The purpose of the reinstallation indemnity is to facilitate Staff Members' return to the home station or their establishment in a new place of residence upon termination of their employment contract with the Organization.
The conditions applicable to the reinstallation indemnity are defined in article R V 1.33 and Annex R A 10 of the Staff Rules and Regulations as well as in Administrative Circular No. 30.
1. Beneficiaries and criteria
The reinstallation indemnity is paid to Staff Members who are entitled to the payment of removal costs, according to the following conditions:
- Staff members hired before 1 January 2007 (with the exception of former Local Staff Members):
- the home station must be outside a circle with a 20 km radius having CERN at its centre, and
- the new place of residence must be established 20 km or more in a straight line from the former place of residence in the two years following contract termination.
- Staff members hired after 1 January 2007 (including former Local Staff):
- the home station must be outside a circle with a 70 km radius having CERN at its centre, and
- the new place of residence must be established outside a circle with a 70 km radius having CERN at its centre in the two years following contract termination.
- the new place of residence is deemed to be the tax domicile (the address at which the Staff Member declares his income),
- the former place of residence is deemed to be the address communicated to the Host State authorities by the Organization.
Moreover, to be entitled to the reinstallation indemnity, Staff Members must not have been dismissed for disciplinary reasons or for reasons of unsatisfactory service nor have tendered their resignation, except where the Director-General deems their resignation to be in the interest of the Organization (notably in the case of participation in the progressive retirement programme or the part-time work programme as a pre-retirement measure).
For any further information concerning entitlement to this indemnity, please contact the Department's Human Resources Adviser (HRA).
The amount of the reinstallation indemnity is calculated according to the method described in Annex R A 10 of the Staff Regulations.
Minimum and maximum basic salaries taken into account:
|Staff Members hired before 01.01.2007
(with the exception of former Local Staff)
|Staff Members hired after 01.01.2007
(including former Local Staff)
|minimum||71% of the midpoint salary of grade 5|
|maximum||n/a||105% of the midpoint salary of grade 5|
In the case of part-time work, the amount is calculated in proportion to the working time for the entire duration of the contract. On the other hand, if the staff member has 7 years of full time service during the same contract, the amount of the reinstallation indemnity is not paid prorata.
Except in the case of parental and compassionate leave, unpaid leave is not taken into account when calculating the number of completed years of uninterrupted service as a staff member.
Participation in the progressive retirement programme or the programme of part-time work as a pre-retirement measure is considered as a period of full-time employment for the purposes of calculating the reinstallation indemnity.
Pursuant to Article R V 2.02 of the Staff Regulations, the indemnities or grants paid upon contract termination are not part of the taxable amount.
In the event of the death of a Staff Member, if it is only the surviving spouse/partner or only one dependent child who returns to the home station or takes up a new place of residence, the level of indemnity payable shall be that of the reinstallation indemnity payable to a Staff Member who is not in receipt of the family allowance.
3. Deferral of payment of the reinstallation indemnity
Upon termination of the staff contract, if the Staff Member holds a new contract of association with CERN, the Organization pays only one reinstallation indemnity, and under the following conditions:
- the entitlement to the indemnity is deferred until such time as the person no longer holds an employment contract of more than 20 hours per week; from that point onwards, reinstallation must occur within two years;
- if the weekly working hours are equal to or less than 20 hours, reinstallation must occur in the two years following termination of the contract giving entitlement to the payment.
4. Non-concurrence of benefits for spouses/partners who are also Staff Members
When two eligible staff members are married or in a registered partnership to one another, a single indemnity is paid. The rules applicable in this case are defined in paragraphs 36 and 37 of Administrative Circular No. 30.