Pension Fund on charm offensive

Pension Fund on charm offensive

MASERU – THE Defined Contribution Pension Fund went on a charm offensive last weekend after it hosted a get-together for civil servants and retirees. The families of the civil servants were also invited to the round-table discussion on how they can benefit from the fund. Speaking at the function, the Fund’s spokesman, Matshona Libalele, said the idea was to ensure the fund is appreciated by current and retired members.

He said heirs should also appreciate the fund as they will enjoy the fruits of their parents’ labour when they are gone. The Pension Fund was established in 2008 to cater for government workers after they are retired or dismissed. “We have been to other districts trying to familiarize Basotho with the Pension Fund,” Libalele said. He said a civil servant contributes 5 percent of their salary while the employer contributes another 5 percent to the fund every month.

When a civil servant retires, resigns or gets fired he can have some money to keep him going even when he no longer has a job. Banks, insurance companies and public administrators were invited to the event “so that pensioners can be given insight into how else they can use their money profitably”. Libalele also said they used to have challenges with incorrect data from clients “but now we have passed that bridge”. “Incorrect data leads to delay (in processing) of pensions because we need everything to be clear before we pay off,” Libalele said.

“We also called civil servants who were born in 1964 as next year they will be getting their lump sum.” Lieutenant Teboho Moloi of the Lesotho Defence Force (LDF) said they are happy with the Pension Fund’s work as they are securing their future as workers. “Pension Fund services are going well because we get reports every financial year and we are free to approach them where we do not understand (certain things),” he said. Lt. Moloi said what he likes most about the Pension Fund is that it will help his children in future even if he is not there anymore.

“If someone dies as a breadwinner then his children will be able to go to school because the Pension Fund will be giving out money for that,” he added. “The only improvement I need is for them to increase that percentage from 5 percent to 7 percent because we cannot make savings by ourselves,” he said. Pension Fund consultant, Moeketsi Motšosi, said his duty is to give pensioners advice and take part in the day-to-day running of the insurance scheme.

He said the Pension Fund helps a lot in boosting the economy. “I think the most interesting part of the Pension Fund is that it gives people an allowance to make savings while there is still time,” he said.

Nkheli Liphoto

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