensions 11.2 Employees are encouraged to seek independent financial advice and the following websites may be of assistance for more general guidance: NHS Pensions: BenefitsWebsite: Citizens Advice Bureau: Support Unit by close of play on 31 January Page 10

11 IFA Promotion: The Personal Finance Society: Money made clear: An individual and the Trust can choose to withdraw from the MAR scheme at any point prior to signing the settlement agreement. The settlement agreement is a binding contractual agreement and as such legal advice has to be given to an employee in connection with it for it to be effective. 12. Process for filling of vacancies as a result of the implementation of MARS 12.1 Having approved an employee s application for payment under MARS the organisation will review the process for filling of relevant vacancies in accordance with the Policy for the Appointment of Staff. Support Unit by close of play on 31 January Page 11

12 Appendix 1 MUTUALLY AGREED RESIGNATION SCHEME APPLICATION FORM SECTION A: For completion by the employee Directorate/Business Division: Full Name: Job Title: Employee Number: Annual salary (before tax): Date due to receive next increment: NHS Start Date: (dd/mm/yyyy) Employee Contact Details: Telephone include dialling codes (dd/mm/yyyy) Work address below Work phone details Date of Birth: (dd/mm/yyyy) Band: National Insurance No: Contracted hours per week: RDaSH Start Date: (dd/mm/yyyy) Home address below Personal mobile/home phone details Circle your Base below: Rotherham Doncaster Lincolnshire Manchester Work Address: Home Address: I wish to apply for the Mutually Agreed Resignation Scheme. I understand that the information above will be validated and the outcome of my application will be communicated to me in writing. Employee Signature: Date: APPLICANT Please place your initials in this box to confirm you have discussed your application with your line manager LINE MANAGER Please print your name, your place of work/contact number & put your initials in this box to confirm you have discussed this application with the applicant HRA representatives to make changes clear on each page please use a highlighter pen and place your initial + date next to the change. Support Unit by close of play on 31 January Page 12

13 SECTION B: For completion by line manager. Applicant to please pass this form to your line manager prior to verification by HR: Basic Annual Salary Date due to receive next increment (dd/mm/yyyy): RDaSH Start Date: (dd/mm/yyyy) NHS Reckonable Service (Completed Years): Complete years payable under MAR as at 4 Feb 2014 If continuous service years change in the next 3 months detail this years From Years continuous service To Years continuous service MARS Payment Due: Insert MARS payment due if continuous service years change in the next 3 months Show calculation of figures in next box Line manager s comments: How will the quality of the service delivery be affected? How will the skill mix in the service area be affected? Is there more than one application from employees in this band/skill/expertise level? How many applications can be supported in total from this area? Any Additional Comments Eg. Is this person on maternity, paternity and adoption leave, long term sick leave, career break or secondment? Does the individual have a preferred leaving date? Please note the leaving date may be shorter than stipulated contractually and will ultimately be at the discretion of the Trust. Support Unit by close of play on 31 January Page 13

14 Manager s initials LINE MANAGER Signature of the line manager: Dated: Please confirm by putting your initials next to each statement that - the employee has not already given formal notice of their intention to resign/retire, prior to the date when applications are being sought; - the employee has not already secured employment with another employer; - the employee has not already been notified of the date of the termination of their contract of employment for any other reason; - the employee is not in breach of or failing to meet an agreed action plan to address poor performance, in accordance with the Policy for Managing Poor Performance or subject to current disciplinary proceedings; - the employee is not undergoing a conduct procedure; - the employee is not currently in a selection pool identifying them for potential redundancy. Printed name of line manager Contact number of line manager Line manager to pass this form to your Assistant Director/ Service Director/ Head of Service/Corporate Director for completion. SECTION C: For completion by Business Divisions - either Service Director/Assistant Director/BSU Head Corporate Services - either the Head of Service/Corporate Director Guidance for responding to criteria b,c,d How will this application release recurrent savings in line with the Divisional/Service CRES plans?; How does it provide opportunities for restructuring/skill mix review?; How does it provide opportunities to redeploy staff either within or outwith the Business Division/Corporate Service area?; How does this application compare with others from within the Business Division at the same band/skill level? 1. Please detail next to each criteria: a) How will the quality of the service delivery be affected? b) How will the skill mix in the service area be affected? Support Unit by close of play on 31 January Page 14

