National pension fund hits new snag

The much-anticipated establishment of the national pension fund has hit another snag.

Social Security Commission (SSC) spokesperson Unomengi Kauapirura told Namibian Sun that the pension fund task team is revisiting some of the design recommendations.

“The revised policy is currently being updated by the national pension fund team for consideration and approval by the minister of labour and the management of the ministry,” said Kauapirura.

“If all project deadlines are met, the national pension fund should be fully operational by the middle of 2019.”

According to Kauapirura, the ministry has reviewed the documents and recommended further revisions of the recommended design, following a consultation and briefing session between the labour minister, ministry officials and the SSC board in March 2018.

“Once the policy is approved, it will require the drafting of a Social Security Pension Scheme Bill to be submitted to parliament,” she said.

Kauapirura said once implemented the national pension fund would act as a social protection tool.

“The envisaged national pension fund will ensure income security in old age, help participants to maintain a decent standard of living and help lift participants and their dependents out of poverty.”

According to the SSC, 391 469 employed people did not belong to any pension fund in 2016.

Plans to establish a national pension fund go as far back as 1994, with the passing of the Social Security Act.

OGONE TLHAGE