Public and Commercial Services Union

Please find below a copy of the consultation document on non-pay allowances overseas – return from overseas.

Assistance available from overseas non-pay allowances varies according to the circumstances of the posting; whether they have dependants; whether they have been posted overseas on a tour; specially recruited for overseas service; whether they have had a UK post before; whether they own a property, rent; whether they had assistance to sell their home; whether they have a new job or going into the RDP, have purchased in another location; whether their new job attracts permanent or temporary transfers or whether they are returning from a career break.
The MoD in this consultation document has detailed that it has tried to set out the broad allowances for the most often used scenarios and clarify the rules surrounding them.

Please direct any comments to either K C Jones at pcstlo@dst.mod.uk or Rob Bowers at robbowers@pppa.mod.uk no later than the 4 August 2009.

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1. Staff returning from overseas may be eligible for a broad range of allowances to help with the cost of the return. The assistance available varies according to the circumstances of the posting, whether they have dependants, whether they have been posted overseas on a tour, specially recruited for overseas service, whether they have had a UK post before, whether they own a property, rent, whether they had assistance to sell their home, whether they have a new job or going into the RDP, have purchased in another location, whether their new job attracts permanent or temporary transfers or whether they are returning from a career break.
2. With so many permutations and conscious that staff can often be uncertain about what they will get, especially if they do not have a UK home or new job sorted out before their return, I have endeavoured to set out the broad allowances for the most oft used scenarios. This is attached at Annex A and attached for your information.
3. Subject to any clarifications, I propose to set this document out in the PRG, in the vain hope that might have covered most permutations. Happy to discuss/clarify any aspects as needed

Allowances on return from overseas - clarification of policies

The Policy Rules & Guidance do not currently identify the many allowance permutations that may arise on return from overseas – albeit some of these arrangements have been used or published previously. The position has now been exacerbated by employees returning to the UK into the RDP, where hitherto they were managed into a new post in the UK. Thus some employees may now have neither home nor new job on return to UK, where before, they could reoccupy the old home or move to the new location immediately on return to UK.

The number of permutations increases depending upon whether an employee chose to dispose of their old home in the initial period after being posted overseas, or whether they made a private decision to sell the home during the overseas tour. The latter is broadly not recognised by the Department on return to UK because it has nothing to do with the original transfer overseas, and so should not lead to additional expenditure being incurred by the Department.

The following list is not meant to exhaustive, but would seemingly cover most permutations that have arisen.

1. Employee in MOD employment Overseas and returns to a UK MOD Post

1a. Posting to Old Work Station (e.g. last permanent work location or location within reasonable daily travel of home at last permanent work location). All postings to locations within reasonable daily travel of old home will be on Permanent terms.

Employee returns to UK and returns to former home.

• Repatriation of employee, recognised members of household to the UK.
• Removal of belongings from overseas/store to UK home.
• Car Shipment (if appropriate)
• 50% of the Overseas Transfer Grant
• Subsistence allowances on arrival in the UK or country of recruitment. Up to 7 nights assistance with actual cost of accommodation and meals for employee and recognised members of household, and Incidental Expenses Allowance for employee only. This would be granted if employee/family unavoidably had to occupy hotel or hotel type accommodation because the UK Home cannot be occupied immediately (e.g. awaiting delivery of belongings). This may be extended by PPPA if they are satisfied it is merited.
• Any old entitlement to Additional Housing Costs Allowance may be reactivated at the point the allowance would have reached had it still be in operation, and if still needed.

Employee returns to UK having sold previous home on being posted overseas, having told the Department of their intention to sell the old home within 3 months of transfer and subsequently receiving assistance with the sale costs.

• Repatriation of employee, recognised members of household to the UK.
• Removal of belongings from overseas/store to UK.
• Car Shipment (if appropriate)
• 50% of the Overseas Transfer Grant
• Subsistence allowances on arrival in the UK or country of recruitment. Up to 7 nights assistance with actual cost of accommodation and meals for employee and recognised members of household, and Incidental Expenses Allowance for employee only. This may be extended to 30 nights by PPPA if they are satisfied that it is merited. If at the end of this period you have still not secured permanent accommodation, some limited assistance with additional temporary accommodation costs through the payment of Supplementary Rent Allowance for a short period.
• Assistance with legal expenses - Solicitors Fees, Reasonable Stamp Duty Costs, Mortgage Arrangement Fees (but not broker fees etc)
• No assistance with other UK Transfer Allowances for a return to the old location
• Any old entitlement to Additional Housing Costs Allowance may be reactivated at the point the allowance would have reached had it still be in operation on purchase, and if still needed.

Employee returns to UK having sold old home privately during the overseas tour, having previously informed the Department within 3 months of transfer, they did not intend to sell the UK home whilst overseas.