15 c) How will approval of this application affect the business division s/the organisation s financial targets? d) Can you confirm that there were/are no existing plans for this person to retire prior to the launch of the scheme. 2. Why is the employee being considered for voluntary severance ie MARS? Eg. - skill mix? - release capacity for redeployment? 3. What savings are to be delivered as a result of agreeing a MARS payment by releasing this post or another one by redeployment? (recurrent and non recurrent) (Please seek advice from your finance representative if necessary) 4. Voluntary Severance Costs (MARS payment) Recurrent savings are Non recurrent savings are 5. Does this application create an opportunity for another displaced member of staff? 6. Please confirm your support of this application? Signed: Signed: Date: Print name: Please circle appropriate job title Service Director/Head of BSU /Assistant Director/Head of Service/Corporate Director Support Unit by close of play on 31 January Page 15

16 Section D: Return the completed form to the HR Department to verify sections A,B and C: Information checked and verified in HR by - HR Representative to log any anomalies and note action requested of either line manager or Assistant Director/Head of Service/Service Director/Corporate Director Date stamp in when form received HR Rep Signature HR printed name Date completed Anomalies/Action Required/Date requested/of whom PLEASE FORWARD ALL COMPLETED FORMS TO THE DIRECTOR OF WORKFORCE AND ORGANISATION DEVELOPMENT Received by Director of Workforce and Organisation Development on Date Stamp: Authorisation from Establishment Control Panel plus a Non Executive Director Rationale for approval/non approval by the Establishment Control Panel Have the following criteria been considered/met? a) how will the quality of the service delivery be affected? YES/NO b) why it represents value for money? YES/NO d) how it represents the best use of public funds? YES/NO e) how the skill mix in the service area will be affected? YES/NO f) will approval of this application affect the business division s/the organisation s financial targets? YES/NO Additional comments from the panel Overall outcome - This application is APPROVED NOT APPROVED Signed/Initials of: Director of Workforce & OD Director of Finance Service Director Non Executive Director Date: Support Unit by close of play on 31 January Page 16

17 The 2013/14 timetable Appendix 2 The key dates are as follows: Event Date Scheme launched Mon 6 Jan 2014 Scheme closes and applications Fri 31 January 2014 at 5pm received by the BSU All applications received by the BSU 6 January to 4 February 2014 to be acknowledged. BSU HRAs to check and verify data on the forms. Applicant to follow up if an acknowledgment letter is not received in this timeframe. Panel meets to consider and decide the outcome of all applications Prepare letters re outcome of applications, checking accuracy of all letters -offer letters -not successful application letters 3 February to 21 February February to 7 March 2014 Letters to be drafted in BSU Letter confirming outcome of the panel decision posted to all applicants Independent solicitors organised to meet with applicants Further period for applicants to consider if they wish to proceed after taking advice from independent solicitor Final decision regarding acceptance of MARS/signed settlement agreement by all applicants 10 March 2014 End of March/ early April 2014 One week from meeting with solicitor End of April Support Unit by close of play on 31 January Page 17

18 Diagrammatic outline of the process Appendix 3 Scheme launched 6 January 2014 Employee considers whether they wish to express an interest via an application Employee speaks with their line manager if they wish to complete an expression of interest application in first instance Employee decides to proceed Yes No Employee completes application form Application process goes no further Employee completes Section A and submits the application form to their line manager to complete Section B. Line manager to complete Section B and inform / pass the form to the Director / Head/ Assistant Director indicating their support and outlining potential financial savings and assurance of how business / quality / workforce needs will continue to be met (Section C). Line manager to outline implications of one or more staff at that band / skill level / expertise level leaving and outline what is manageable. Line manager to pass form to Director / BSU Head / Assistant Director / Head of Service If the line manager or Assistant Director / Head of BSU or Service are unable to confirm their support for the application, they must feedback to the employee concerned Support Unit by close of play on 31 January Page 18

