I propose to take Questions Nos. 78 and 79 together.
The public service pension related deduction applies to any person who is a public servant on 1 March 2009 or is appointed to the public service after that date, is a member of a public service pension scheme, is entitled to a benefit under such a scheme or receives a payment in lieu of membership in such a scheme. The definition of a "public service pension scheme" is set out in section 1 of the Financial Emergency Measures in the Public Interest Bill 2009.
Officers appointed prior to 6 April 1995 do not pay explicit employee contributions in respect of their main scheme benefits. Those who only pay the 1.5% contribution to the spouses and children's scheme, receive approximately 5% less in their salary and their pension benefits are adjusted accordingly. It is reasonable in the circumstances that the new pension related deduction be applied to all public servants who enjoy the benefits of a public service pension — in terms of the enhanced terms and the greater security than the generality of private sector pensions. The graduated approach to the payment was introduced to ameliorate somewhat the impact on the lower paid public servants.
The draft Financial Emergency Measures in the Public Interest Bill 2009 provides that no additional benefit is conferred by the pension related deduction. It also provides for deductions to be repaid to those who leave the public service with no preserved pension benefit, i.e. with fewer than two years' service. It would not be appropriate for me to discuss the content of legal advice received in the course of development of policy and preparation of draft legislation. I am happy that the legislation provides a fair and reasonable approach, given the difficult circumstances currently.