Labour Ministry meets TEWU today over Tier-2 pension arrears

In the latest Ghana Education News, Labour Ministry meets TEWU today over Tier-2 pension arrears.

.The Ministry of Employment and Labour Relations is set to engage in critical discussions with the Teachers and Educational Workers Union (TEWU) of the TUC today concerning the delayed tier-2 pension arrears owed to union members.

This meeting comes in the wake of pressing ultimatums issued by TEWU, which demanded the resolution of all outstanding payments by April, emphasizing the importance of these contributions that have been pending since June 2023.

The urgency of the situation was articulated by King James Azortibah, the General Secretary of TEWU, in a recent interview with Citi News.

Azortibah highlighted the significant impact of the delays on the union members, particularly those approaching retirement.

The tier-2 pension scheme, which is primarily funded by deductions from the salaries of members each month, plays a crucial role in ensuring that retirees receive a lump sum upon retirement—a responsibility that has shifted from the Social Security and National Insurance Trust (SSNIT) to the tier-2 fund managers.

Azortibah expressed his concerns about the ongoing delays, describing them as “unfortunate” and stressing the detrimental effects on the union’s members.

“Going into the meeting, this is something that is really unfortunate and something that we have tried to understand the government but it is becoming too much to the disservice of members, especially our members who are retiring,” he said.

ALSO READ: Structure of Free SHS doesn’t promote quality education – Gyampo

He further emphasized the importance of these funds for investment purposes, which are essential for generating the lump sums needed by retirees.

The tier-2 pension plan is a critical component of Ghana’s pension framework, designed to provide workers with greater security in their retirement through additional savings and investment returns.

However, the efficacy of this system heavily relies on the timely and consistent disbursement of the deducted funds to the appointed fund managers.

Delays in these transfers can severely hinder the ability of fund managers to make prudent investments, ultimately affecting the payouts to retirees.

Today’s meeting between the Ministry of Employment and Labour Relations and TEWU is not just a bureaucratic formality but a pivotal moment that could determine the financial futures of many of TEWU’s members.

The discussions are expected to address the root causes of the delays, explore possible solutions, and set a framework for quicker resolution of such issues in the future.

As retirees face increasing financial insecurity in their golden years, the resolution of these pension arrears has become more than an administrative delay; it is a matter of ensuring dignified retirements for countless workers who have contributed tirelessly to their fields.

Both the union and its members are hopeful for a positive outcome from today’s discussions, which will reaffirm the government’s commitment to the welfare of its educational workers and their post-retirement financial security.

Share Our Post on the Topic ‘Labour Ministry to meet TEWU today over Tier-2 pension arrears’

To Read More Stories, Click Here.