TCM0050200 - Changes - work (general N-Z): Strike action - on strike (AG)

When you are notified that a customer is on strike, consider steps 1 to 26.

Note: From 27th January 2021, there are no new claims to tax credits

Step 1

Before making any changes, follow the guidance in TCM0042260, then, if the changes can be made and

• you have received a reply from the customer for further information, go to Step 3
• you are dealing with an expired BF date because you haven’t been able to obtain the required information, go to Step 25
  otherwise
• check the information provided to check if you have all the following details for the strike action
  • date strike action started
  • customer’s normal working pattern
  • actual date the customer was first involved in this strike action
  • how many jobs the customer has. If they have more than one job
    • the hours worked in the job affected by strike action, and
    • the total number of paid hours for the remaining jobs
  • where the ‘main’ job has been affected by the strike, the employer’s details which will replace the main employment on the computer
    • Employer Reference number (if available)
    • payroll number (if available)
    • name
    • address
    • Unique Taxpayer Reference (UTR) number (if available) if the main employment will be replaced by a self-employed job.
      Note: The number of hours (for the remaining jobs) may have changed when the customer went on strike. If this is the case, note the new hours.

Then

• If all the details haven’t been provided, go to Step 2.
• If all the details have been provided and the customer has been on strike for
  • more than ten consecutive days, go to Step 3
  • ten consecutive days or fewer, contact the customer and tell them to contact us again if strike action continues for more than ten consecutive days. Follow the guidance in TCM0094080. Go to Step 25.
    Note: Where the customer goes on strike for ten days or fewer, they don’t need to contact us again as no action will be taken.

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Step 2

Phone the customer to obtain the missing information. Follow the guidance in TCM0094080.

• If the customer has been on strike for more than ten consecutive days
  • make a note of the eleventh day of strike action
  • go to Step 3.
    For example: if the customer informs us that they have been on strike for more than ten consecutive days. Start date of strike action was 02/01/2006. The eleventh day of strike would be 12/01/2006.
• If the customer has been on strike for ten consecutive days or fewer tell the customer to contact us again if strike action continues for more than ten consecutive days
  • go to Step 25.
    Note: If the strike action ends within ten days or fewer, the customer doesn’t need to contact us again as no action will be taken.
• If you are unable to contact the customer
  • issue form TC664, selecting option 1, asking for all the required information
  • set an Action Date of 14 days from today’s date
  • go to Step 25.
• If you contact the customer but haven’t obtained all the required information
  • ask the customer to call the Tax Credits Helpline with all the missing information within 14 days of today’s date
  • set an Action Date of 14 days from today’s date
  • go to Step 25.

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Step 3

Use function AMEND APPLICATION selecting the ‘Change of Circumstances’ option

• enter the customer’s NINO in the Key Entry Data screen
• select the ‘All’ checkbox
• select [OK]
  • If the claim is pre-award, go to Step 4
  • If the claim is post award, rejected or ceased go to Step 5.

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Step 4

If the claim is pre-award, the following message will display

‘Details must be recorded on the Free Format screen. Do you wish to proceed?’

• select [Yes] in the message box. You will be taken to the Free Format screen
• in the Change Details field, enter the following information
  • the reason for the change, for example, ‘Customer on strike for more than ten days’
  • the date of the eleventh non-working day
  • the customer’s normal working pattern
  • actual date the customer was first involved in this strike action
  • how many jobs (and, if more than one, how many hours worked for the job affected by the strike)
  • total number of paid hours for the remaining jobs only
• select [OK]
  then
• go to Step 26.

Note: The change will be stored on the Free Format screen. Once the claim has been awarded, this will create an entry on the Unprocessed Change of Circs work list.

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Step 5

If the claim is post award

• go to the Applicant Details screen.
  Note: If you are taken to the Select Application screen, select the appropriate claim then select [OK]. You will be taken to the Applicant Details screen.
  • If the claim has been rejected or if it has ceased, do the customer’s current circumstances mean that they now qualify for tax credits?
    • yes, go to Step 24
    • no, go to Step 25.
      Note: Use the SEES Tax Credits Eligibility Calculator to establish if the customer would now qualify. To use the SEES calculator, open Microsoft Excel, select ‘SEES’ on the toolbar, then select ‘Tax Credits Eligibility Calculator’.
  • If the claim isn’t rejected or ceased, go to Step 6.