19 Director / Assistant Director / Head of Service to complete Section C and return form to the HR Department to verify data in Section B. Once data on application form has been verified HR Department to pass form to the Director of Workforce & Organisational Development If the line manager or Assistant Director / Head of BSU or Service are unable to confirm their support for the application, they must feedback to the employee concerned Director / Deputy / Assistant Director / Head of Service to submit completed application form by no later than closing date to HR Department to verify Section A & B data Scheme closes 31 January 2014 All application forms to be acknowledged between 6 January and 4 February Information will be verified and potential MARS payment will be calculated The BSUs will keep a database of applications received Applications to be considered by a panel comprising of a Service Director, Director of Finance, Director of Workforce & Organisational Development plus a Non-Executive Director (To take place between 3 and 21 February 2014) Letters to be produced informing applicants of the decision Application Approved Application Not Approved Where an application is approved, the Director of Workforce & Organisation Development will write to the employee week commencing 10 March 2014 to confirm the offer, the MARS payment due and the Trust s proposed mutually agreed leaving date. A settlement agreement will be drafted once the employee has confirmed they wish to continue to pursue the offer. Director of Workforce & Organisational Development to write to the employee week commencing 21 November 2011 advising them of the outcome and outlining the reasons for the panel decision There is no right of appeal Support Unit by close of play on 31 January Page 19

20 An independent solicitor will be organised and made available to the employee to access at the end of March/early April 2014 Employee accepts offer Employee rejects offer Employee signs the settlement agreement and confirms in writing the acceptance of MARS. A Trust representative (usually the Director of Workforce and OD) signs the settlement agreement on behalf of the Trust. It is only at this point that a binding agreement has been entered into by both parties. Up to this point either party can withdraw from the process or reverse their decision. Application process goes no further Support Unit by close of play on 31 January Page 20

21 Frequently Asked Questions (FAQs) for the Mutually Agreed Resignation Scheme (MARS) Appendix 4 Purpose The purpose of this information is to provide advice and support to you as a manager/employee when considering or disseminating information regarding the Mutually Agreed Resignation Scheme (MARS) documentation. This is based on lessons learned from other organisations who have run MAR schemes in the past. Questions(Q)/Answers(A) Q1 Why is the Trust doing this? A1 This scheme is being implemented by many NHS Trusts across the UK. It has been nationally developed and RDaSH have decided to adopt this option and make it available to all staff for a defined period of time. It is a useful tool to enable the Trust to create capacity within the organisation and support it in its endeavours to become as efficient as possible within a financially challenging climate. Q2 Why is the Trust doing MARS and not voluntary redundancy? A2 The MAR scheme offers greater flexibility by releasing capacity within the organisation. A MAR scheme can be opened up to a wider group of staff and is not restricted to any one area or staff group potentially at risk of redundancy. The posts that are vacated by approved applications will be used to redeploy staff as and when necessary. Q3 Will the Trust offer a further phase of the MARS? A3 This is not known at this stage. Q4 Will the Trust offer voluntary redundancy in the future? A4 This is not known at this stage. Q5 Who is the scheme open to? A5 Anyone who has a contract of employment with RDaSH as long as it is a permanent, fixed term, temporary, full time or part time and provided the employee has at least one year s continuous NHS service. Q6. Are there any eligibility criteria? A6. See section 4 for the eligibility criteria. If you have a member of staff in one of these categories in 4.6 please seek HR advice before providing the staff member with a response. Q7 As a member of staff where do I go for advice on the scheme? A7 In the first instance you should go to your line manager. Support Unit by close of play on 31 January Page 21

