1.
(A)
CONFIDENTIAL
Paper 3
Information Papers on Civil Service Pensions
Proposed Modifications to Existing Pensions Arrangements
Proposed changes to dependant pensions and related
benefits
The Widows' and Children's Pensions Scheme (WCPS) and The Widows and Orphans Pension Scheme (WOPS)
Voluntary membership
(a) Membership for all serving officers and new
recruits is to be made voluntary
(b)
(i) unmarried serving members (including single officers, divorced officers and widowers) will be able to opt out of the schemes within a specified period, with full or partial refund of past contributions plus interest;
(ii)
(iii)
to
cease
married serving members will be able to elect within
a specified period, contributing to
to the schemes. They will have their accrued benefits preserved (i.e. their dependants to continue to enjoy the coverage of the schemes on the basis of their past contributions);
new recruits will be able to opt, within a specified period after their appointment (in the case of single officers, after marriage), to join the WCPS or otherwise.
The voluntary WCPS is to be extended to cover Model Scale 1 Staff, female officers and junior disciplined services officers who are currently
exempted.
Rate of contribution
(a)
Based on actuarial advice, new entrants to the voluntary WCPS will contribute at 3.5% of salary with a matching contribution of 2.33% from Government. Serving members who opt to remain in the scheme may continue to contribute at the existing rate of 3% salary.
(b) There will be regular actuarial reviews of
the rate of contributions.
CONFIDENTIAL