You may need to take time away from work during your career. Special rules apply to protect your LGPS pension if you are on sick leave, child-related leave or reserve forces leave. You may be able to pay extra to make up for pension ‘lost’ during other types of unpaid absence. If you are paying extra in the LGPS, you might have to pay missed extra contributions when you return to work after an absence.
Sick leave
If you are off work because of sickness or injury, your pay might go down or you may receive no pay. If this happens your employer will work out the pay you would have received and this will be used to work out your pension to make sure you do not lose out.
You will continue to pay pension contributions on any pay that you receive while you are off sick. If you are on unpaid sick leave, you will not pay any contributions.
Child related leave
You will continue to pay your pension contributions on any pay that you receive while you are on child related leave.
Any period of unpaid additional maternity, paternity, adoption leave or paid parental bereavement leave will not count for pension purposes unless you elect to pay Additional Pension Contributions (APCs) to buy the amount of lost pension.
If you want to buy the amount of lost pension and elect to do so within 30 days of returning to work, the cost of the APC is split between you and your employer. You will pay one third of the cost and your employer will pay the rest. This is known as a shared cost additional pension contribution (SCAPC). You can pay these additional contributions in a one-off lump sum or through regular payments from your wages.
Strike
If you are absent for a day or more due to strike action the period will not count for pension purposes unless you elect to pay Additional Pension Contributions (APCs) to buy the amount of lost pension.
Your employer does not contribute to the APC, you would have to cover the full cost.
Authorised unpaid leave
If you are granted unpaid leave of absence, including jury service, the period will not count for pension purposes unless you elect to pay Additional Pension Contributions to buy the amount of lost pension.
To calculate the cost of any lost pension, access the calculator on the LGPS Member website.
Unauthorised leave
You are not able to buy lost pension for unauthorised leave.
Reserve forces leave
If you are on reserve forces leave and elect to remain in the LGPS you continue to build up pension based on your assumed pensionable pay.
Away from work and paying extra
If you are paying extra in the LGPS, different rules apply when you are absent depending on the type of additional contributions you are paying and the reason for your absence. In some cases you will need to pay the additional contributions when you return to work. Further information can be found on the LGPS member website.