NAGRAT gives CAGD one week ultimatum to transfer second tier pensions deductions

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The National Association of Graduate Teachers (NAGRAT) has given the Controller and Accountant General Department one week to transfer the second tier pensions deductions to its fund managers or risk their wrath.

Speakingin interview with TV3, President of NAGRAT Eric Angel Carbonu expressed concern that over 700,000 public sector workers have had their tier two pensions deducted running into billions of cedis and yet, the CAGD has not transferred to the financial institutions.

“At the end of every month Controller and Accountant General Department deducts money from the salaries of Ghanaian workers and some of the monies deducted are dues to the various unions.

“Some of the monies are obligations that the workers have with some financial institutions and some of the deductions for Tier Two pension.

“As we speak Deductions have taken place from August, Controller is not paid the pensions deductions to the various schemes for investments,” he said.

In a related development, the Minority Leader in Parliament, Haruna Iddrisu, has revealed that some retirees who are under the Second Tier pensions scheme are receiving less than what is due them at the moment.

He described this as a disturbing situation that must be addressed immediately.

The Second Tier is a defined contributory Occupational Pension Scheme mandatory for workers with 5% contribution made on behalf of members. The contribution is managed privately by approved Trustees.

Speaking on the New Day on TV3 with Johnnie Hughes on Tuesday January 25, the Tamale South Member of Parliament said the situation where pensioners receive lower than what they deserve is pushing them into their early graves.

“As a media practitioner take interest in pension . I am getting very disturbing reports that Ghanaians who have retired under Act 766 , the Second Tier pensions are receiving less than they would have earned if they were on their original pensions .

“This is information I have, accurate.

“ACT 766 , because we want to please Ghana Armed Forces , Ghana Police Service , Ghana Immigration Service , Ghana Prison Service , we need to review it.

“In 2015, I had to come to Parliament as Minister responsible for Pensions to amend the Pensions Act to give SSNIT some space of five years to prepare for the lump sum and other matters.

“I am worried about it because how much were you already earning that you are now earning less in pensions., you are retiring them to death.”


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