NSSA Increases Pension Payouts
Harare, March 21, 2011 - The financially beleaguered National Social Security Authority (NSSA) has increased pension payouts from US 25 per month to US$ 40.
This comes after much and heated debate by pensioners that the payouts were very low.
The Minister of Labour and Social Services, Paulina Mpariwa, approved the increases by NSSA.
The new payouts will be backdated to January 01.
Mpariwa said her ministry had consulted with the Worker's Compensation Insurance Scheme who had agreed to back-dated the increases to January 1, this year.
The ministry said the increases were currently "being processed" for everyone but would become effective in April.
Under the National Pension Scheme (NPS) retirement pensions for those who retired during the worthless Zimbabwe dollar period would get US$40 monthly, up from the paltry US$25.
NSSA said survivors and invalidity pensions would now go up from US$10 to US$25 per month, while funeral grants remained at US$200 per member.
"Minimum retirement pensions under this scheme will be set at US$40 per month with effect from January 1, 2011," NSSA said in a statement made available to Radio VOP.
In terms of the Workers' Compensation Insurance Scheme (WCIF) all work injury pensions would be increased by 50 percent with effect from January 1, 2011.
The organisation said minimum work injury pensions would be increased from US$15 per month to US$30 per month, which is a 100 percent increase much to the delight of cash-strapped citizens.
The pension society said minimum spouses pensions would also shoot up from US$10 per month to US$20 monthly with effect from that date.
"Minimum children's and dependent's allowances are to be set at US$10 per month," NSSA said. "Funeral grants will, however, remain at US$200 under the WCIF.
NSSA said insurance premiums, on the other hand, would be reduced by 20 percent across all industries with effect from January 1, 2011.
"NSSA pensioners will receive pension payments at the new rates on the April, 2011 payroll including adjustments for the months of January, February, and March, 2011," NSSA told pensioners in its statement.
The organisation had come under fire and has had various management changes due to alleged inefficiency with accusations of rampant corruption levelled against it.