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27 AUG 2021
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Most relevant to colleagues in CRCs, Parent and Supply Chain Organisations
Understanding pay assimilation
Some of you will have your pay ‘assimilated*’ to the NPS pay scales upon transfer. Others will be transferring on their current pay. this page aims to explain which category applies to you and gives more detail about the pay assimilation process.
‘Pay assimilation’ is part of the process of implementing the National agreement. The National Agreement is a Staff Transfer and Protections Agreement that was reached with the NPS recognised Trade Unions. If the National Agreement applies to you, then pay assimilation will enable the NPS to see how your pay aligns to NPS pay scales. This will ensure you are paid correctly when you transfer.
Parent Organisation and Supply Chain Staff
- If you are employed by a parent organisation or supply chain organisation then you are not being aligned to NPS terms on the day of transfer as the National Agreement does not apply to you.
- This means that your pay will not be assimilated to the NPS pay bands. You will join the NPS on your current salary.
- The aim is that you will be aligned to NPS terms and conditions after transfer. This won’t happen immediately and will be done after a consultation and negotiation period with our recognised Trade Unions.
Directly employed CRC staff
- If you are directly employed by a CRC then you are covered by the National Agreement. This means that your pay will be assimilated on to NPS pay bands.
- The National Agreement covers more than just pay, but the other elements of the National Agreement will not be covered on this page.
Much of the information on this page is only relevant to people whose pay is being assimilated to the NPS pay scales (those who are directly employed by a CRC and therefore covered by the National Agreement).
What you need to know about Pay Assimilation
This information is only applicable to staff who are covered by the National Agreement. Click on the statements below to learn more.
1) Pay assimilation doesn’t apply to everyone
If you are directly employed by a CRC then you are covered by the National Agreement (NA) and your pay will be ‘assimilated’ to the NPS pay scales upon transfer.
If you are employed by a parent organisation or supply chain organisation then the National Agreement doesn’t apply to you. This means that your pay will not be assimilated to the NPS pay scales on day 1 of transfer. You will transfer on your current salary and much of the information on this page will not be relevant to you.
2) You will be mapped to the NPS pay scales
Pay assimilation means that we will take the 37 hour equivalent of your current salary and map it to the equivalent, or next highest pay point on the NPS pay scales for the NPS pay band that you have been matched to.
Some of you will be contracted to work more than 37 hours per week with your current employer. Upon transfer this will change and you will work a 37 hour week as this was what was agreed in the National Agreement. Your pay will change to reflect a 37 hour week.
Only applicable to staff covered by the National Agreement.
3) Your pay will be protected
If your current salary exceeds the NPS band maximum then you will be placed on the band maximum and the difference in pay will be paid to you as ‘pay protection’.
Pay protection will be paid on an erodible mark time basis* for 3 years from the date of transfer.
Only applicable to staff covered by the National Agreement.
4) An example to bring this to life
Lets work through an example.
- A person currently works 37 hours and has a salary of £20,200
- They are aligned to an NPS Pay Band 2.
- There is no equivalent pay point of £20,200 on the NPS pay scales for Band 2, the next highest pay point is £20,772.
- £20,772 will be their new salary after transfer.
Only applicable to staff covered by the National Agreement.
5) Change won’t take effect until after transfer
If your pay is going to change then it will not change before you transition to the new Probation Service.
The process of ‘assimilating’ your pay to the NPS pay scales will happen before transfer but the changes will not take effect until the 26th June. You will receive a letter confirming what your pay will be upon transfer in June.
Only applicable to staff covered by the National Agreement.
More information on pay protection (applicable only to those covered by the National Agreement)
Click on the statements below to learn more.
What pay is protected under pay protection?
- Pay protection for the following reasons will be protected for 3 years from date of transfer:
- Your NPS salary is lower than your current salary as a result of a reduction of hours
- Your current salary exceeds the band you are placed
- The loss of an allowance not payable in the NPS
- Your current allowance value is higher than the NPS allowance value
Pay protection is paid on an erodible mark-time basis. This means, that should your salary increase, your pay protection reduces by the same value. This applies for 3 years from the date of transfer or until it is fully eroded, whichever comes soonest.
Only applicable to staff covered by the National Agreement.
A pay protection example
- If your salary is £23,841 and your protected pay is £1,159 then your salary and pay protection equals £25,000 in total.
- If you receive a £500 increase in salary, your new salary is £23,841 + £500 = £24,341
- Which makes your new pay protection value £1,159 – £500 = £659
- Your overall pay package, including the new salary and pay protection remains £25,000.
Only applicable to staff covered by the National Agreement.
More information on different working hours
Click on the statements below to learn more.
How we assimilate pay for part time workers
- First, we take your salary and work out the 37 hour equivalent.
- This is calculated by dividing your salary by your current working hours, then multiplying this by 37.
- For example, the 37 hour equivalent for someone working 15 hours a week with a salary of £12,000 is calculated as:
- £12,000 / 15 = £800
- £800 x 37 = £29,600
- We use your 37 hour equivalent salary to assimilate your pay onto an NPS pay point. We then take your new NPS salary and work out your part time salary by dividing this by 37 and multiplying it by your working hours.
