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Don't use workers deductions to run institutions

Wed, 12 May 2004 Source: GNA

Dunkwa-On-Offin (C/R), May 12, GNA- Mr Kofi Agyare, Kumasi Area Deputy Manager of the Social Security and National Insurance Trust (SSNIT), has spoken against the use of workers social security deductions by some employers to run their institutions.

He said it was wrong and unlawful for any employer to hold on to the deductions into the account of his or her institution.

"Those who indulge in the practice are putting the future of the workers into jeopardy", he added.

Mr Agyare was addressing a day's seminar held by SSNIT for employers in the Upper Denkyira and parts of Wassa-Amenfi districts at Dunkwa-On-Offin on Tuesday.

It was designed to explore ways of forging effective partnership for smooth administration of the social security system. The Deputy Area Manager said failure on the part of some employers to attach contribution reports to payment made on behalf of workers was another source of concern.

He said that tends to leave the Trust with no other choice than to lodge such monies into suspense accounts, as it is unable to credit individual contributors.

Mr Agyare also complained of the situation where newly recruited employees are made to use the SSNIT contribution registration numbers of those who had already left the job.

"These are some of the major factors that account for sometimes unacceptable delays in the payment of pension to retired contributors", he said.

He spoke of a number of measures introduced over the last two years to facilitate prompt payment of pension, saying, their goal was to make sure that pension was paid a month after contributor's retirement. Mr Joe Yankah, Dunkwa District Manager of the Trust, expressed concern about deliberate wrong quoting of basic salaries by some employers, pointing out that it was not good for the security of workers.

He said it was unacceptable for anyone to claim to be paying monthly salary as low as 60,000 cedis to people he or she has employed and said at least the minimum wage should be paid and that pension was salary-related.

Source: GNA