Retrenchment benefits payable to an employee who is retrenched after completing 10 years’ service
37 Retrenchment benefits payable to an employee who is retrenched after completing 10 years’ service
This section does not apply to an employee who is retrenched before having completed 10 years’ service with any one or more employers.
In the case of the retrenchment of an employee who was a contributor at 30 June 1963, the contributor is, subject to section 38B, entitled to either—
a lump sum payment equal to three and one-half times the sum of—
the contributions that the contributor paid to the Fund (but without interest) before 13 January 1952, and
ten-elevenths of the contributions that the contributor has paid to the Fund (but without interest) on or after 13 January 1952,
in determination of all rights given by this Act (subsection (4) excepted), or
such pension as is determined by STC to be the equivalent of the contributor’s rights in the Fund.
In the case of the retrenchment of an employee who became or becomes a contributor on or after 1 July 1963, the contributor is, subject to section 38B, entitled to either—
a lump sum payment equal to two and one-half times the contributions that the contributor has paid to the Fund (but without interest), in determination of all rights given by this Act (subsection (4) excepted), or
such pension as is determined by STC to be the equivalent of the contributor’s rights in the Fund.
(Repealed)
An employee entitled to—
a lump sum payment under subsection (1) (a) is also entitled to a lump sum payment equal to two and one-half times an amount equal to ten-elevenths of the contributions, or
a lump sum payment under subsection (2) (a) is also entitled to a lump sum payment equal to one and one-half times an amount equal to the contributions,
that would have been payable by the employee under this Act in respect of each of the reduced value units allocated to the employee, had each such reduced value unit been held by the employee as a contributory unit as from the earliest of the times that the employee is deemed by section 47C (6) to have held the reduced value unit.
If STC has made a determination under section 61RA in respect of a benefit payable under this section, the amount of the benefit is reduced by the amount specified in STC’s determination.
Where an employee who has been retrenched and is in receipt of a pension thereafter enters the service of an employer—
the pension shall not cease to be payable,
the employee shall contribute as provided in Part 3, and
the employee shall not be entitled to count the employee’s service prior to retrenchment as service for the purpose of any other pension or benefit under this Act.
Where an employee who has been retrenched and has received a lump sum under this section thereafter enters the service of an employer, the employee is not entitled to claim any further benefit in respect of the employee’s previous service unless the employee complies with section 38C.
(Repealed)
A person who, before becoming a contributor, was—
employed on terms requiring the contributor to give the whole of his or her time to that employment, and
was paid at an hourly, daily, weekly or fortnightly rate, or at piecework rates,
is entitled to have that employment treated as service as an employee for the purposes of this section.
Whenever—
a period of employment that a contributor has had with an employing authority, and
a later period of service that the contributor has had as an employee with an employer,
are continuous STC may, if satisfied that, having regard to the nature of the work performed by the contributor during that period of employment, it is proper to do so, treat, for the purposes of this section, that period of employment as a period of service as an employee with that employer.
A reference in subsection (12) to a period of service as an employee with an employer includes a reference to a period treated under subsection (11) or (12) as a period of service as an employee.
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