PSM Reorganization

The following information is as accurate as I can make it based on what little is known of the current position as it stands. It compares the voluntary positions as they stand with what could be the possible complusory positions for both staff covered by PT&R and those not.

OPTION 1


This is the proposed matrix, where your age and length of service converge, you'll see a figure. Multiply your basic weekly rate of pay by this figure and subtract
25%.

The resultant figure should be indicative of what you can expect to receive as a voluntary redundancy payment. This matrix is for staff were PT&R is
applicable.

AmeyColas were originally figuring on a level of about 50% of what is shown in this matrix, but have apparently noved on that original position up until a new position of 75%, where they seem likely not to budge from.

Example is for an SM1 step 7, who is 53 years of age, and has 31 years service in. Under this matrix the initial figure is :

$64,640 = 101 weeks standard pay.
Subtract 25%
£48,480 is the final figure.

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OPTION 2

For redundancy payments where PT&R is applicable. (NUR Redundancy and resettlement arrangements, Conciliation & Salaried staff British
Railways, September 1985)

Option 2 comes in two parts.

Part 1

A = Basic weekly rate of pay multiplied by B = completed number years of service up to a maximum of 25 years. Multiply this by 2.5 which will give you the first part of the redundancy payment for option 1.
........A
....x B
= sub-total
...x 2.5
= total

Example is for an SM1 step 7, who is 53 years of age, and has 31 years service in.

A = £640
B = 25
£16,000
x 2.5
£40,000

PLUS

Part 2

A supplementary payment equal to one weeks standard pay (A) for every completed year of service after 40 years of age (B).

......A
....x B
=

Example is for an SM1 step 7, who is 53 years of age, and has 31 years service in.

A = £640
B = x 13
= £8,320

Add the two totals from part 1 and 2 together, this is the amount you can expect under option 2

Example is for an SM1 step 7, who is 53 years of age, and has 31 years service in.

Part 1 = £40,000
Part 2 = £8,320
Total £48,320

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OPTION 3

Part 1
Use the statutory matrix below to calculate the number of weeks pay depending on your age and length of service up to a maximum of 20 years. £350 is the current statutory maximum of a weeks pay. The resultant figure forms the first part of your redundancy pay under option 3.

Statutory redundundancy matrix. Click on image to enlarge.

Example is for an SM1 step 7, who is 53 years of age, and has 31 years service in.

£350
x 26
= £9,100

PLUS

Part 2

A supplementary payment of one weeks standard pay (A) for each completed year of service in excess or 15 years (B) or the age of 45 ( C), whichever
is the greater.

A
x B or C
= total

Example is for an SM1 step 7, who is 53 years of age, and has 31 years service in.

A= £640
B = x 16
= £10,240

PLUS

Part 3

An amount equal to 40 per cent of part 1 and part 2

Example is for an SM1 step 7, who is 53 years of age, and has 31 years service in.

40% of part 1 = £3,640
40% of part 2 = £4,096
Combined total = £7,736

Add the three totals from part 1 and 2 and 3 together, this is the amount you can expect under option 3

Example is for an SM1 step 7, who is 53 years of age, and has 31 years service in.

Part 1 = £9,100
Part 2 = £10,240
Part 3 = £7,736
Combined total = £27,076

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OPTION 4

Option 4 is Voluntary Redundancy for staff not covered by PT&R.

For each year of completed service up to a maximum of 20 years, £1,000 for each year.

Years service / Amount
1 / £1,000
2 / £2,000
3 / £3,000
4 / £4,000
5 / £5,000
6 / £6,000
7 / £7,000
8 / £8,000
9 / £9,000
10 / £10,000
11 / £11,000
12 / £12,000
13 / £13,000
14 / £14,000
15 / £15,000
16 / £16,000
17 / £17,000
18 / £18,000
19 / £19,000
20 / £20,000

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Option 5

Option 5 is for staff not covered by PT&R in the event of compulsory redundancy.

Use the statutory matrix below to calculate the number of weeks pay depending on your age and length of service up to a maximum of 20 years. £350 is the current statutory maximum of a weeks pay. The resultant figure forms the first part of your redundancy pay under option 5.

Statutory redundundancy matrix. Click on image to enlarge.

Example is for an individual, who is 53 years of age, and has 31 years service in.

£350
x 26
= £9,100