FR1
Approval for Payment of Redundancy Cost for Essential Redundancies
From 1st April 2012 Kent County Council (KCC) approval to meet the cost of
redundancies will only be given where the redundancies are necessary due to budget
constraints.
Definition of budget constraints


The school will go into deficit and remain in that position if there is no reduction in
staffing cost.
Reserves are reduced to a level which would result in the school not being
sustainable in financial terms. An in year deficit is not necessarily assessed as
being a financial reason if this is caused by one off expenditure or if there is not a
continuous trend of in year deficits.
Any other redundancy and early retirement (on redundancy grounds), cost must
be met by the school.
To enable KCC to make an “in principle” decision, the school must meet the criteria
stated in these guidelines. Please note the redundancy process has very clearly
defined deadlines and if the requirements listed below are not adhered to then this
could result in a delay in the process and the planned redundancy. In turn this could
lead to the school incurring additional cost.
The Local Authority (LA) provides guidance for schools that have identified a potential
deficit:
Section 5 of the Financial Controls “Guidance for Schools in Financial Difficulty” which
sets out KCC’s requirements.
http://www.kelsi.org.uk/school-finance/returns-and-monitoring/financial-control
Please refer to this document and review your budget in line with Step 1 on page 2. If it
is determined that redundancies are still required due to budget constraints the
Headteacher should then contact Schools Financial Services. The following documents
will be required to be submitted/available for viewing on BPS:
1. Application for Approval for Payment of Redundancy Costs in a Kent Maintained
School (Form FR1), all sections completed
2. Governors minutes where the budget constraints and possible action have been
discussed
1
FR1
3. A 3 Year Plan prior to any staff changes or any other savings, which clearly
shows that the school is forecasting a deficit.
4. A 3 Year Plan post management action showing a return to a balanced budget
and ensuring that the school is in a sustainable position after the reductions are
made (Please use naming convention ‘SiFD Budget Forecast dd/mm/yy’ if
using BPS)
5. Salary details (Employee scenario on BPS)
Please note the Budget Planning Software (BPS) will provide data for 3, 4 and 5.
The Application for Approval for Payment Form FR1 along with all other documents
listed should be e-mailed to Schools Financial Services at:
schoolsfinancialservices@kent.gov.uk and start the subject with the word Support.
Exceptions for the LA funding Redundancy/Early Retirement
The costs arising from redundancy/early retirement of school based staff may be funded
centrally by the LA, in accordance with the relevant legislation. Exceptions to this are:

Where the school is making staffing reductions which the LA does not believe are
necessary to either set a balanced budget or meet the conditions of a licensed
deficit

If a school has decided to offer more generous terms than the authority’s policy,
then it would be reasonable to charge the excess to the school

If a school is otherwise acting outside the LA’s policy

Where the school has excess surplus balances and no agreed plan to use these

Where the school has failed to make reasonable attempts to redeploy at risk staff
within the school

If the only cause of the revenue deficit is due to the school making a revenue
contribution to capital. The only circumstances that this would be agreed would
be if there was an outstanding capital loan and the amount contributed was equal
to or less than the shortfall in the loan repayments

