The ManicaPost
Wimbainashe Zhakata Business Correspondent
AT LEAST $600 million is in pension contribution arrears, the Insurance and Pension Commission (IPEC), has revealed.
This was revealed at the Consumer Council of Zimbabwe (CCZ) /Insurance and Pension Commission (IPEC) workshop held on Tuesday. About one hundred consumers attended the workshop.
According to IPEC, thousands of workers are retiring into poverty because their employers are not remitting money to respective pension funds.
During the workshop, IPEC complaints handling supervisor Mr Salatiel Manyika said: “As at December 31 2018, total pension contribution arrears were about RTGS $596 million and about RTGS $30 million are in unclaimed benefits,” he said.
Mr Manyika said one of the challenges that leads to this scenario include lack of communication among couples especially those people who hide their money to their spouses. “There are some cases where one chooses to hide his or her pension to their spouses and when they die no one will be aware that they had money,” he said.
Mr Manyika said customary marriage among other types of marriage in the constitution allows one to get their spouse’s pension benefits.
“Customary marriage is now recognised when it comes to pension and all marriages are recognised which means when a member dies some relatives of the deceased are welcome sign and become witnesses. The problem is that people do not communicate about their money and they will end up losing it. I urge you to communicate with your spouses,” he said.
Most pensioners recommended the commission to do something about the money that they lost during the 2008 inflationary period.
The Insurance and Pensions Commission (IPEC) is a statutory body established in terms of the Insurance and Pensions Commission Act Chapter 24:21, to regulate the insurance and pensions industry with the objective of developing the industry for the protection of insurance policyholders and pension fund members’ interests.
Currently, IPEC regulates the Private Occupational Pension Schemes and the Individual Pensions Policies.
The Commission commenced its operations in 2005 after it was weaned off the Ministry of Finance and Economic Development.
