Tue | Feb 20, 2018

Gov't offers early retirement programme to some public sector workers

Published:Saturday | January 20, 2018 | 9:20 AM

The government is offering a Special Early Retirement Programme to eligible public sector workers as it prepares to implement pension reforms.

It says eligible public sector workers are permanent employees between the ages of 50 and 59 years.

However, health professionals, members of the security forces, correctional officers and teachers are not eligible.

Among the incentives included in the programme is the offer of two weeks’ salary for each year of service up to a maximum of one year’s salary and payment in lieu of accumulated vacation leave.

The finance ministry says it is the employee’s choice to apply for the programme and the head of the organisation will decide which applications can be approved.

It says organisations will be able to replace approved participants but only up to the value of 15 percent of the savings generated by the programme.

The ministry says re-employment of persons who retire under the programme will be restricted.

Applications under the SERP must be submitted to the relevant Human Resource Management section of each organisation by February 16.

The finance ministry says the Special Early Retirement Programme is being offered in light of the recently passed Pensions Act, which adjusts the terms under which public sector workers will retire.

The new Act, among other things, will gradually increase the retirement age from 60 to 65 years; facilitate mandatory contributions by all pensionable officers towards their pension; and harmonise the legislation governing public sector pensions in a single statute.