At a meeting of the EMPLOYMENT in HAMPSHIRE COUNTY COUNCIL COMMITTEE HELD at THE CASTLE, WINCHESTER on TUESDAY

28 MARCH 2006

Present:

Councillors:

30. APOLOGIES FOR ABSENCE

Apologies for absence were received from Councillor Baulk.

31. DECLARATIONS OF INTEREST

Members were mindful that, where they believed they had a personal or personal prejudicial interest in any matter to be considered at the meeting, they should normally at the time of the debate, declare their interest and, having regard to the circumstances described in paragraphs 9, 10, 11 and 12 of the County Council's Code of Conduct, consider whether to leave the meeting whilst the matter was discussed.

32. MINUTES

The minutes of the meetings of the Committee held on 1 December 2005 and

20 February 2006 were agreed as a correct record and signed by the Chairman.

33. CHAIRMAN'S COMMUNICATIONS

There were no communications from the Chairman.

34. DEPUTATIONS

There were no deputations.

35. EXCLUSION OF THE PRESS AND PUBLIC

RESOLVED:

That the public be excluded from the remainder of the meeting as it is likely, in view of the nature of the business to be transacted or the nature of the proceedings, that if members of the public were present there would be disclosure to them of confidential or exempt information within Paragraphs 1 and 3 respectively of Part 1 of Schedule 12A to the Local Government Act 1972, and further that, in all the circumstances, the public interest in maintaining the exemption outweighs the public interest in disclosing:

- information relating to the financial or business affairs of any particular person (including the County Council as holder of that information) in Minutes 36 and 37.

- the confidential personal information in Minute 38;

36. PENSIONS ISSUES

The Committee considered the confidential report of the Actuary (Item 7 in the Minute Book) concerning the impact of the government's new pensions regime commencing on 1 April 2006 on the pension provisions for the County Council's most senior officers both now and in the future. Decisions made by the Committee would form the County Council's position as a matter of policy and would become part of the County Council's employment conditions at the highest levels. Issues raised at the previous meeting had been revisited within the underlying principle that the pension arrangements put in place would be at no cost to the council tax payer. The Actuary explained the proposal set out in his report in detail and a revised draft letter (Item 7a in the Minute Book) to the officers concerned setting out fully the basis of the proposed offer was considered by the Committee. The Actuary answered Members' questions to their satisfaction and the Head of Corporate and Legal Services and Monitoring Officer affirmed his endorsement of the independent legal advice given to the Committee that the proposed pension arrangements were lawful. The Actuary was satisfied that they were also acceptable to the Inland Revenue.

The Committee wished to place on record their appreciation of the advice given to them by Tim Lunn, the Actuary.

Having considered all the issues, the Committee unanimously

RESOLVED:

That, in making this decision, the Committee reaffirms that, in all matters pertaining to the following, the position of the County Council is safeguarded and that the impact of the decision shall be cost neutral to the County Council's council tax relative to (words of Tim Lunn to be ascertained).

a) that the service augmentations that would have been made at age 60 be effected prior to A Day under Regulation 52 of the Local Government Pension Scheme Regulations, conditional upon members signing their offer letters since these contain the safeguards that apply on early or late exit;

b) that the costs of these augmentations under Regulation 52 be provided for by additional contributions as required under Regulation 52 (6)(a), contributions as required in accordance with Regulation 79;

c) that the form of the offer letter as set out in Item 7a in the Minute Book be approved;

d) that the Director of Human Resources, in consultation with the sub-group previously established comprising Councillor T. K. Thornber and Councillor B. D. Dash be authorised to issue and collate responses to the offer letters without further recourse to the Committee since action will be needed over a short time period.

37. PAY AND BENEFITS UPDATE

The Committee received and noted the confidential report of the Director of Human Resources (Item 8 in the Minute Book) explaining the current position on progress with negotiations with the Trades Unions in relation to the County Council's Pay and Benefits project.

38. CHIEF OFFICER SALARY REVIEW

The Committee considered and approved the confidential report of the Director of Human Resources (Item 9 in the Minute Book) concerning the pay award for Chief Officers for 2006/07.

RESOLVED:

a) that salary increases of 2.95% be approved for Chief Officers with effect from

1 April 2006.

b) that the Director of Human Resources report to the next meeting of the Committee on top tier salary comparisons.