TNAG-2101-FCO40-2990-HM-Overseas-Civil-Service-(HMOCS)-policy-matters-1990 — Page 122

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staff

wishes. The proposal is assessed to be financially

an initial expenditure

acceptable. Although there would be

for refund of past contributions to unmarried members opting

out of the schemes (married officers would have their

dependant pension benefits preserved and frozen at the level

when they cease to contribute), the ultimate pension

liability would be reduced and there would be considerable

savings in the expenditure on dependant pensions in the long

It is estimated that, on the assumption that only

about 10% of new recruits will join the voluntary scheme, the

savings to Government could be up to 4% of the salaries of

all male pensionable officers.

term.

18.

benefits,

the

As for the other proposed improvements to dependant

additional cost involved, if any, would be

minor. We are therefore confident that none of the proposed

changes would have major financial implications or affect the

civil service's confidence in the future.

19.

These proposals will be implemented, subject to the

provision of resources, after advice is obtained from the

advisory bodies on civil service salaries and conditions of

service, and amendments to the pensions legislation.

CONFIDENTIAL