Atomic Energy Authority Act 1995

6 (1) Before the coming into force of any transfer scheme in consequence of which any employee of the Authority is to become the employee of a person (“the transferee”) other than the Authority or a company which will, by virtue of that transfer scheme, be a successor company, the Authority shall, after such consultation as is required by sub-paragraph (5) below, satisfy themselves—

(a) that every person to whom the duty imposed by this sub-paragraph is owed will be afforded, and will be entitled to exercise (or, in a case falling within sub-paragraph (2)(b)(ii) below, entitled on attaining the age or fulfilling the condition to exercise), an option of becoming—

(i) a participant in a pension scheme maintained by the transferee, or

(ii) by virtue of his employment by the transferee, a participant in a pension scheme maintained by any other person, and

(b) that in his case the provisions of that scheme (taken as a whole) confer benefits which, taking into account other benefits which he will obtain as a result of his employment by the transferee, are no less favourable than the benefits conferred by the provisions, as in force immediately before the coming into force of the transfer scheme, of the Authority pension scheme in which he is then or, as the case requires, would be entitled to become, a participant.

(2) The duty imposed by sub-paragraph (1) above shall be owed to every transferred employee who—

(a) is for the time being a participant in an Authority pension scheme, or

(b) is not for the time being such a participant but—

(i) is eligible to participate in an Authority pension scheme, or

(ii) would become eligible to participate in such a scheme on attaining an age or fulfilling a condition specified in the scheme.

(3) In sub-paragraph (2) above a “transferred employee”, in relation to any transfer scheme, means any person who, in consequence of the scheme, becomes an employee of the transferee.

(4) In relation to any transfer scheme made by the Secretary of State by virtue of section 2(3) of this Act, the duty under sub-paragraph (1) above is owed by the Secretary of State instead of the Authority.

(5) The consultation required by this sub-paragraph is—

(a) in a case where the duty under sub-paragraph (1) above is owed by the Authority, consultation with the Secretary of State, the Treasury and persons appearing to the Authority to represent transferred employees, and

(b) in a case where that duty is owed by the Secretary of State, consultation with the Authority, the Treasury and persons appearing to the Secretary of State to represent transferred employees.

(6) Nothing in this paragraph shall be regarded as limiting the powers of the Authority or the Secretary of State in relation to the making of transfer schemes.