Sun | Aug 20, 2017

Gov't pension bills deficient, says Phillips

Published:Tuesday | March 28, 2017 | 3:34 PM
Phillips ,,, the bills do not set out a timeline for the establishment of the Public Service Pension Fund.

Opposition Spokesman on Finance Dr Peter Phillips says the Government should correct what he calls the deficiencies in its proposed public sector pension legislation.

The House of Representatives this afternoon continued debate on the related bills.

Among other things, it is being proposed that public sector workers contribute five per cent of their salaries to their pensions starting next month.

Currently, civil servants do not contribute to their pensions.

But Phillips argued that the bills do not set out a timeline for the establishment of the Public Service Pension Fund.

He also said there’s no indication of how much the Government would contribute to the Fund and by when.

The opposition spokesman argued that without specific timelines civil servants have no guarantee that the Government would contribute to the Fund.

He contended this could be seen as an additional tax on the salaries of public sector workers.

 

Opposition spokesman on finance, Dr. Peter Phillips

Phillips also argued that the deficiencies should be addressed before proceeding with the bills.

According to the opposition spokesman, there should also be an actuarial review of pension funds to ascertain the level of contribution needed from the Government to establish the Public Service Pension Fund.