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Business News of Friday, 24 April 2020


Coronavirus: Paying contributors will be illegal – SSNIT replies Mahama

The Social Security and National Insurance Trust (SSNIT) says paying tokens to contributors to ease the coronavirus-induced hardships citizens may be facing will be against the law.

This, follows a suggestive comment made by the flag bearer of the National Democratic Congress (NDC) John Mahama that SSNIT should introduce token pay-outs to its contributors as the country battles coronavirus.

However, in a press statement issued by the social security agency, it said “His Excellency is suggesting that we pay do not exist in law”. To do so will constitute an illegality and a contravention of the provisions of the National Pensions Act, 2008, Act 766”.

It further stated the conditions under which SSNIT can pay beneficiaries.

“The laws governing the SSNIT Scheme, the National Pensions Act, 2008, Act 766 (as amended), (sections 34, 70, 71, 72 and 73) categorically states the benefits and the conditions under which SSNIT can pay those benefits. These are: i. Superannuation pension (Old Age Pension) ii. Invalidity Pension (when a worker becomes permanently incapacitated) iii. Old Age Lump Sum benefits (refund of contributions with interest) iv. Survivors’ Lump Sum benefits (to nominated dependants of a deceased contributor/pensioner)”

SSNIT, as operator of the 1st tier Basic National Social Security Scheme also indicated its commitment to paying beneficiaries even though times are hard.

“That even though these are not normal times, the Trust remains committed to paying over GHS 213 million in monthly pensions to the 213,173 pensioners on the SSNIT payroll as well as honouring payments to all new pensioners that apply”.