Framework Document between The Scottish Government and Crown Estate Scotland

13. Expenditure on staff

13.1 Staff Costs

Crown Estate Scotland is responsible for determining the number of staff required and the most appropriate organisational structure to deliver its remit economically, efficiently and effectively within the resources available to it.

Any material changes in staff numbers or organisational structure must be notified in advance to the Sponsor Team.

13.2 Pay and Conditions Of Service

Staff pay, pensions and any severance payments must be in line with the requirements of Public Sector Pay Policy and the responsibilities described in the section on NDPB Staff Management Responsibilities:

• All individuals who would qualify as employees for tax purposes should be paid through the payroll system with tax deducted at source.
• Crown Estate Scotland will comply with Scottish Government Pay Policy in relation to staff and the Chief Executive. The Chief Executive will ensure that a pay remit, in line with the Scottish Government Pay Policy for Staff Pay Remits section of the SPFM, is submitted to the Scottish Government for approval in line with the timetable notified and negotiate a pay settlement within the terms of the approved remit. This should normally be done annually, unless a multi-year deal has been agreed. Payment of salaries should also comply with the Tax Planning and Tax Avoidance section of the SPFM. Proposals on non-salary rewards will comply with the guidance in the Non-Salary Rewards section of the SPFM.
• Crown Estate Scotland will also seek appropriate approval under the Scottish Government Pay Policy for Senior Appointments for the Chief Executive’s remuneration package prior to appointment, annually or when a new appointment or change to the remuneration package is being proposed.

13.3 Pensions, Redundancy / Compensation

Superannuation arrangements for staff are subject to the approval of the Scottish Ministers. Crown Estate Scotland's staff shall normally be eligible for entry to Principal Civil Service Pension Scheme.

Staff may opt out of the occupational pension scheme provided by Crown Estate Scotland. However, the employer's contribution to any personal pension arrangement, including stakeholder pension, shall normally be limited to the national insurance rebate level.

Any proposal by Crown Estate Scotland to move from existing pension arrangements, or to pay any redundancy or compensation for loss of office, requires the prior approval of the Scottish Ministers. Proposals on compensation payments will comply with the Settlement Agreements, Severance, Early Retirement and Redundancy Terms section of the SPFM. This includes referral to the Scottish Ministers of any proposed severance scheme (for example, a scheme for voluntary exit), business case for a settlement agreement being considered for an individual, or proposal to make any other compensation payment. In all instances, Crown Estate Scotland should engage with the Sponsor Team prior to proceeding with proposed severance options, and prior to making any offer either orally or in writing.