Policy

Flexible/phased retirement policy

Updated on 23 June 2020

Provides guidance to qualifying members of the relevant pension scheme who may be interested in Flexible/Phased Retirement

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Flexible retirement, approved by the employer, provides qualifying members of the relevant pension scheme the opportunity to receive part or all of their pension benefits (depending on the pension scheme) from age 55 onwards. This provides flexibility regarding the age at which a member of staff begins phased retirement in the lead up to full retirement.

Access to pension benefits from age 55 is contingent on the member of staff meeting the eligibility criteria for flexible retirement of their pension scheme and subject to a reduction in working hours agreed by the Dean of School/Director which suits the operational requirements of the School/Directorate.

Members of staff should follow these steps when considering an application for flexible retirement.

Review flexible retirement information

Members of staff wishing to explore the possibility of flexible retirement should review:

the University's application procedure and approval process for flexible retirement
the eligibility criteria and information provided by their pensions scheme on flexible retirement
the pension scheme benefit modeller (if provided by the pensions scheme) which can be used to obtain a flexible retirement estimate

Flexible retirement is an individual decision and its potential benefits and disadvantages must be carefully considered.

It is recommended that independent financial advice is sought.

Informal discussion with your line manager

Members of staff should engage in early discussions with their line manager about the possibility of reducing their working hours. The line manager should consider whether the request would meet with the operational requirements of the School/Directorate and discuss the possibility with the Dean/Director.

Members of staff should consider and be prepared to discuss:

Options for different working hours/patterns.
Compatibility of the proposed working pattern(s) with the School/Directorate's needs.
Implications of reducing hours on individual work objectives, activities and any possible changes to contract (it should be noted that a change to a contract may also lead to a change in grade).
Implications of reducing hours on other staff or the School/Directorate's objectives and suggestions for addressing these implications.
Whether the role change/role reduction is being requested. This can only be accommodated if the operational requirements of the School/Directorate can still be met.

Line Managers should consider and be prepared to discuss:

The impact upon achieving individual, team or School/Directorate objectives and meeting business needs of the School/Directorate in the short, medium and long term.
The benefits of the proposal which may include improved productivity, morale and commitment, retention of key staff and/or salary or other cost savings.
The feasibility and impact of the work on colleagues, the School/Directorate, students, research sponsors, service users or any other relevant third party.
Any additional administration required to implement the proposed arrangement should be practicable and cost-effective.
Effective management of the change; this may generate efficiency gains in terms of use of office space.
Ability to secure cover for the remaining hours and duties e.g. re-organise work amongst existing staff or recruit additional staff.
Timing of change e.g. implications to teaching or other work commitments.
Changes to staff contract e.g. for an academic member of staff, a reduction of hours removing teaching duties may require a transfer to a research contract. Advice should be sought from the People Support team if a change of contract is required.
Equality considerations. The request to reduce working hours may be in relation to personal commitments such as caring for an elderly relative or a person with a disability and such requests should be considered sympathetically. Agreeing part-time working requests can open opportunities for succession planning, mentoring of other staff and bringing new staff into the School/Directorate.
Where the arrangement proposed cannot be accepted for operational reasons, possible alternatives should be considered and discussed with the individual before a final decision is reached. Advice should be sought from the People Support team in these circumstances.

Flexible retirement quotation

The member of staff may wish to obtain a Flexible Retirement Quotation by the completion of Form A (please refer to form below) and returning to the Pensions Office. The Pensions Office will request a quotation from the relevant pension scheme and will provide this to the member of staff, normally within four weeks of the member of staff's request.

Formal application for flexible retirement

The member of staff should complete an Application for Part-time Working and Flexible Retirement (Form B: section 1 - please refer to the form below) and submit this to their Dean/Director. The request should detail any considerations with respect to how their request will impact the work of the School/Directorate.
The Dean/Director must fully consider the member of staff's request and assess the current role of the individual. An account should be taken of the member of staff's duties, responsibilities, and regular commitments. Consideration should be given to the flexibility of the role and the possibilities for redistribution of workload.
Where it is felt that the role does not lend itself to the proposals made by the member of staff, thought should be given to any alternative working arrangements which could be accommodated and these should be communicated to the member of staff as options.
Where a request is approved, a copy of Form B will be sent to the School/Directorate Senior People Partners or People Support team to process the agreed reduction to working hours, salary and any other changes to contract. A copy will also be sent to the Pensions Office so implementation of the member's flexible retirement can commence.
If a request is not approved i.e. if it will not meet the business needs for the School/Directorate, the member of staff will be advised of this in writing by the Dean/Director and of their right of appeal.
The formal appeal route is as detailed in the University's Grievance Procedures.

Notification of flexible retirement to the relevant pension scheme

Once the Pensions Office has received Form B and all necessary paperwork from the People Support team they will contact the member of staff to complete notification of their flexible retirement to the relevant pension scheme. The notification to the relevant pension scheme must be no later than 3 months before the requested change of hours and flexible retirement date.