Government to increase retirement pensions for two categories of pensioners |28 August 2020
Mrs Esparon (Photo: Jude Morel)
Pensioners who are benefitting from a pension under what is referred to as the colonial pension, or pansyon angle, as well as under the Public Sector Special Pension Act of 2005 are set to receive an increase to R3000.
The announcement was made yesterday by chief secretary for public administration, Jessie Esparon, after the cabinet of ministers on Wednesday approved for the two categories to be increased to R3000 per month as from September 2020.
While some retirees receive a pension for having served under British rule – the lowest pension paid for this stands at around R900 – other retirees who were employed by the government or in the public sector from January 1, 1979 and who do not benefit from the colonial pension are catered for under the Public Sector Pension Act since 2006. The latter category started with a pension of R400 which was increased over time to R1000.
Both sets of pensioners are to receive the increment.
“These two categories of pensioners receive a low pension payout and they do not receive money from the pension fund – they only get this pension and social security. So we felt that the increase will help improve their lives,” explained Mrs Esparon.
“The lowest paid pension for those under the colonial pension is R975 but it varies depending on years in employment and their income in 1978. As you know, in 1978 the currency value was lower than it is now which means that calculating someone’s pension from that income will also be low,” she added.
As for the special sector pensioners, Mrs Esparon noted that their last pension revision was conducted in 2015 and was due to be revised yet again. With the R3000 increment, their pension will increase by 200%.
Mrs Esparon stated that the government will spend around R35 million per year to fund these increases.
With the 6th National Assembly’s dissolution, the amount that will be paid from September to December 2020 is expected to come from supplementary budget that will be put to the 7th National Assembly for its approval after the general elections.
Besides approving for an increase in the minimum government pension, cabinet also considered a number of legal and policy memoranda at Wednesday’s meeting.
Cabinet approved the National Integrated Emergency Management Plan and action plan as well as amendment to the Liveaboard and Yacht Charter Policy.
Cabinet also approved the Tourism Development (Liveaboard and Yacht Charter) Regulations.
Cabinet approved for the signing of a memorandum of understanding (MoU) between the Seychelles Tourism Academy (STA) and Seychelles Maritime Academy (SMA).
Cabinet approved for Seychelles to become a party to the United Nations World Tourism Organisation (UNWTO) Framework Convention on Tourism Ethics through signing and ratification of both the convention and the Optional Protocol to the Framework Convention on Tourism Ethics.
Cabinet also approved for a legislative framework under the Children Act 1982 to make provision for “working with Children Suitability Check” to further strengthen our child protection system.
Cabinet approved for a legislative framework to monitor and inspect the implementation of standards in Children’s Care Homes.
Cabinet was briefed on the Covid-19 situation globally and locally.
Cabinet also addressed pertinent issues raised by the department of health in line with travel to Seychelles.
Elsie Pointe/press release from the Office of the President