22 Q8 How do I apply? A8 Initially discuss your intentions with your line manager. Then go to the home page of the intranet to download an application form if you wish to proceed. Once you have completed section A, discuss this with your line manager and they will then complete section B. Q9 What is the timetable? A9 The key dates are as follows: Event Date Scheme launched Mon 6 Jan 2014 Scheme closes and applications Fri 31 January 2014 at 5pm received by the BSU All applications received by the BSU to be acknowledged. BSU HRAs to check and verify data on the forms. 6 January to 4 February 2014 Applicant to follow up if an acknowledgment letter is not received in this timeframe. Panel meets to consider and decide the outcome of all applications Prepare letters re outcome of applications, checking accuracy of all letters -offer letters -not successful application letters 3 February to 21 February February to 7 March 2014 Letters to be drafted in BSU Letter confirming outcome of the panel decision posted to all applicants Independent solicitors organised to meet with applicants Further period for applicants to consider if they wish to proceed after taking advice from independent solicitor Final decision regarding acceptance of MARS/signed settlement agreement by all applicants 10 March 2014 End of March/ early April 2014 One week from meeting with solicitor End of April Q10 What are the financial terms? A10 The financial terms are outlined in section 7 of the procedure. Q11 Is the payment negotiable? A11 No Support Unit by close of play on 31 January Page 22

23 Q12 Will it affect my pension in any way? A12 Employees are responsible for checking the implications for them. Information relating to the NHS pension scheme is covered in section 9 of the procedure however individuals may need to access the pensions advisor in the payroll department who can direct them to the relevant sources of information. Q13 What would my notice period be? A13This is outlined in section 8.6 of the procedure where it states the employees proposed leaving date will be subject to negotiation and mutual agreement between the organisation and the employee. However, the latest date an employee can leave the employment of RDaSH will normally be within 3 months of the resignation being formally approved. Q14 Do I need to end all my NHS contracts of employment if my application is approved? A14 Yes Q15 What are the rules about coming back to work for the NHS? A15 See section 5 of the procedure Q16 Can I take another job outside of the NHS that covers the severance payment period? A16 Yes you can Q17 What if I have a lease car under any of the Trust schemes? A17 An employee is liable for any early release fees/penalties or outstanding payments associated with returning the lease car (eg invoices for damages to the car). Where possible, all outstanding payments owed under the lease car scheme will be deducted from the employee s final salary and if this is still insufficient to cover the total outstanding costs then the difference will be deducted from the severance payment too. Q18 What if I have outstanding payments in the salary sacrifice scheme? A18 An employee is liable for any outstanding payments associated with the salary sacrifice scheme. Where possible, all outstanding payments owed under the salary sacrifice scheme will be deducted from the employee s final salary and if this is still insufficient to cover the total outstanding costs then the difference will be deducted from the severance payment too. Q19 Can I still use the Warren nursery? A19 Yes you can still use the Warren nursery if you so wish however you will be charged at the rate we charge members of the public. Q20 What is a settlement agreement? A20 The concept of a settlement agreement was created in It is a legally binding agreement following the termination of an individual s employment. The document records an employee s agreement not to pursue an employment related claim, such as unfair dismissal or breach of contract. Support Unit by close of play on 31 January Page 23

