2.9  Discretionary Benefits

2.9.1  Where the Contractor or a Sub-Contractor is an Admission Body, the Contractor shall and/or shall procure that any relevant Sub-Contractor shall award benefits (where permitted) to the Eligible Employees under the Compensation Regulations and/or the LGPS in circumstances where the Eligible Employees would have received such benefits had they still been employed by the Authority; and

2.9.2  Where the Contractor and/or a Sub-Contractor is not an Admission Body, the Contractor shall and/or shall procure that any Sub-Contractor shall award benefits to the Eligible Employees which are identical to the benefits the Eligible Employees would have received under the Compensation Regulations and/or the LGPS in circumstances where the Eligible Employees would have received such benefits had they still been employed by the Authority.

2.9.3  Under clause 2.9.1 and 2.9.2, where such benefits are of a discretionary nature, they shall be awarded on the basis of the Authority's written policy in relation to such benefits at the time of the Relevant Transfer Date (which the Authority shall provide upon request). Where the payment of such benefits is not, for whatever reason, possible, the Contractor shall and/or shall procure that any relevant Sub-Contractor shall compensate the Eligible Employees in a manner which is broadly comparable or equivalent in cash terms.36

______________________________________________________________________________________________________

36 The Authority may wish to consider the extent it wishes to impose obligations on the Contractor or Sub-Contractors in respect of the discretionary benefits they may award under the Compensation Regulations and/or the LGPS (in particular where employment is terminated by reason of redundancy or in the efficient exercise of the Authority's functions). The suggested wording reflects the starting position for negotiation with the Contractor. See commentary at 3.27 above.