The Armed Forces Redundancy Scheme 2006 and the Armed Forces Redundancy Etc. Schemes 2010 (Amendment) Order 2011

• Citation: S.I. 2011/208
• Sections: 15

Section 1 Citation and commencement

This Order may be cited as the Armed Forces Redundancy Scheme 2006 and the Armed Forces Redundancy Etc. Schemes 2010 (Amendment) Order 2011 and comes into force on 28th February 2011.

Section 2 Amendment of the Armed Forces Redundancy Scheme Order 2006

The Armed Forces Redundancy Scheme Order 2006 is amended as set out in this Part, and references to articles are references to articles of that Order.

Section 3 Amendment of article 3 (interpretation)

In article 3(1)—

(a) insert at the appropriate place—

“the Armed Forces Redundancy Scheme 1975” means the redundancy compensation arrangements that applied to members of the Armed Forces Pension Scheme 1975 prior to the 10th February 2010 as set out in—

Orders in Council made under section 3 of the Naval and Marine Pay and Pensions Act 1865 ;

the Army Pensions Warrant 1977 ; and

Orders and Regulations made under section 2(1) of the Air Force (Constitution) Act 1917 ;

(b) in the definition of “member”, for sub-paragraph (a) substitute—

(a) does not include an active member of the Gurkha Pension Scheme ;

Section 4 Amendment of article 4 (eligibility for redundancy payments)

(1) For article 4(3) substitute—

(3) Condition B is that the person—

(a) has been notified by the Defence Council that they will be treated for the purpose of the Scheme as having become redundant; or

(b) is an officer of at least the rank of Commodore, Brigadier or Air Commodore who has been notified by the Defence Council that they—

(i) are directed to take early retirement; and

(ii) will be eligible for compensation under the Scheme.

(2) For article 4(5) substitute —

(5) Condition D is that the person’s service is not terminated on medical grounds.

(3) In article 4(6) for “the Secretary of State has” substitute “the Defence Council have”.

Section 5 Amendment of article 10 (effect of award under article 5 on later award)

(1) For the heading to article 10 substitute—

Effect of previous award on later award

(2) For article 10(1)(a) substitute—

(a) a payment is made to a person—

(i) under article 5,

(ii) under article 10 of the Armed Forces (Redundancy, Resettlement and Gratuity Earnings Schemes) ( No. 2) Order 2010 , or

(iii) under the Armed Forces Redundancy Scheme 1975,

when that person ceases to be in service (“the old service”); and

Section 6 Amendment of the Armed Forces (Redundancy, Resettlement and Gratuity Earnings Schemes) (No.2) (Order) 2010

The Armed Forces (Redundancy, Resettlement and Gratuity Earnings Schemes) (No.2) Order 2010 is amended as set out in this Part and references to articles are references to articles of that Order.

Section 7 Amendment of article 2 (interpretation)

In article 2 —

(a) omit the definition of “paternity leave”; and

(b) insert at the appropriate places—

“additional paternity leave” means leave which, in the opinion of the Defence Council, corresponds to additional paternity leave within the meaning of the Additional Paternity Leave Regulations 2010 ;

“ordinary paternity leave” means leave which, in the opinion of the Defence Council, corresponds to paternity leave within the meaning of regulation 4 or 8 of the Paternity and Adoption Leave Regulations 2002 ;

“the Armed Forces Redundancy Scheme 1975” means the redundancy arrangements that applied to members of the Armed Forces Pension Scheme prior to 10th February 2010 as set out in—

Orders in Council made under section 3 of the Naval and Marine Pay and Pensions Act 1865;

the Army Pensions Warrant 1977; and

Orders and Regulations made under section 2(1) of the Air Force (Constitution) Act 1917;

Section 8 Amendment of article 4 (interpretation of Part 2)

In article 4 in the definition of “member” omit “a member of the Brigade of Gurkhas who is”.

Section 9 Amendment of article 6 (redundancy reckonable service)

(1) In article 6(2)(g) after “on” insert “ordinary paternity leave or on paid additional”.

(2) For article 6(4) substitute—

(4) This paragraph applies where the member—

(a) is an active member of the AFPS 1975 on the day before the secondment commences;

(b) resumes service in the armed forces at the end of the period of secondment and again becomes an active member of the AFPS 1975; and

(c) is entitled to make a single lump sum payment calculated in accordance with the rules set out in the AFPS 1975 following a secondment to an organisation referred to in paragraph (3) to increase reckonable service.

Section 10 Amendment of article 8 (commitment periods)

In article 8(1) omit sub-paragraph (c).

Section 11 Amendment of article 9 (eligibility for redundancy payments)

(1) In article 9(1) for “D” substitute “E”.

(2) For article 9(4) substitute—

(4) Condition C is that the person—

(a) has been notified by the Defence Council that they will be treated for the purposes of the AFRS 2010 as having become redundant; or

(b) is an officer holding at least the rank of Commodore, Brigadier or Air Commodore who has been notified by the Defence Council that they—

(i) are directed to take early retirement; and

(ii) will be eligible for compensation under AFRS 2010.

(3) After article 9(5) insert—

(5A) Condition E is that the person’s service is not terminated on medical grounds.

Section 12 Amendment of article 12 (amount of payment under article 10: leavers with long service commitments and sufficient redundancy reckonable service)

(1) For article 12(4) substitute—

(4) Where L2 ceases service during the interim period, the amount to which L2 is entitled under article 10 is—

(a) where P is 3 years or more, 9 months’ pay; and

(b) where P is less than 3 years, 3 months’ pay multiplied by P.

(2) For article 12(5) substitute—

(5) Where L2 ceases service after the interim period, the amount to which L2 is entitled under article 10 is —

(a) where P is 1 year or more, 3 months’ pay; and

(b) where P is less than 1 year, 3 months’ pay multiplied by P.

(3) In article 12(6) for “31st March 2013” substitute “31st December 2015”.

Section 13 Amendment of article 13 (amount of payment under article 10: leavers with short service commitments)

(1) Article 13 is renumbered as paragraph (1) of that article.

(2) After paragraph (1) so renumbered insert—

(2) In paragraph (1)(b)(i), each year that S would have served is to be calculated in accordance with article 7(2) to (4) as if references to redundancy reckonable service were references to uncompleted service.

Section 14 Amendment of article 16 (effect of award under article 10 on later award)

(1) For the heading to article 16 substitute—

Effect of previous award on later award

(2) For article 16(1)(a) substitute—

(a) a payment was made to a person under—

(i) article 10 of this Order, or

(ii) the Armed Forces Redundancy Scheme 1975,

when that person ceases to be in service (“the old service”); and

Section 15 Amendment of article 21 (maternity, adoption and paternity leave)

In article 21(1)—

(a) for sub-paragraph (a) substitute—

(a) any period of paid ordinary maternity leave, paid ordinary paternity leave, paid additional paternity leave or paid ordinary adoption leave whether the pay is at the statutory minimum, reduced pay or full pay rate, will count as both qualifying and reckonable service;

(b) in sub-paragraph (b) after “additional maternity leave,” insert “ordinary paternity leave, additional paternity leave,”.