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Govt's non-payment of deductions affecting public sector workers credit worthiness

Published:Friday | September 26, 2014 | 9:47 AM

Jerome Reynolds, Staff Reporter



KINGSTON, Jamaica:

The failure of some government ministries and departments to pay over salary deductions to third parties is reportedly affecting the credit worthiness of public sector workers.




President of the Jamaica Civil Service Association O’ Neil Grant says more than $700 million is owed to financial institutions.



Grant says some financial institutions are now apprehensive about doing business with civil servants.



The union leader argues that with credit reporting now fully on stream, the situation could become worse for public sectors workers.



Grant says one of the main concerns is the arrears of mortgages with the National Housing Trust.



He says for months, government ministries and departments have failed to pay over deductions to the NHT which is putting the homes of public sector workers in jeopardy.



In April, the Ministry of Finance released millions to some ministries and departments to clear months of unpaid deductions.



However, Grant says since then there has been a build up of arrears with little attempt to have the payments settled.



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