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THE restructuring process underway at the National Social Security Authority to transform the way it operates, for contributors, is a breath of fresh air. For close to two decades now the majority of workers, who toiled in their working life, have not been getting the retirement benefits they deserve after leaving employment. Most workers no longer look forward to retirement.
Things have changed for worse. In the olden days, former workers would acquire even more valuable assets after getting pay outs from the pension contributions deducted during their working life.
Thinking about the period when one retires had in the past two decades become an unpleasant and stressful experience for virtually everyone, as NSSA offered little comfort in terms of social protection. But this, as we are told by NSSA’s new board appointed in July this year, is set to change because the board is working on drastic measures to transform the authority to effectively discharge its mandate.
Chairman Mr Robin Vela said there is need to refocus NSSA by way of restructuring to usher in a new beginning that will see the authority returned to and working for the ultimate benefit of workers.
Key among the transformation sought at NSSA will be addressing the issue of governance, which has dogged the authority resulting in loss of public confidence and significant loss of its capital.
Mr Vela said huge amount of work is being put in to enhance transparency and improve communication with stakeholders, as NSSA holds billions of money on behalf of the stakeholders.
Further, NSSA will also demand greater accountability from companies in which it has invested or will invest in, for deductions from contributors’ incomes during the time they are still able to contribute. The understanding is that optimal performance of investments NSSA decides to go into determines the income it will receive to be able to meet liabilities, especially to pensioners and operating costs.
The fact that NSSA is set up by an Act of Parliament goes to show the extent to which the Government values the inevitable need to provide a safety net to cover workers when they retire or can no longer work. To kick start the process of transforming the operations of NSSA, the board has already sent packing five directors in order to bring in executives with proven record in business to secure the lives of retirees.
The operations of NSSA will be realigned to meet international best practices and comply with the best corporate governance codes.
The board should be applauded as this refocusing was long overdue. There has been a lot of doubt, never mind the difficult economic situation, that pensioners and contributors would ever be able to get the social protection in the event that they get incapacitated.
Social protection, as defined by the United Nations Research Institute For Social Development, is concerned with preventing, managing, and overcoming situations that adversely affect people’s well-being.
What is gratifying about the restructuring process underway at NSSA is that the new board has brought a new ray of hope that soon, beneficiaries may work in peace; in the knowledge that their future is now in safe hands.
Arguably, every person requires a decent living, stable and meaningful income when they eventually reach the tail end of their most economically active period or on reaching the legal age of retirement. This is because most people continue to have financial obligations to fulfil, decent and prosperous lives to lead long after they leave employment and only prudent investment by social protectors such as NSSA, can guarantee such a future deserved by all and sundry.
Under the previous management, such prospects had remained a pipe-dream, as testified by the pittance of monthly incomes or benefits retirees and those entitled for protection in terms of the law, have been getting against the argument of limited financial resources.
We applaud the new board for wielding the axe on the management whom we are aware that were affording themselves lucrative benefits at the expense of contributors.
We call on the board to investigate all investments NSSA sunk contributors funds. We smell a stench especially were the authority lost huge amounts of money in failed banks and other unprofitable investments. This will ensure that we put closure to the issue.
Online Reporter