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FRIDAY, DECEMBER 5, 1986
THE FACTORS FOR OFFICERS SUPERSEDED FOR PROMOTION ARE GENERALLY LOWER THAN THOSE FOR OFFICERS REQUIRED TO RETIRE SINCE THESE OFFICERS CAN CONTINUE IN THE SERVICE IN THEIR PRESENT POSTS.
THE COMPENSATION FACTORS FOR OFFICERS TRANSFERRING TO THE PROPOSED NEW PENSION SCHEME ARE GENERALLY HIGHER, ALTHOUGH NOT
THIS ALWAYS. THAN FOR OFFICERS ON THE EXISTING PENSIONS SCHEME. IS BECAUSE THE CAREER PERIOD LOST IS LONGER, HOWEVER, IN MOST CASES THE HIGHER COMPENSATION WILL BE OFFSET BY A REDUCED PENSION BECAUSE OF THE NEW SCHEME'S LOWER PENSION EARNING RATE.
THE FOLLOWING ARE EXAMPLES OF THE APPLICATION OF THE COMPENSATION FACTORS:
(A) THE LUMP SUM COMPENSATION FOR A CHIEF SUPERINTENDENT OF POLICE ON A DIRECTORATE SALARY OF $31 050 A MONTH WHO IS REQUIRED TO RETIRE TO PROVIDE A VACANCY FOR A LOCAL OFFICER AT THE AGE OF 45 WOULD BE CALCULATED AS FOLLOWS:
(1) UNDER THE EXISTING PENSION SCHEME, 2.95 TIMES
$372 600 EQUALS $1 099 170;
(11) UNDER THE PROPOSED NEW PENSION SCHEME, 3.90 TIMES
$372 600 EQUALS $1 453 140
BUT BECAUSE OF THE COMPENSATION CEILING THE AMOUNT PAYABLE IN THE EITHER CASE WOULD BE $900 000.
(B) THE LUMP SUM COMPENSATION FOR A SUPERINTENDENT OF
POLICE ON A DPS(0) SALARY OF $21 660 A MONTH WHO IS SUPERSEDED FOR PROMOTION TO FACILITATE LOCALISATION AT THE AGE OF 39, AND WHOSE PENSION BENEFITS ARE DEFERRED WOULD BE CALCULATED AS FOLLOWS:
(1)
UNDER THE EXISTING PENSION SCHEME, 2.57 TIMES $259 920 EQUALS $667 994;.
(11) UNDER THE PROPOSED NEW PENSION SCHEME, 2.50 TIMES
$259 920 EQUALS $649 800.
THE COMPENSATION SCHEME APPLIES TO PENSIONABLE OFFICERS, BOTH LOCAL AND OVERSEAS WHO WERE SELECTED FOR APPOINTMENT BEFORE JANUARY 1, 1985. IT WILL NOT APPLY TO JUDGES WHO WILL BE SUBJECT TO SEPARATE ARRANGEMENTS.
OVER THE NEXT SIX TO EIGHT WEEKS, MEETINGS WILL BE HELD WITH STAFF REPRESENTATIVES WHO HAVE A PARTICULAR INTEREST IN THE SCHEME.
MR BARMA SAID IT IS ESTIMATED THAT BETWEEN NOW AND 1997 ABOUT 100 OFFICERS, ALMOST ENTIRELY FROM THE ADMINISTRATIVE SERVICE AND THE POLICE FORCE, COULD BE AFFECTED BY LOCALISATION.
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