Occupational Pension Schemes (Contracting-out) Regulations 1996

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Notices by employers of intended election.E+W+S

3.—(1) A notice of intention to make an election with a view to the issue of a contracting-out certificate shall be given by the employer, in the manner specified in paragraph (3), to—

(a)the earners in respect of whose employment the election is proposed to be made, and those (if any) in that employment in relation to whom the employer is not electing that the employment shall be treated as contracted-out;

(b)the trustees and administrator of the scheme to which the election is to relate;

(c) where there is a policy of insurance or annuity contract as a means of securing F1 ... guaranteed minimum pensions or any benefits arising in respect of section 9(2B) rights to be payable under the scheme, the insurance company or Friendly Society concerned; and

(d)all independent trade unions recognised in relation to the earners concerned.

(2) Notices given under this regulation shall be in writing and shall—

(a)specify the scheme and the employments concerned and, if the election is not intended to be in relation to all earners in those employments, the categories or descriptions of the earners to be so affected;

(b)specify the date [F2(being a date before the second abolition date)] from which it is intended that the contracting-out certificate shall have effect;

F3( c ). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(d)specify the date of expiry of the notice in accordance with paragraphs (4) and (5);

(e)specify the name and business address of the person to whom representations may be made with respect to the matters included in the notice;

(f)contain a statement that—

(i)such representations may also be made to the Secretary of State,

(ii)the Secretary of State may defer his determination to enable the election to be further considered in the light of representations made by or on behalf of the persons to whom the notice is given,

(iii)the Secretary of State has power to refuse to give effect to the election if he is not satisfied that the employer has undertaken consultations about the matters covered by the notice with all independent trade unions recognised in relation to the earners concerned; and

(g)explain (whether or not by reference to another document)—

(i)F4 ... how benefits would accrue to a member under the scheme if the employment were contracted-out [F5and ] ,

(ii)how, if the employment were contracted-out, the additional pensions of State retirement pensions and widows’ and widowers’ benefits payable to or in respect of the earners in that employment under the Contributions and Benefits Act, and the rates at which contributions payable by those earners under Part I of that Act, would be affected,

F6( iii). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3) A notice under this regulation shall be given—

(a)to any earner concerned by—

[F7(i)sending it to the earner in accordance with regulations 26 to 28 of the Occupational and Personal Pension Schemes (Disclosure of Information) Regulations 2013 (giving information and documents),

(ia)delivering it to the earner, or]

(ii)exhibiting it conspicuously at the place of work or employment so that it may be read conveniently by him and by drawing his attention to it in writing;

[F8(b)to any other person, by—

(i)sending it to that person in accordance with regulations 26 to 28 (giving information and documents) of the Occupational and Personal Pension Schemes (Disclosure of Information) Regulations 2013, or

(ii)delivering it to that person.]

[F9(4) Unless paragraph (5) applies, a notice under this regulation must specify a date of expiry which is not earlier than the date three months after the date on which the notice is given.

(5) Where—

(a)there is no independent trade union recognised in relation to the earners concerned, or

(b)before the notice has been given every such trade union has consented in writing to the notice specifying an earlier date than that which is required under paragraph (4),

the notice may specify an earlier date (but not earlier than the date one month after that on which the notice is given).]

Textual Amendments

F1 Words in reg. 3(1)(c) omitted (6.4.2012) by virtue of The Pensions Act 2008 (Abolition of Protected Rights) (Consequential Amendments) Order 2011 (S.I. 2011/1246) , arts. 1(2)(a) , 8(3)

F2Words in reg. 3(2)(b) inserted (6.4.2016) by The Occupational Pension Schemes (Schemes that were Contracted-out) (No.2) Regulations 2015 (S.I. 2015/1677), regs. 1(2)(b), 28(3)

F3 Reg. 3(2)(c) omitted (6.4.2002) by virtue of The Occupational and Personal Pension Schemes (Contracting-out) (Miscellaneous Amendments) Regulations 2002 (S.I. 2002/681) , regs. 1 , 2(2)(a)

F4 Words in reg. 3(2)(g)(i) omitted (6.4.2012) by virtue of The Pensions Act 2007 (Abolition of Contracting-out for Defined Contribution Pension Schemes) (Consequential Amendments) Regulations 2011 (S.I. 2011/1245) , regs. 1(2) , 4(3)

F5 Word in reg. 3(2)(g)(i) inserted (6.4.2002) by The Occupational and Personal Pension Schemes (Contracting-out) (Miscellaneous Amendments) Regulations 2002 (S.I. 2002/681) , regs. 1 , 2(2)(b)(i)

F6 Reg. 3(2)(g)(iii) omitted (6.4.2002) by virtue of The Occupational and Personal Pension Schemes (Contracting-out) (Miscellaneous Amendments) Regulations 2002 (S.I. 2002/681) , regs. 1 , 2(2)(b)(ii)

F7Reg. 3(3)(a)(i)(ia) substituted for reg. 3(3)(a)(i) (6.4.2014) by The Occupational and Personal Pension Schemes (Disclosure of Information) Regulations 2013 (S.I. 2013/2734) , reg. 1(1) , Sch. 9 para. 2(a)

F8 Reg. 3(3)(b) substituted (6.4.2014) by The Occupational and Personal Pension Schemes (Disclosure of Information) Regulations 2013 (S.I. 2013/2734) , reg. 1(1) , Sch. 9 para. 2(b)

F9 Reg. 3(4)(5) substituted (6.4.1997) by The Personal and Occupational Pension Schemes (Miscellaneous Amendments) Regulations 1997 (S.I. 1997/786) , reg. 1 , Sch. 1 para. 4(4)

Modifications etc. (not altering text)