CHESTER City Council's cabinet is considering signing up to a new policy aimed at allowing its workforce to retire early while making the authority more cost-effective.

The Early Termination of Employment policy is being considered in response to Government legislation on age and pensions.

Since 1976 councils across the country have been able to make discretionary payments to employees who have been released on the grounds of redundancy or efficiency. These regulations must now comply with the legislation.

The council, in line with other local authorities, can no longer give an enhanced pension to staff, which was traditionally used as a means of encouraging employees to retire before their normal retirement age.

But the city council, which holds the Investors in People Award, has already developed a people strategy which sets out plans for new ways of recruiting, training, rewarding and improving the performance of staff.

The management of the workforce ensures the council meets its financial responsibilities.

This latest policy, if adopted, will still allow the council to release staff earlier than their normal retirement date if they meet the strict criteria of a business case, while allowing the council to stay within the rules of the new legislation.