Tier 2 Pension Funds: Govt workers strike GH¢3.1bn deal

Mr Ignatius Baffour-Awuah,Minister Employement and Labour Relation

Mr Ignatius Baffour-Awuah,Minister Employement and Labour Relation

The government is to transfer more than GH¢ 3.1 billion of Tier 2 pension funds into the various pension schemes of public sector workers by December 5 this year.

 

The development follows an agreement between the Ministry of Finance, Ministry of Employment and Labour Relations (MELR) as well as the Forum for Public Sector Registered Pension Scheme.

 

Announcing the agreement at a joint news conference in Accra yesterday, Ignatius Baffour Awuah, Minister, MELR, said the funds which was currently in the Temporary Pension Fund Account (TPFA) with the Bank of Ghana would be invested long term by the various pension managers spanning a period of 10 years.

 

He said the Health sector workers pension scheme would receive 21.6 per cent while 58.9 per cent would go to the education sector workers pension scheme.

 

He said 10.23 per cent would be transferred to the Civil Service Pension Scheme; Judicial Service workers pension scheme would receive 0.9 per cent while all other sectors pension scheme would receive 8.2 per cent.

 

Mr Awuah commended the forum for working together with government to resolve the challenges and urged for more engagement with labour in addressing impediments in the various sectors adding that “government would continue to rely on your cooperation in efforts to build our country.”

 

Mr Ken Ofori-Atta, Minister of Finance said government was focused on using all available means to support wealth creation and would continue to explore different means of enriching the lives of Ghanaians especially Ghanaians.

 

Dr Isaac Bampoe Addo, Chairman of the Forum, said the agreement would ensure that all the various pension schemes take delivery of the transfers by December 5.

 

He said the total money to be transferred included the funds and accrued interests as well as delayed interests payment.

 

He noted that further computations would be conducted to ensure the schemes receive all the money due the workers.

 

Dr Addo expressed gratitude to the government for fulfilling his promise to the Forum in ensuring the funds were transferred from the Bank of Ghana into the various pension schemes adding that the Forum has put in place structures necessary to ensure the investment inures to the benefit of workers.

 

The Forum, earlier in the year threatened to embark on a strike if government failed to transfer their pension funds into four fund managers responsible for the public sector occupational pension scheme by September 29.

 

The Forum comprised of the Civil and Local Government Staff Association of Ghana, the Ghana National Association of Teachers, the Teachers and Educational Workers Union, and the National Association of Graduate Teachers.

Others are the Ghana Medical Association, the Ghana Physician Assistants Association, the Government Hospital Pharmacists Association, the Ghana Association of Certified Registered Nurses and the Ghana Association of Certified Registered Anaesthetics.

The rest are the Coalition of Concerned Teachers and the Judicial Service Staff Association of Ghana.

 

BY CLAUDE NYARKO ADAMS

 

 

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