NSSA plans mem­bers, pen­sion­ers au­dit

Chronicle (Zimbabwe) - - Business -

THE Na­tional So­cial Se­cu­rity Au­thor­ity says it will, be­fore the end of the year, un­der­take an au­dit of con­tribut­ing mem­bers and pen­sion­ers to de­ter­mine its mem­ber­ship and client base and bet­ter pre­dict fu­ture cash flows while it has also be­gun ag­gres­sive cam­paign to mi­grate pen­sion­ers to mo­bile pay­ment plat­forms.

This comes as the lat­est Au­di­tor-Gen­eral’s re­port noted that NSSA risked pay­ing ben­e­fits to non­con­tribut­ing in­di­vid­u­als, the re­port also said the au­thor­ity had no sys­tem of main­tain­ing in­di­vid­ual em­ployee con­tri­bu­tion ac­counts for re­mit­tances made by em­ploy­ers.

Em­ploy­ers only re­mit a lumped amount without pro­vid­ing the de­tails of em­ploy­ees whose con­tri­bu­tion has been re­mit­ted.

This, ac­cord­ing to the AG, opens the sys­tem to fraud as NSSA will pay ben­e­fits to claimants who are not reg­is­tered for the pen­sion scheme.

In a third quar­ter up­date, chair­man Robin Vela said be­fore the end of year an au­dit of con­tribut­ing mem­bers and pen­sion­ers will be un­der­taken.

“This will as­sist in de­ter­min­ing our mem­ber­ship and client base, their char­ac­ter­is­tics and needs, ad­dress non-com­pli­ance and bet­ter project fu­ture cash flows.”

He also said the shrink­ing for­mal em­ploy­ment base has ne­ces­si­tated the au­thor­ity to look be­yond its tra­di­tional catch­ment sec­tor. Tai­lor-made so­cial se­cu­rity prod­ucts for the in­for­mal, mi­cro, small and medium en­ter­prise sec­tors will be in­tro­duced in 2017. These will al­low the in­for­mally em­ployed to make flex­i­ble con­tri­bu­tions

As part of its ser­vice de­liv­ery ini­tia­tives, pen­sion­ers will be mi­grated to mo­bile pay­ment plat­forms in pur­suit of im­prov­ing con­ve­nience, re­duc­ing costs and lever­ag­ing tech­nol­ogy while some of its head of­fice spa­ces will be re­con­fig­ured to make them more ac­ces­si­ble and client friendly.

On in­vest­ments, Mr Vela said the au­thor­ity is in the process of re­view­ing its cur­rent in­vest­ment port­fo­lio and will be tak­ing a de­ci­sion to ei­ther dis­pose of non-per­form­ing as­sets or con­sol­i­date its in­ter­ests in ap­pro­pri­ate ve­hi­cles.

“NSSA sees it­self as a cat­a­lyst for eco­nomic growth with the power to in­flu­ence in­ter­na­tional in­vestors and give di­rec­tion to fi­nan­cial mar­kets. As such it will also ac­tively in­vest in de­serv­ing Na­tional Strate­gic Projects that of­fer a good re­turn and also con­trib­ute to the na­tional de­vel­op­ment agenda.”

The Au­di­tor-Gen­eral’s Of­fice had ap­pointed Grant Thorn­ton to as­sist the board with fur­ther in­ves­tiga­tive work on cer­tain prior in­vest­ment trans­ac­tions of the au­thor­ity.

“A draft re­port has now been pre­sented to the board and a sub-com­mit­tee of the board has been formed to deal with the same. The board will re­port to all stake­hold­ers on the same and the cor­rec­tive ac­tion it seeks to pur­sue in due course,” said Mr Vela. — Wires.

Newspapers in English

Newspapers from Zimbabwe

© PressReader. All rights reserved.