How much would i be offered?

[paulthepostie]

Good morning,
I am currently off because of a bad foot which i have had for about 6 mths and have been putting off up until now, as it's getting worse. As i mentioned previously in another thread, there will be voluntary redundancies being offered in our office.

I am 35 years old with 13 years service and have never been in the pension. Would i get a better payout with ill health retirement or voluntary redundancy?. What figures would i be looking at with both?. Obviously that's if other people don't pip me to the post with their seniority.

Thank you very much for your time and help

[baldrick]

You say you have never been in the RM pension scheme, but have you opted out of the new 'Workplace Pension Scheme' which was introduced in January 2013? Everyone was enrolled unless they opted out.
If you are not in any RM pension scheme, according to the MTSF2 VR ready reckoner, at 35 years of age with 13 years service you would get 41.25 weeks VR payment.
Actually you would get that even if you are paying into an RM pension as you would need to be 55 to get pension with 26 weeks VR. Your pension would be payable when you reach pensionable age - I think that is 58 now, but I expect I will be corrected if I am wrong.

I don't know how much you would get with IHR. It depends on whether you will ever be able to work again. If that is the case I believe you would get an IHR pension. I think your annual RM Pension Statement tells you how much you would get if you are medically retired.
If you don't qualify for medical retirement I believe the IHR lump sum pay off is 34 weeks pay. Again I'm not certain about that and I am sure someone will correct me if I'm wrong.

[paulthepostie]

Thank you for your reply baldrick. So i would be looking at around 17000 for vr and 14000 for ihr. I'm not in the government scheme either by the way.

It's such a shame that Royal mail has become the way it has, but after years of witnessing what the company has done to me and my colleagues and the relentless push for more i can't carry on with it anymore. So many of us are ruined because of the hct's, we've never had so many people off since the revision.

[RobertT]

Your pension would be payable when you reach pensionable age - I think that is 58 now, but I expect I will be corrected if I am wrong.

Just to confirm - The earliest age at which people will be able to claim their workplace or private pension is going to increase in 2028 from 55 to 57 and then it will stay 10 years behind state pension age. So as paulthepostie is currently 35, his state pension age will be 68 and therefore he won’t be able to claim his RM pension until he’s at least 58. Unless it's because of ill health in which case it can be taken before.
That’s assuming the rules don’t change again before then.

[k979aaa]

Thank you for your reply baldrick. So i would be looking at around 17000 for vr and 14000 for ihr. I'm not in the government scheme either by the way.

It's such a shame that Royal mail has become the way it has, but after years of witnessing what the company has done to me and my colleagues and the relentless push for more i can't carry on with it anymore. So many of us are ruined because of the hct's, we've never had so many people off since the revision.

With the 34 weeks as you have over 12 years service you get 12 weeks PILON as well so 46 weeks and you get to keep your shares.

[paulthepostie]

Thanks k979aaa. What is Pilon?, and also would i not receive my shares if i went through voluntary redundancy?. That could be a sticking point then.

[TrueBlueTerrier]

PILON - Pay in Lieu of Notice

[clashcityrocker]

PILON is Pay in Lieu of Notice.
All "good" leavers get to keep their shares so VR or IHR makes no difference.

[TrueBlueTerrier]

PILON - Pay in Lieu of Notice

Redundancy - yes I this is classed as a good leaver so you would keep them. https://www.myroyalmail.com/news/2013/0 ... royal-mail" onclick="window.open(this.href);return false;

If you leave Royal Mail for any of the following reasons:

You have an injury or disability which means you can no longer do your job
You are made redundant
You retire
The part of the company or business you work for is sold or transferred
You die,
you will not lose your Free Shares and you (or the people managing your estate if you die) will not have to pay income tax or National Insurance on their value.

[paulthepostie]

brilliant guys, thanks a lot!.

[k979aaa]

brilliant guys, thanks a lot!.

No problem we will all be doing the same too soon as well good luck.

[baldrick]

PILON - Pay in Lieu of Notice

RM used to give PILON with VR but don't now. You have to work out your notice period, or you can waive the notice period and leave immediately, or waive half the notice period. But if you waive the whole notice period or half of it, you won't be paid for the period waived.

edit: I believe managers taking VR still get PILON.

[k979aaa]

PILON - Pay in Lieu of Notice

RM used to give PILON with VR but don't now. You have to work out a 12 week notice period, or give up 12 weeks VR pay to leave immediately, or you can leave 6 weeks early and give up 6 weeks VR pay.

Still do with IHR.

[daveyeff]

Your pension would be payable when you reach pensionable age - I think that is 58 now, but I expect I will be corrected if I am wrong.

Just to confirm - The earliest age at which people will be able to claim their workplace or private pension is going to increase in 2028 from 55 to 57 and then it will stay 10 years behind state pension age. So as paulthepostie is currently 35, his state pension age will be 68 and therefore he won’t be able to claim his RM pension until he’s at least 58. Unless it's because of ill health in which case it can be taken before.
That’s assuming the rules don’t change again before then.

by 2028 medical advances will have improved so much, that they can extend you're lifespan by another 37 yrs. so the retirement age will go up to 105. then you will have a couple of years in a retirement hospice before popping ya cloggs

[blackadder]

im gobsmacked you aint in the pension pot. gota look after yourself when you retire at 80. anyways 17 grand and then what, life on the dole ???