NSSA plans voluntary contributory scheme

NSSA plans voluntary contributory scheme

THE National Social Security Authority (NSSA) is set to roll out a voluntary contributory scheme during the course of the year targeting previously excluded groups such as the informal sector.

Source: NSSA plans voluntary contributory scheme – NewsDay Zimbabwe March 1, 2017

BY MTHANDAZO NYONI

It will also target the Diaspora community and domestic workers, NSSA general manager, Elizabeth Chitiga told NewsDay.

“It is NSSA’s intention to roll out a voluntary contributory scheme during the course of the year, which targets the informal sector, diaspora, domestic workers and any other previously excluded groups,” she said.

“The SDGs (Sustainable Development Goals) require that, like all member countries, Zimbabwe provides universal coverage by 2030. There is, therefore, need to extend social security coverage to previously excluded groups such as the informal sector,” she said.

“The products and services offered by NSSA should be attractive enough so that membership is driven more by the expected rewards in comparison with any other pension funds. As this is a voluntary scheme, it will certainly fit into our motto of ‘NSSA By Choice, Not By Statute’.”

Chitiga said there was need to tap into the informal sector, which is currently running Zimbabwe’s economy.

She said since its inception 22 years ago, NSSA has been running only two schemes covering just the formal sector out of the nine branches of social security that the ILO Social Security (Minimum Standards) Convention 1952 (No.102) covers, while similar organisations in Africa are running four or more schemes.

According to the Zimbabwe Labour Market Information 2015 Report, 94,5% of the active labour force now operates in the informal sector.

She said since 94,5% of the active labour force now operates in the informal sector, it means current social security coverage excludes a significant part of the population.

Meanwhile, Chitiga said with a new, vibrant and skilled team, they are more than optimistic that they will succeed to create a culture of service delivery.

“By the end of 2017, we expect to have built a lean and cost effective organisation that responds to the needs of the pensioner and stakeholders, so that NSSA truly becomes a social security provider of choice,” she said.

COMMENTS

WORDPRESS: 0