Sunday, April 25, 2010

Nambawan Super thanks the State for settling contribution arrears

THE State (Government) paid up the K40 million outstanding in employer contributions to Nambawan Super last Friday.

Managing Director of Nambawan Super Mr Leon Buskens thanked the staff of the Treasury Department, especially Secretary Simon Tosali, who has diligently met a commitment made the previous week in dealing with the issue of contribution arrears.

The State had earlier paid K65 million which included penalty interest and reimbursement. The K65 million represented what Nambawan Super had already paid out, on behalf of the State, to members who had left employment.

Mr Buskens said: “The fundamental issue of under-budgetting on the part of the Government’s superannuation obligations will always give rise to the problem of arrears. Going forward, I hope that this will not be the case from this year and onwards.”

He reiterated that under the Superannuation General Provision Act 2000, employers must comply with their obligations to contribute for and on behalf of their employees and urged the State to ensure that these obligations were met.

Mr Buskens said failure by an employer to remit staff super funds was guilty of an offence under the Superannuation Act and as stipulated, the employer was required to remit employer and employee contributions within 14 days of the date of deduction.



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