Organised Labour has threatened to embark on an industrial action if the Social Security and National Insurance Trust (SSNIT) does not explain its reasons for flouting the guidelines for payment of tier-2 pension entitlements by the National Pensions Authority.

This was made known at a press conference held in Accra on Wednesday, 10 June 2020 by The Forum, which is made up of the Civil and Local Government Staff Association (CLOGSAG), Teachers & Educational Workers Union of Ghana (TEWU), Judicial Service Staff Association of Ghana (JUSAG), National Association of Graduate Teachers (NAGRAT) and Coalition of Concerned Teachers Ghana (CCT), among others.

According to The Forum, SSNIT continues to use its unilateral decision to pay credits to its retirees.

Executive Secretary of CLOGSAG, Dr Isaac Bampoe-Addo, stated: “SSNIT is paying us credit that is out of tier-2 funds without any approval from NPRA. The non-compliance to this directive from NPRA, I state, is being looked on without any sanctions. To date, SSNIT has continued to use its own unilateral decisions in paying us credit to our retirees. Worst of all, there’s evidence that the past credits that appeared on beneficiary statements in October, November 2019, were higher than the past credits that were paid to tariffs in 2020."

The group also bemoaned SSNIT’s lack of transparency and accountability.

“SSNIT has not found it necessary to explain such a discrepancy. If this is not lack of transparency and accountability, what else could this be?” Dr Bampoe-Addo noted.

The group described the action by SSNIT as shortchanging retirees and called for a rectification of the anomaly within two weeks.

“The Forum does not understand why trustees of tier-2 funds pay commission to NPRA and are limited to an administrative cost of 2.5 per cent of net access value while SSNIT could go as far as it decides and does not pay any commission to NPRA”.

“The actions of SSNIT is flouting the principles of transparency and accountability with impunity, leaving our pensioners with very little to go home with. These retirees are being short-changed. Within two weeks, if a proper and acceptable basis for payment of past settlements is not arrived at, The Forum will have no option than to ask its members to embark on industrial action.”