SSNIT not for CAP 30 pensions — Domelevo

January 28, 2008 (Page 47)

THE Director in charge of Pensions at the Controller and Accountant-General’s Department (CAGD) has advised pensioners who want to be on CAP 30, instead of the Social Security and National Insurance Trust (SSNIT), to voice their concerns through the appropriate quarters for redress.
Mr Daniel Domelevo said “people who are SSNIT beneficiaries think it is a matter of pleading and winning sympathy that will make them be paid under CAP 30. What they should know is that once there is a legal provision, one cannot amend it administratively. It must go through the same legal process”.
In an interview with the Daily Graphic, Mr Domelevo said gratuity and monthly payments under CAP 30 were far higher than gratuity and monthly payments under SSNIT and for that matter pensioners preferred being paid under CAP 30.
He explained that the Pensions Unit was inundated with hundreds of applications from pensioners, all pleading to be placed under CAP 30.
Mr Domelevo, who is also in charge of Public Financial Management Reforms and Payroll, said the applicants later turned out to be beneficiaries of SSNIT pension.
Quoting the law to defend the CAGD’s rejection of applications, Mr Domelevo said Section 15 (3) of the Financial Administration Act states that “the Controller and Accountant-General shall reject a requisition if he is of the opinion that payments on it will not be a lawful charge against appropriation.”
Mr Domelevo reminded workers and pensioners who wanted to be placed under CAP 30 that there was nothing the CAGD could do to that effect and explained that the department was acting in accordance with the law.
He further stated that the CAGD was responsible for CAP 30 pensions and had nothing to do with SSNIT pension, “except to ensure that anyone benefiting from CAP 30 does not collect SSNIT pension”.
According to him, in the past some pensioners had succeeded in collecting their pension benefits under the CAP 30 and SSNIT.
“Now there is an arrangement with SSNIT by which we obtain clearance and vice versa before payments are made,” Mr Domelevo pointed out, adding that “even with that some pensioners attempt to cheat but we normally show them records indicating that they have been paid by SSNIT”.
Giving the background to CAP 30, Mr Domelevo said it was the first pension for all public servants, according to the Pension Act of 1950, until the Pensions and SSNIT Amendment Act 1975 came into effect.
He explained that the essence of the act was to put public servants on SSNIT pension, instead of CAP 30, because CAP 30 was no longer deemed sustainable.
Mr Domelevo explained that there were too many dependants under CAP 30, which was a non-contributory pension.
“From January 1, 1972 any person employed in the Civil Service, the GES and other services, except the security services and the Judicial Service, was to benefit from SSNIT,” Mr Domelevo said.
However, he stated that civil servants, GES staff, among others, who were in employment before January 1, 1972 and occupied a pensionable position also enjoyed CAP 30.
Nonetheless, workers were given the option to either opt for CAP 30 or SSNIT within 12 months from January 1, 1972, “after which if you do not opt the law will automatically deem you to be under SSNIT, not CAP 30,” Mr Domelevo added.
He said the CAGD had decided to consolidate all the laws on pensions so that people would know whether or not they qualified for pensions.