The Minister of Employment and Labour Relations, Mr. Ignatius Baffour-Awuah, has revealed that although the pension industry has witnessed tremendous growth and transformation over the last decade, only a small proportion of the working population are enrolled onto the Three-Tier Pension Scheme. This he noted, indicates that the pension industry is not operating at its fullest potential yet.

The Deputy Minister, Mr. Bright Wireko-Brobbey, who was speaking on behalf of the Minister, at the inaugural ceremony of the Public Services Pensioners Association (PSPA) in Accra, noted that the formation of PSPA is a laudable initiative. Saying, “I am particularly impressed about the fact that the PSPA emanates from the Public Service”.

He stressed that, “the formation of the PSPA serves as an additional platform to promote dialogue and deepen collaboration for pension reforms that inure to the object of the National Pensions Act, 2008 (Act 766) as amended”. 

He expressed his Ministry’s availability for collaboration in making the pensions regime more robust and responsive to the needs of all workers and pensioners.

“The Ministry of Employment and Labour Relations avails itself for collaboration with the Public Services Pensioners Association (PSPA) to improve the policy and legislative environment for the growth of the industry and to guarantee a better life for all Ghanaians in retirement as provided by Act 766”.

Mr. Baffour-Awuah, further called on Service Providers of PSPA to uphold the highest standards in management and administration of public sector pensions. “The industry is so complex and therefore requires an in-depth appreciation of the issues and the technical know-how to resolve the challenges that arise”, he said.

He noted that government would continue to leverage on technology to ensure that pension services become more accessible to the ordinary Ghanaian. This, he said, was evident as government in the coming months, would roll out “the Risk-based Supervisory System and an Enterprise Resource Planning Solution to strengthen the regulation of pensions by the National Pensions Regulatory Authority (NPRA)”.

“This new system would seek to automate regulatory processes, ensure real-time monitoring and thereby guarantee the security of pension funds and investments”, he explained.

For his part, the Executive Secretary, CLOGSAG, Mr. Isaac Bampoe Addo, in his welcome address, mentioned that “a retired person is not necessarily tired of working or contributing to nation-building”. Adding that, the opportunity to come together at regular intervals affords members a means of socializing with its attendant health benefit of easing tension.

He emphasized, “the Civil and Local Government Staff Association, Ghana (CLOGSAG) deems it a privilege to be a facilitator in the formation of the Public Services Pensioners Association (PSPA)”.

According to him, the aims and objectives of the PSPA are laudable and with time, the voice of Public Sector Pensioners would be heard. Also, matters affecting public sector retirees would be part of government agenda.

Mr. Bampoe Addo maintained that, currently, retirees unlike active workers, do not have any form of financial protection. Saying, “at the moment, whereas active workers enjoy protection for their moneys, retirees do not have any means that protect their finances”.

In light of this, he said, “it is expected that the pension fund that would be established by this body would provide a safe haven for pensioners”.

He disclosed that, CLOGSAG, will be putting a proposal before Parliament to amend the Pensions Act, 766, to allow Officers to opt out of the Social Security and National Insurance Trust (SSNIT) pension’s scheme after the minimum 180 months as stipulated by law.

This, he said, allows the Officer to decide which Pension Fund of product to invest the money into for enhanced benefits.

He argued that, “the money being given to us by SSNIT isn’t enough and there are other pension products doing well, so after 180 months, we should be given the opportunity to invest in other packages for enhanced benefits at retirement”.

Launching the PSPA, the President, CLOGSAG, Dr. Evans A. Dzikum, recalled that CLOGSAG, over the last five years, strategically developed and implemented a number of welfare schemes which focused more on the well-being of members in active service.

Nonetheless, he said, the Association (CLOGSAG) in its quest to accomplish a few more critical and important goals for its members; both active and retired staff, conceived the idea to inaugurate PSPA which seeks to address the emerging and compulsory retirement issues to enable its members retire peacefully, stay strong and live happily.

He said the move, was in accordance with the provision of Article 4(5) and Article 6(2) of the Constitution of CLOGSAG which requires the provision of welfare for members including the retired staff to supplement government’s efforts due to recent and critical issues confronting the country.

Citing Article II of the Constitution of the Association, Dr. Dzikum, reiterated the major aims and objectives of PSPA; to unite all retirees of CLOGSAG, seek the welfare of members, provide solidarity and promote togetherness. Also, identify problems retirees go through, advocate for the rights of members and lobby government to improve pension system in the country, to mention but a few.

He further charged the Executives of the Association (PSPA) to be professional in all its undertaking. Saying, “I charge the Executives to be firm, objective and sincere in the discharge of their duties to enable them maintain the operational standards established”.

Swearing-in the Interim Executives of PSPA, Dr. Dzikum, assured them of CLOGSAG’s utmost support and cooperation and congratulated CLOGSAG for the excellent initiative undertaken to prolong the lifespan of staff after retirement.

The Executives comprise; Mr. Woeli K. Kemevor, Chairman; Madam Salomey Anyeley Ayirebi Acquah, Vice Chairman; Mr. Eugene Korletey, Treasurer; Mr. Moses Ankrah, Organizer and Madam Jemima Opoku, Trustee.

Speaking at the event, Ing. Godwin Brocke, Chief Director, Office of the Head of Civil Service, speaking on behalf of the Head of Civil Service, Nana Agyekum-Dwamena, said it was important for public sector workers to plan for life after pension.

This, according to him, is one of the critical things to attend to upon employment. “Preparing for retirement comes on the day of your employment. The day you were employed is the day you start planning for your retirement because you pray that, that day would come. But how do you prepare for retirement?”, he quizzed.

Head of Service, assured that the Office of the Head of Civil Service would work with all other key stakeholders to improve the basic conditions of Civil Service and Local Government staff whilst they are working.

He however, hinted that his outfit was in course of making proposals to CLOGSAG and other stakeholders to take care of other issues such as the health of staff at retirement.