24 This agreement is usually in exchange for a sum of money. In employment law, there are various requirements that are necessary for the agreement to be valid: The agreement must be in writing. The agreement must relate to a particular set of circumstances related to the employee The employee must have received legal advice from a relevant independent adviser, such as a solicitor, on the terms and effect of the proposed agreement and its effect on the employee's ability to pursue any rights before an employment tribunal before the agreement becomes binding. The adviser must have a current contract of insurance, or professional indemnity insurance, covering the risk of a claim by the employee in respect of the advice they are given. The agreement must identify the adviser usually the adviser signs to confirm that the advice has been given The agreement must state that the conditions regulating settlement agreements have been satisfied. The solicitor will need to make sure that your settlement agreement fulfils all of these requirements. The settlement agreement will be tailored to each employees individual circumstances. However, there are some features that are common to most settlement agreements. Q21 Will the solicitors organised by the Trust be truly independent? A21The Trust tends to use certain solicitor firms to support it in some of its business. To support staff going through this process we will make arrangements with a firm of solicitors not used by RDaSH to come in on certain days with allotted time slots available to explain what the settlement agreement means and the clauses contained within it. This is intended to ease part of the process for staff and has proven successful when we have arranged this for staff progressing with an application. Q22 Who pays the solicitors fees for advice relating to the compromise agreement? A22 Where the Trust arranges the solicitor, the cost will be paid direct to the solicitor by the Trust and the member of staff will not be expected to make any payment to the solicitor concerned. If the employee chooses to use an alternative solicitor, they will need to pay the solicitor direct and the Trust will reimburse this cost up to a maximum of inclusive of VAT (this is the rate we have agreed for the block contract with the independent solicitor). This should be more than enough to cover the overall costs. All employees who have their expression of interest application approved will be advised of the next steps and when an independents solicitor s advice is needed. No claims will be reimbursed if the Director of Workforce and Organisation Development has not advised you personally in writing to seek the independent advice. Support Unit by close of play on 31 January Page 24

25 Q23 Who will formally communicate the outcome? A23 The Director of Workforce and Organisation Development will write to all applicants informing them of the decision reached by the panel. Q24 Is there a helpline number? A24 You should first try to seek advice from your line manager. A helpline has been set up in Human Resources (HR) and payroll. The numbers in Human Resources are: Children s and Communities Business Support Unit (covering Learning Disabilities, DCIS, CAMHS and Substance Misuse) Mental Health Business Support Unit (covering Adults, Older Peoples, Forensics and corporate services) The number in payroll is 6397, Rick Smith More manager specific question/answers QA What are the options for the post if a MARS application is accepted? AA The primary option is to use the post as an opportunity to redeploy displaced staff members. It should also be used as an opportunity to review the skill mix plus working hours for that post. If you need further advice or guidance with what you would do with the post please discuss with HR or your line manager. QB How will staff be informed of the scheme? AB Staff will be informed of the MAR scheme via team talk, the weekly bulletin and managers briefing staff at staff meetings. There will also be a dedicated section via a link on the home page of the intranet containing information, updates and relevant documents QC Have staff side been informed? Are unions aware of the scheme? AC Yes they are aware that the scheme is running and were informed formally of our intention to propose this to the Board of Directors at the Trust Staff Council meeting held on 19 December Staff side will be available to support staff. QD What information should I share with my team? AD Inform your team that the scheme documentation is available on the intranet home page. Let them know that the full details relating to the scheme are contained in this document. QE Who should be aware of any applications? AE Good communication is essential during this process. Individuals should be encouraged to speak to their line manager about their intentions. The line manager and the Assistant Director should discuss any potential applications. Support Unit by close of play on 31 January Page 25

26 QF Is this process confidential? AF Individual applications should not be discussed widely. As in all cases of confidentiality any communication in relation to this is on a need to know basis. Managers should be mindful of the sensitive nature of these applications and the information they contain and the need to manage potential speculation. QG What should I tell a potential applicant regarding them talking about their application? AG Staff should be advised that all applications are treated in confidence and that it would be inadvisable for them to discuss their intentions/application/outcome with colleagues. QH How will I know the impact on my team? AH The relevant senior manager (Directors/Assistant Directors/Head of Service) will be informed of the successful/unsuccessful applications in their area. The appropriate senior manager will link with the appropriate line manager so that suitable support can be given to those individuals that applied. QI How many applications can be supported? AI The potential number of posts that each area can release will vary and will need to be a key consideration by management when completing the expression of interest application forms. The Trust MARS panel will make decisions that ensure the continued quality/business and workforce needs of the Trust are met within an overall financial/cost envelope available. Support Unit by close of play on 31 January Page 26