Sat | Aug 19, 2017

Public sector workers to start making pension contributions June 1

Published:Wednesday | April 5, 2017 | 4:43 PM
Shaw: All groups in the public sector will start contributing the full five per cent of their salaries beginning April 2019.

As of June 1, the nearly 27,000 teachers in the public sector, members of the Jamaica Constabulary Force and persons employed to municipal corporations and other parochial officers will begin to contribute 2.5 per cent of their salaries to pay their pensions.

At the same time, civil servants will continue to contribute four per cent of their salaries towards their pensions.

Finance and the Public Service Minister Audley Shaw announced that all groups in the public sector would start contributing the full five per cent of their salaries beginning April 2019.

He made the disclosure Wednesday while closing the debate on the Pensions (Public Service) Act.

The legislation which had been in gestation for more than 15 years was Wednesday passed in the House of Representatives with 38 amendments.

Shaw told members of the Lower House that he had fulfilled his promise to complete consultations with stakeholders in the public sector and consensus was reached on aspects of pension reform.

The Government has accepted a proposal by the police to allow its members to apply for early retirement at the age of 50 years after working in the force for 30 years.

Members of the House also voted unanimously to pass a bill titled: The Constitutional Amendment Establishment Fund Payment of Pension Act 2017.

The bill which required a constitutional amendment saw 52 members voting in the affirmative while 11 members were absent.