Where staffing reductions arise from a deficit caused by factors within the
school’s control. This could be demonstrated by a school that has previously
submitted a 3 Year Plan or monitoring which indicates management action is
required in the next two years but makes decisions which contribute to the
deficit. For example appointing permanent staff or authorising a building project
2
FR1
Any criteria listed above is in addition to and not contradictory to Personnel
requirements or the guidance given by SPS. Personnel Service providers other than
SPS must also adhere to the criteria.
Recovery of Funds
Please note that for the two financial years after the redundancy the LA will consider
whether the financial circumstances of the school have improved or if staffing costs
increased post redundancies. If it is shown that the cost could have been borne by the
school then the funding will be reclaimed and returned to the centrally held budget to
allow other schools to access this funding.
3
FR1
APPLICATION FOR APPROVAL FOR PAYMENT OF REDUNDANCY COSTS IN A
KENT MAINTAINED SCHOOL
School Name:
DfE No:
Headteacher Name:
Contact Name:
e.g. School Business
Manager
Contact e-mail address;
Telephone Number:
Headteacher’s Email Address (if not as above):
Details of Personnel Provider:
Does School Financial Service have permission to liaise with your provider :
Consultation Start Date:
Have Schools Personnel Services been contacted:
KCC Approval to meet the costs of redundancies paid from 1 April 2012 will only be
given where the redundancies are necessary for financial reasons. Any other
redundancies and associated early retirement costs must be met by the school. To
enable KCC to make an 'in principle' decision, the documents below must be enclosed
with this application:
☐
Redundancy / Restructuring Rational Pro Forma see below. Schools will need to evidence
that the redundancy situation is due to budgetary constraints
☐
Governor’s minutes where the budget constraints and possible action have been
discussed
☐
Salary details
☐
Original 3 year plan prior to any staff changes or any other savings
☐
Revised 3 year plan is attached showing the savings to be achieved through redundancies
or any other savings made (assuming KCC is paying the redundancy cost)
☐
By ticking this box you authorise Schools Financial Services to access BPS
This form with all of the above documents should be sent from the Headteacher’s e-mail
address to: schoolsfinancialservices@kent.gov.uk and start the subject with the word
‘Support’.
You will be notified of “in principle” decision, to the Headteacher’s e-mail address within
20 working days of SFS receiving all the supporting documents listed above.
4
FR1
Redundancy / Restructuring Rationale Pro Forma
Date restructure to be effective from:
Rationale for the need for staff reductions
Please outline below a brief summary to support the data provided, clearly showing the
need to make staff reductions and the factors that have led to this situation.
Current Position:
Impact on Future Curriculum / Operational / Organisational Needs of the school:
Changes Proposed:
Savings Needed:
Please specify the total value of savings the school need to achieve; this should agree with the
Management Action data
5
FR1
Proposed staff reductions
Please outline below the numbers and categories of staff that it is proposed may be
dismissed as redundant.
Proposed Date
of Redundancy/ or
change
Teaching Staff
Support Staff
Temporary contracts to
be ceased
Other Non-Staff savings
6
Job Title
Number of
posts
Hours /
FTE
FR1
Other staff changes proposed
Please outline any other staff changes that are proposed – e.g. change in hours / grades / creation
of new role.
If new roles are proposed please attach job descriptions for these.
Budgetary information
Please provide details of
the school budget position
for the last year, the up to
date figures for the current
year and forecast for the
forthcoming year in the
table below. The figures
should reflect the amount if
no action is taken, if the
school is forecasting a
deficit please state amount:
Last year
Current year
Forthcoming year
April 2014 –March
2015
April 2015-March
2016
April 2016- Mach
2017
Teaching staff costs
(E01, E02, E31)
Support staff costs
(inc Cleaning/Catering
in-house E03, E04,
E05, E06, E07)
Utilities
(E15, E16, E17)
Equipment/stationery
(E19, E20)
Other costs
( E08, E09, E10, E11,
E12, E13, E14, E18,
E21,E22, E23, E24,
E25, E26, E27, E28,
E29, E30, E32)
Reserves c/fwd
Please attach relevant reports / forecasts to support budget situation outlined above.
7
FR1
Staffing information
Please provide details of the school staffing position at the start of each of the academic
years by completing the table below.
September 2015
(staff / FTE / hrs)
September 2016
(staff / FTE / hrs)
September 2017
(staff / FTE / hrs)
Permanent teaching
staff
Temporary teaching
staff
Permanent support staff
Temporary support staff
Please attach a list of those staff and job titles likely to be affected by the restructure
proposals
Number on roll
Please provide details of the number on roll at the start of the last academic year, this
academic year and the anticipated intake for the following years by completing the table
below.
September
September
September
September
2014
2015
2016
2017
Number on roll
Please provide details of any factors that you believe may affect future numbers on roll or pupil intake
numbers
8
FR1
Avoidance Measures
Please outline any steps taken to avoid a potential redundancy situation
Proposed criteria for redundancy selection
Please outline proposed selection method – e.g. audit / interview etc.
If an audit process is proposed please attach audits if available
9
FR1
Funding of Redundancies
If Maintained School – do you wish to seek approval from the Local Authority Funding
of any redundancies?
Y/N
Have you completed the Approval for Payment of Redundancy costs form
Y/N
Please note:
The Local Authority will only fund redundancies where these are necessitated by
budget constraints. Any Local Authority funding is subject to the school
receiving early approval in principle and final approval of the actual redundancy
and pension costs.
For an Academy the responsibility for the costs of a redundancy payment and pension
costs will rest with the Academy
Additional Information
Will you be following the agreed redundancy process as set out in the KCC Procedure
for Redundancy and Redeployment in schools?
Y/N
Will you be adopting the procedures for calculating the amount of any redundancy
payment as set out in the KCC Procedure?
Y/N
Has an Equality Impact Assessment been undertaken?
Y/N
Redundancy Sub Committee
Please provide the names of the three Governors on the Redundancy Sub Committee
Panel



10