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Step 6

Use Function VIEW AWARD

• go to Award Summary screen
• check the Tax Credit Type field to check if the customer is receiving WTC only.
  • If the customer is receiving WTC only, go to Step 8
  • If the customer is receiving WTC and Child Tax Credit (CTC), go to Step 7.

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Step 7

If, due to the strike action, the new total number of weekly hours the customer is working

• is still above 30, go to Step 8
• has reduced to below 30 but is still 16 or more, go to Step 8
• has reduced to below 16, go to Step 20.

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Step 8

If

• the customer has any other jobs in addition to the job affected by the strike and
  • it is the customer’s ‘main’ job that has been affected, go to Step 9
  • it isn’t the customer’s ‘main’ job that has been affected, go to Step 12
• the customer has only one job, go to Step 13.

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Step 9

In Function AMEND APPLICATION

• select the Work Details screen for the appropriate customer
  Note: You must end the number of hours in the job affected by the strike.
• enter the eleventh non-working day as the end date in the Hours Worked End Date field
  then
• If the replacement job is employed, go to Step 10.
• If the replacement job is self-employed and details are already showing on the computer, go to Step 11.

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Step 10

On the Work Details screen

• enter the eleventh non-working day in the End Date field in the Main Employment details section
• select [New]
• enter the number of paid jobs as appropriate in the Number Of Paid Jobs field
  Note: Don’t include the job affected by the strike.
• enter the new number of hours for the jobs not affected by the strike in the Hours Worked Field
• enter the start date for the replacement job in the Hours Worked Start Date field. This will be the date of the day after the eleventh day of the strike
• select [OK].

In the Main Employment Details section, enter the following for the replacement employer

• employer reference number
  Note: If the customer hasn’t provided the employer reference number, follow the guidance in TCM0068100.
• payroll number (if available)
• replacement employment start date
• employer’s name (if necessary)
• employer’s address (if necessary)
• select [OK]
• update Household Notes with the following message
  ‘NC25 - Strike action. Customer has more than 1 job. (enter strike action job details) ended DD/MM/YY. Hours for remaining job(s) started from DD/MM/YY’
  Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160
• go to Step 14.

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Step 11

On the Work Details Screen

• enter the new effective date as the date the customer started strike action in the End Date field in the Main Employment Details section (if it isn’t already displayed)
• select [New]
• enter the number of paid jobs for this customer in the Number of Jobs field
• enter the number of total hours worked for the replacement job in the Hours Worked field
• enter the start date for the replacement job in the Hours Worked Start Date field
  Note: Enter the start date as the day after the new effective date.
  Note: Because the replacement job is self-employed and the details are already on the computer, there is no need for you to enter any further details.
• select [OK]. You will be taken to the Amend Finish screen
• update Household Notes with the following message
  ‘NC25 - Strike action. Customer has more than 1 job. (enter strike action job details) ended DD/MM/YY. Hours for remaining job(s) started from DD/MM/YY’
  Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160
• go to Step 14.

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Step 12

In Function AMEND APPLICATION

• select the Work Details screen for the appropriate customer
  Note: You must end the number of hours in the existing job.
• enter the eleventh non-working day as the end date, in the Hours Worked End Date field
• select ‘History’ on the toolbar menu
• select ‘Hours Worked’ from the options. You will be taken to the History screen
  Note: You must record the new hours.
• select [New]
• enter the start date of the new hours, using the day after the eleventh day of strike, in the Hours Worked Start Date field
• select [OK]
• go to Step 14.

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Step 13

In Function AMEND APPLICATION

• select the Work Details screen for the appropriate customer
• delete the number of jobs, in the Number Of Paid Jobs field
• enter the eleventh non-working day, as the End date, in the Hours Worked End Date field
• enter the eleventh non-working date in the End Date field in the Main Employment Details section
• select [OK]. You will be taken to the Amend Finish screen
• go to Step 18.