• Repatriation of employee, recognised members of household to the UK.
• Removal of belongings from overseas/store to UK.
• Car Shipment (if appropriate)
• 50% of the Overseas Transfer Grant
• Subsistence allowances on arrival in the UK or country of recruitment. Up to 7 nights assistance with actual cost of accommodation and meals for employee and recognised members of household, and Incidental Expenses Allowance for employee only. This may be extended to 30 nights if PPPA are satisfied that it is merited.
• No assistance with legal expenses or any other UK Transfer Allowances (mortgage/rental support) to re-establish the UK home.
• Any old entitlement to Additional Housing Costs Allowance may be reactivated at the point the allowance would have reached had it still be in operation on purchase, and if still needed.

Employee returns to UK having previously been a renter

• Repatriation of employee, recognised members of household to the UK.
• Removal of belongings from overseas/store to UK.
• Car Shipment (if appropriate)
• 50% of the Overseas Transfer Grant
• Subsistence allowances on arrival in the UK or country of recruitment. Up to 7 nights assistance with actual cost of accommodation and meals for employee and recognised members of household, and Incidental Expenses Allowance for employee only. This may be extended to 30 nights by PPPA if they are satisfied that it is merited. If at the end of this period you have still not secured permanent accommodation, some limited assistance with additional temporary accommodation costs through the payment of Supplementary Rent Allowance for a short period.
• No assistance with legal expenses or any other UK Transfer Allowances for a return to the old location
• Any old entitlement to Additional Housing Costs Allowance may be reactivated at the point the allowance would have reached had it still be in operation on purchase, and if still needed.

1b. Posting to New Work Station outside of reasonable daily travel of home at last UK permanent place of work. Postings will be either Permanent or Temporary depending upon expected time spent in new post.

Employee returns to UK and new post on Permanent Terms.

• Repatriation of employee, recognised members of household to the UK.
• Removal of belongings from overseas/store to old/new UK home.
• Car Shipment (if appropriate)
• 50% of the Overseas Transfer Grant (if old home is reoccupied and employee travels daily). If an employee moves home within the UK, this will be deducted from the UK Transfer Grant
• Subsistence allowances on arrival in the UK or country of recruitment. Up to 7 nights assistance with actual cost of accommodation and meals for employee and recognised members of household, and Incidental Expenses Allowance for employee only.
• Normal UK rules will apply for the move of home to the new area, with assistance granted as needed; e.g. move of home expenses, Additional Housing Costs Allowance, Advance of Salary, Relocation Company Scheme as appropriate.*
• If the old home is reoccupied, any old entitlement to Additional Housing Costs Allowance may be reactivated at the point the allowance would have reached had it still be in operation, and if still needed.

* Employees who decide to return to the old location home and travel daily can claim Excess Fares Allowance under UK Transfer rules. The assistance granted with reoccupation of the old home will be as set out in 1a (above). An employee who sold their old home privately whilst overseas, may claim their sale costs retrospectively, if they move home to the new location. An employee who sold their home when going overseas and later purchased a property in the old location or another location unrelated to the old or new work areas, will be responsible for its disposal. They will not be able to use the Relocation Company Scheme, but could receive their legal expenses on purchase, when the old home is sold. If the employee purchased a property within the dormitory area of the new work location whilst overseas, the purchase costs may be met retrospectively.

Employee returns to UK and new post on Temporary Terms.

An employee who undertakes a Temporary Transfer on return from Overseas, would not be expected to establish a permanent position in the UK “Temporary” location but would either travel daily from their old area, or stay in temporary accommodation. Thus, for these employees, the normal UK Temporary Transfer allowance package would apply and allowances payable would be based on their permanent accommodation position at the old location. Employees would normally return to their old home/work location, and the assistance payable for this aspect of the return would be as defined in 1a (above).

2.Employee returns to UK into the Redeployment Pool

Employee returns to UK to old home

• The appropriate allowances as set out in 1(a) above would apply.
• Once a UK post is secured the appropriate UK Transfer rules will be applied on the basis of the old UK home – either Permanent or Temporary Transfer terms, daily travel, move of home etc.
• If a move is secured within 12 months of return, the UK Transfer Grant will be abated by any earlier payment of the Overseas Transfer Grant.
• If a new post is secured before the reoccupation of the old home is completed, it may be possible to remain in temporary accommodation if PPPA concur that it is cost effective to do so before utilising the UK transfer allowances.

Employee returns to UK and has no home (owner-occupier)

• Repatriation of employee, recognised members of household to the UK.
• Removal of belongings from overseas/store to UK home.
• Car Shipment (if appropriate)
• 50% of the Overseas Transfer Grant
• Subsistence allowances on arrival in the UK or country of recruitment. Up to 30 nights assistance with actual cost of accommodation and meals for employee and recognised members of household, and Incidental Expenses Allowance for employee only. At the end of this period, two months Supplementary Rent Allowance to help with temporary accommodation costs. At the end of this period, an employee assumes responsibility for their accommodation costs if still in the RDP, although PPPA may extend that period in exceptional cases.
• Once a UK post is secured the appropriate UK Transfer rules will be applied on the basis of the old UK home – either Permanent or Temporary Transfer terms, daily travel, move of home etc.
• If an employee has purchased a new home whilst still in the RDP, legal expenses will only be payable if the new home is within a location that would normally justify the payment of legal expenses – meets normal move of home criteria, or the new post justifies an entitlement to legal expenses. Exceptionally PPPA may authorise assistance with legal expenses if appropriate (e.g. the employee secures a temporary posting)
• If a move is secured within 12 months of return, the UK Transfer Grant will be abated by any earlier payment of the Overseas Transfer Grant.

