Dar es Salaam: There has been a good number of employees’ pension contribution defaulters in the country and Finance Minister Ms Saada Mkuya Salum has now warned the employers of private as well as public sectors against the non-submission of the same.
The minister said non-submission of the pension contribution is violation to law and very tough actions will be taken against the defaulters if found the money has been deducted from employees’ salary and the needful was not done by the employers.
Salum said while addressing to the media in Dar es Salaam at the launch of new PPF Pensions Fund’s board of trustee. She launched the Wote Scheme and Maternity Benefit too at the event.
The Maternity Benefit will give all the PPF members 1m/- cash for four deliveries that need to be spaced at three-year intervals.
The Wote Scheme is said to be a kind of supplementary pension system and it will be accommodating the pension fund of all the people in the country if an individual contributes a monthly fund of 20,000/- a month.
According to the PPF Board Chairman Ramadhan Kijjah, the worthiness of fund has now crossed 2trn/- (figure by June 2015). The worthiness was 859bn/- in September 2011.
Kijjah too was present at the event and he partly briefed the media too. He added the funds are now reaping good earning from investments and the return is between 22 and 26 percent.
Kijjah said further that the funds are pursuing investments with high productivity.