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Step 14

Note: From 6 April 2012, if a customer tells us within a month about a change of circumstances that increases the maximum rate of tax credits they are entitled to their award can be amended from the date of the change. For changes notified after one month their award can only be amended one month prior to the date the change was notified.

Note: If a change is notified that does not alter or decreases the maximum rate of tax credits the customer is entitled to, it will be applied from the date of the change.

Check the date of the eleventh day of the strike. If the date is

• more than one month before today’s date, and the customer failed to notify the change within one month, go to Step 15
• more than one month before today’s date, and the customer notified the change within one month, but the change hasn’t yet been applied, go to Step 17.

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Step 15

In Function AMEND APPLICATION

• go to the Work Details screen for the appropriate customer
• consider if the new weekly paid hours will increase the maximum tax credits award (before any income reduction is applied)
  Note: Use TCM0050180 for the circumstances where the new weekly hours will increase the maximum tax credits award.
  • If the maximum tax credits award will
    • increase and you have been notified today of the strike action, go to Step 18
    • increase and you were notified of the strike action before today, go to Step 16
    • not increase, go to Step 17.

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Step 16

Select ‘History’ on the toolbar menu

• select ‘Hours Worked’ from the options available. You will be taken to the History screen
• select the first entry
• select [Change]. You will be taken to the Change History screen
• delete the existing entry in the Include From field
• calculate the date one month prior to date the customer notified TCO of the strike and make a note of the date
• enter the calculated date in the Include From field
• select [OK]. The following message will be displayed ‘You must enter a CY income’
• select [OK] in the message box. You will be taken back to the Change History screen
• select [OK]. You will be taken to the Work Details screen
• select [OK]. You will be taken to the Amend Finish screen
• go to Step 18.

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Step 17

Select ‘History’ on the toolbar menu

• select ‘Hours Worked’ from the options available. You will be taken to the History screen
• select the first entry
• select [Change]. You will be taken to the Change History screen
• delete the existing entry in the Include From field
• enter the date the customer returned from strike action in the Include From field
• select [OK]. The following message will be displayed ‘You must enter a CY income’
• select [OK] in the message box. You will be taken back to the History screen
• select [OK]. You will be taken to the Work Details screen
• select [OK]. You will be taken to the Amend Finish screen
• go to Step 18.

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Step 18

On the Amend Finish screen

• enter the date the notification of the change was received in the Received Date field
• select the source of the change, for example ‘Paper’ or ‘Telephone’, from the Source drop down menu
• select ‘Change of Circumstance’ from the Reason drop down menu
• select [OK]. The computer will accept the change of circumstances and will apply the change at the effective date
  Note: The changes you have made in this function will not be applied until you complete the Amend Finish screen and select [OK].
  • If the message ‘S18 Refinalisation Rules - Potential inappropriate refinalisation for CCYY-CCYY. If you have the authority to re-finalise under S19, S20 or S21 of the Tax Credit Act 2002 or due to an appeal decision. Press OK to process the change or Cancel’ displays, select [OK]
    then
    • If this is a claim from a single customer, go to Step 22.
    • If this is a joint claim, go to Step 20.
  • If the message ‘S18 Refinalisation Rules - Actual Income for CCYY-CCYY is required. This change will not be accepted’ displays, select [OK].
    then
    • If this is a claim from a single customer, go to Step 22.
    • If this is a joint claim, go to Step 20.
  • If the message ‘S18 Refinalisation Rules - You do not have the authority to re-finalise CCYY-CCYY. This change will not be accepted. Please refer to the appropriate team’ displays
    • the changes you are making will re-finalise the claim
    • select [Cancel]. You will be taken to the Amend Application Details screen
    • select [Cancel]
    • when the message ‘All changes to the application will be lost for this session, do you wish to proceed?’ displays, select [Yes]
    • pass the case to a Level 2 User or your manager. For more information, use ‘Level 1 and Level 2 users’ on TCM0320260
    • take no further action.
  • If none of the above messages display, then
    • If this is a claim from a single customer, go to Step 22.
    • If this is a joint claim, go to Step 20.

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Step 19

If this is a joint claim, go to Step 20.

If this is a claim from a single customer, go to Step 22.

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Step 20

Use Function VIEW APPLICATION and go to the relevant Work Details screen to check if the partner is working.