Employee returns to UK and has no home (renter)

• Repatriation of employee, recognised members of household to the UK.
• Removal of belongings from overseas/store to UK home.
• Car Shipment (if appropriate)
• 50% of the Overseas Transfer Grant
• Subsistence allowances on arrival in the UK or country of recruitment. Up to 30 nights assistance with actual cost of accommodation and meals for employee and recognised members of household, and Incidental Expenses Allowance for employee only. At the end of this period, two months Supplementary Rent Allowance to help with temporary accommodation costs. At the end of this period, an employee assumes responsibility for their accommodation costs if still in the RDP, although PPPA may extend that period in exceptional cases.
• Once a UK post is secured the appropriate UK Transfer rules will be applied on the basis of the old UK home – either Permanent or Temporary Transfer terms, daily travel, move of home etc.
• If a move is secured within 12 months of return, the UK Transfer Grant will be abated by any earlier payment of the Overseas Transfer Grant.

Employee returns to UK post, having previously not worked in the UK

· See Section 4

3.Employee in MOD employment Overseas and leaves MOD employ on return to UK

3a. Employee returns from overseas on retirement, resignation, voluntary redundancy or transfer to another Government Department or Agency

• Repatriation of employee, recognised members of household to the UK.
• Removal of belongings from overseas/store to the place at which you intend to reside up to the cost of removal to your home at your previous permanent place of work in UK, or your place of recruitment in the UK if you did not have a previous UK work station. If you were recruited direct from HM Forces abroad, removal costs will be paid up to the cost of removal to the last UK address where you lived in the UK. Removal expenses to an overseas residence within the cost of the removal to the UK.
• 50% of the Overseas Transfer Grant within 3 months of retirement or resignation
• Subsistence allowances on arrival in the UK or country of recruitment. Up to 7 nights assistance with actual cost of accommodation and meals for employee and recognised members of household and Incidental Expenses Allowance for employee only. This would be granted if employee/family unavoidably had to occupy hotel or hotel type accommodation in the following circumstances: UK Home cannot be occupied (e.g. awaiting delivery of belongings); Old UK home was sold or unable to occupy old home immediately on return; If you are a non householder who did not reside with parents
• No legal fees will be granted for purchase of a new home, whether the Department assisted with sale expenses or not on posting overseas
• Potential financial penalties for curtailment charges may be raised if the departure from overseas is earlier than expected.

4. Employee is in MOD employment overseas having not previously for MOD in the UK
As employees posted to their first UK post would normally fund any relocation expenses in the UK post, or any daily travel, it follows that any expenses arising from moving to, or travelling to their first UK post, following an overseas post, is a personal responsibility.

4a Employee returns to UK into a new post

• Repatriation of employee, recognised members of household to the UK.
• Removal of belongings from overseas/store to UK.
• Car Shipment (if appropriate)
• 50% of the Overseas Transfer Grant

Subsistence allowances on arrival in the UK or country of recruitment. Up to 7 nights assistance with actual cost of accommodation and meals for employee and recognised members of household, and Incidental Expenses Allowance for employee only. This may be extended to 30 nights by PPPA if they are satisfied that it is merited.
Thereafter, any additional expenses in the UK are the responsibility of the employee. No UK Transfer allowances would be payable (Relocation Services, Legal Expenses, AHCA, AOS etc)

4b Employee returns to UK into the RDP

• Repatriation of employee, recognised members of household to the UK.
• Removal of belongings from overseas/store to UK.
• Car Shipment (if appropriate)
• 50% of the Overseas Transfer Grant
• Subsistence allowances on arrival in the UK or country of recruitment. Up to 7 nights assistance with actual cost of accommodation and meals for employee and recognised members of household, and Incidental Expenses Allowance for employee only. This may be extended to 30 nights by PPPA if they are satisfied that it is merited. If the employee is still in the RDP at the end of this period, PPPA may offer assistance with two months Supplementary Rent Allowance in exceptional cases, and provided an employee does not have a residence which could be used whilst in the RDP.
• Thereafter, any additional expenses in the UK are the responsibility of the employee. No UK Transfer allowances would be payable (Relocation Services, Legal Expenses, AHCA, AOS etc)

4c Employee returns to UK having been specially recruited for Overseas Service

This group of employees have no expectation of returning and working in the UK.
Consequently any assistance is limited to help with the cost of the return to the UK.

5. Employee is Overseas (e.g. on Career Break) and returns to UK

If an employee is working overseas (e.g. for NETMA) or a private employer, or simply living overseas (e.g. following their spouses career), any costs that arise from returning to the UK and/or from the subsequent unavailability of their UK accommodation, are not the responsibility of MOD, and therefore no costs will be met by the Department.