Reservists

In the run up to mobilisation, the Reservist will need to make preparations for deployment such as covering any regular mortgage or insurance payments. There are regulations to ensure that Reservists can recover most of the additional costs arising from their mobilisation.

Under the Reserve Forces (Call-out and Recall) (Financial Assistance) Regulations 2005 (SI 2005/859), Reservists can claim for the following:

• up to specified financial ceilings, loss of earnings and some benefits (including company cars)
• without financial limit, certain allowable expenses.

The Reservist call-out pack includes further details about entitlements and how to apply.

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Employers

A Reservist's call-out for mobilisation may result in additional costs for his or her employer.

Under the Reserve Forces (Call-out and Recall) (Financial Assistance) Regulations 2005 (SI 2005/859), employers can claim the following:

• ongoing costs of replacing the Reservist (up to a limit of £110 a day) including pay and overtime to existing employees
• one-off costs (agency fees and advertising costs)
• necessary training expenses for the Reservist on his or her return to employment
• employer pension payments (provided that the Reservist continues to pay their contributions)

Employers are not obliged to pay Reservists' salaries or benefits during the time that they are mobilised. If an employer chooses to continue paying the Reservist, they cannot claim for this.

Employers cannot claim for loss of profits, turnover or goodwill. If the employer believes that their business will be 'seriously harmed' by the Reservist's mobilisation, they should seek exemption or deferral.

Employers are not obliged to allow their Reservist employee to accrue leave while mobilised, although some employers choose to do so.

The employer pack contains information on the costs that can be reclaimed, how to apply, and details of the supporting documentary evidence that is required.