• If the partner is working, go to Step 21.
• If the partner isn’t working, go to Step 22.

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Step 21

Use Function AMEND APPLICATION and go to the Work Details screen to check what the partner’s weekly hours are.

• If the partner’s hours are fewer than 16, go to Step 22.
• If the partner’s hours are 16 or more, go to Step 23.

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Step 22

Note: When the customer’s entitlement to WTC ends, their childcare costs will also end. Where the Childcare element is in payment, an end date must be entered to stop childcare costs being paid automatically once the customer’s weekly hours increase to more than 16. Follow the guidance in TCM0032160.

• complete the Entitlement has ended referral stencil (Word 25KB) and email it (This content has been withheld because of exemptions in the Freedom of Information Act 2000)
  then
• If entitlement to CTC continues during the strike period, go to Step 23.
• If entitlement to CTC doesn’t continue during the strike period, go to Step 24.

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Step 23

Phone the customer and ask them to contact us again when they return to work after strike action. Follow the guidance in TCM0094080

then

• If you have come from Step 18, go to Step 25.

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Step 24

If the customer is now eligible to tax credits or their claim is now rejected or ceased

Note: Before you can invite a fresh claim, you must check whether the customer(s) have a valid exception to business rules. This can either be if the household contains an individual of Pension Credit Qualifying Age (PCQA) or if customers are claiming for more than two children. These customers will still be entitled to claim tax credits up to 31 January 2019. Following the guidance in TCM0044080 will take you through the necessary steps.

Note: From 16th January 2019, an additional exception will be accepted where the customer is in receipt of the Severe Disability Premium (SDP) as part of their legacy benefit.

Severe Disability Premium (SDP) is an extra amount of money that is included in Income Support, income-based Jobseeker’s Allowance, income-related Employment and Support Allowance and housing benefit where a customer meets the entitlement conditions.

To be eligible for SDP, a customer must be in receipt of one of the following qualifying benefits:

• PIP daily living component
• Armed forces independence payment (AFIP)
• DLA care component at the middle or highest rate
• Attendance Allowance, or Constant Attendance Allowance paid with Industrial Injuries Disablement Benefit

SDP is only payable where a customer lives alone or is treated as living alone. A customer cannot get the severe disability premium if someone is in receipt of Carer’s Allowance or the carer element of Universal Credit for looking after them.

• invite them to make a fresh claim for when they return to work after strike action. Follow the guidance in TCM0044080
  then
• go to Step 25.

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Step 25

Use Function MAINTAIN HOUSEHOLD NOTES and select the ‘General’ category to record the action you have taken

Note: The message you need to record will be dependant on the action you have taken. For example, if you followed the action in step 1 record the message for step 1 below.

• Step 1 - ‘NC21- Customer on strike less than 10 days. Date went on strike DD/MM/YY. Date returned to work DD/MM/YY’
• Step 2 - ‘NC83 - COC corre re (details), further info needed. UTC X 2. Letter (details) issued to (details). BF (DD/MM/YY). Corre rec (DD/MM/YY) from (source)’
• Step 5 - ‘NC22 - Customer (enter customer’s name) reported being on strike no current eligibility’
• Step 40 - ‘NC23 - Customer (enter customer’s name) on strike for more than 10 consecutive days but still eligible during strike action. Asked that they contact us again when they return to work after strike action. Went on strike DD/MM/YY’
• Step 40 - ‘NC94 - Customer (enter customer’s name) on strike for more than 10 consecutive days. Job (enter details) ended and new hours for remaining jobs entered for the day after job affected by strike action ended’
• Step 41 - ‘NC24 - Customer (enter customer’s name) reported being on strike for more than 10 consecutive days but claim is ceased/rejected/no longer eligible during strike action (delete as appropriate). Customer invited to make a fresh claim’
  Note: You must follow the guidance in TCM0152060 when you record the note and also follow the guidance in TCM0152160.
  then
  • If you are awaiting further information from the customer, take no further action.
    otherwise
  • go to Step 26.

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Step 26

• complete form TC648 and send it to storage. Follow the guidance in TCM0074140
• close the document on DMS. For how to do this, use TCM1000037.