- For example, using the person above as a Band 4 staff member. There is no equivalent pay point to £29,600 in NPS pay scales for Band 4, the next highest pay point is £30,208.
- So to work out the 15 hour, part time salary:
- £30,208 / 37 = £816.43
- £816.43 x 15 = £12,246.45
Only applicable to staff covered by the National Agreement.
How we assimilate pay for those working more than 37 hours per week
- The full time hours in NPS are 37 hours per week. If you work more than 37 hours, your 37 hour equivalent will be used when we assimilate your pay onto the NPS pay scales. If this results in a lower salary, the difference will be pay protected for 3 years from the date of transfer.
- For example, someone working a 40 hour working week with a current basic salary £25,000, divided by your current 40 hour/week = £25,000 / 40 = £625.
- Multiply this by the NPS 37 hour/week = £625 * 37 = £23,125
- The new basic annual salary for this person would be £23,125.
- This salary is then assimilated to the NPS pay scales. There is no pay point of £23,125 in the NPS pay scales so assuming this is a NPS Band 3 equivalent role, they will be uplifted to the next highest NPS pay point at £23,841.
- The shortfall between £25,000 (the 40 hour per week salary) and £23,841 (the 37 hour assimilated salary) is £1,159. This amount will be protected for a period of three years from the date of transfer or until your NPS salary overtakes £25,000, whichever is the sooner. You can find out more about pay protection on the next page.
Only applicable to staff covered by the National Agreement.
How we assimilate pay for those working less than 37 hours per week
If you transfer from the CRC with a full time working hours equivalent of less than 37 hours, then you will move to 37 hours. Your salary will be uplifted to reflect you are now working 37 hours and then you will be assimilated onto NPS pay scales.
For example, if you transfer from the CRC and your full time working hours are 35, you are mapped to a Band 4, and your current salary is £32,000:
- We will uprate your current salary for working 35 hours to reflect the 37 hour equivalent: £32,000 / 35 * 37 = £33,828.57
- 37 hour equivalent salary = £33,828.57 (if this salary exceeds the band maximum in which you have been placed, this 37 hour equivalent salary will be pay protected as you will be working 37 hours in the NPS)
- There is no equivalent pay point, so the next highest pay point in the Band 4 pay scale to £33,828.57 is £34,342
- Salary on transfer to NPS for working 37 hours: £34,342
You can apply to reduce your hours from 37 hours if you should wish to by contacting your line manager.
More information for staff who are not matched to a role on transfer
Click on the statements below to learn more.
Pay assimilation for staff who are not matched to a role on transfer
After the role alignment process, some people do not have a match to a role within the NPS. For people in this position, we will be applying a temporary assimilation to your pay until your NPS pay band has been confirmed. Once your NPS pay band has been confirmed we will apply the National Agreement pay assimilation (to the equivalent or next highest pay point) and backdate this to the date of transfer.
- To avoid any possible overpayments and to retain your current salary so you don’t suffer any financial detriment, we have assimilated you to an equivalent or next lowest pay point in the NPS Pay Scales.
- Any difference from being assimilated to the next lowest pay point will be pay protected.
- The pay point you are given on the NPS pay scales will provide you with a temporary NPS pay band and pay point. This will enable us to pay you. You may see this on your SOP record. Once your band has been confirmed, this temporary band may change.
- Once your NPS pay band has been confirmed, we will run the pay assimilation calculation again, and this will be applied retrospectively to the date of transfer. This means that it will include any backdated pay arrears if your total pay has increased.
- If you are placed into a lower pay band than the temporary holding pay band, then following the pay assimilation, your base salary will decrease from the temporary holding position and your pay protection will increase, meaning your total pay will remain the same.
Examples are included below.
Example 1
A pay assimilation example for someone transferring from a CRC who has not yet been matched to an NPS band and works a 37 hour week.
- Current CRC salary – £24,000
The individual’s pay is temporarily assimilated to equivalent or next lowest pay point.
- NPS Base Salary – £23,841 (band 3, pay point 2)
- Difference between CRC salary and NPS base salary: £159
- Pay protection: £159
- Total NPS pay: £24,000
Post transfer, this person’s band was confirmed as Band 3. Pay assimilation is recalculated using their CRC salary and matching it to to the equivalent or next highest pay point on the NPS band 3 pay scale.
- New NPS base salary – £24,801 (Band 3, pay point 3)
- This salary increase will be backdated to 26th June 2021 and arrears will be paid.
Example 2
A pay assimilation example for someone transferring from a CRC who has not yet been matched to an NPS pay band and works a 37 hour week.
- Current CRC salary: £23,000
The individual’s pay is temporarily assimilated to equivalent or next lowest pay point.
- NPS Base Salary – £22,924 (Band 3 pay point 1)
- Difference between CRC salary and NPS base salary: £76
- Pay protection: £76
- Total NPS pay: £23,000
Post transfer, this person’s band was confirmed as Band 2. Pay assimilation is recalculated using their CRC salary and matching it to to the equivalent or next highest pay point on the NPS band 2 pay scale.
- New NPS base salary – £22,257 (Band 2 max)
- New pay protection value – £743
- Total new NPS pay – £23,000
- This is the same total pay this individual has received since 26th June 2021. There are no arrears and no overpayment.