Mr. Joseph Poku, the Chief Actuary at the Social Security and National Insurance Scheme (SSNIT), has disclosed that the Scheme has successfully merged the identity of a total of more than 1.9 million beneficiaries to the National Identification Card (Ghana Card).
Mr. Poku noted that the merger was done between June 28, 2021, to June 30, 2022, during which systems were deployed to allow members to merge their SSNIT and NIA. He disclosed that out of the figure, 383,200 are pensioners and lump sum beneficiaries while 1,246,639 are active members, and 293,010 are inactive members. He explained that inactive members are those who have not contributed to the scheme in the last 12 months even though they are registered.
Mr. Poku indicated that from this month, July 2022, the Ghana Card was the only identification recognized by the scheme and as such, urged members who are yet to merge their numbers to do so. He asserted that some of the benefits of merging the numbers included its convenience, ease of doing business with just one number, and the elimination of the cost of printing cards.
Giving insight into the activities of the scheme, Mr. Poku stated that currently, 25 percent of workers on the SSNIT scheme pay monthly contributions of GHs55 or less, adding that if these workers are to retire on the basic salaries of GHs500 or less, they would earn a monthly pension of GHs300.
Pensions are a Direct Reflection of the Basic Salaries
The Chief Actuary explained that pensions are a direct reflection of the basic salaries on which contributions are paid, therefore the higher the salaries which people contribute, the higher the pension. He averred that the longer the period of contribution, the higher the pension for those who contributed 35 years and above earn the maximum pension right of 60 percent.
Mr. Poku made this known during a stakeholder engagement organized by SSNIT in collaboration with the national executive of the Ghana Trades Union Congress for members and leaders of the Greater Accra Council of Labour in Tema.
Mr. Patrick Tetteh Binyemi, the Greater Accra Regional Council of Labour, TUC underscored the importance of extending the compulsory retirement age from 60 to 65 years. He explained that there is an urgent need to consider reviewing the pension age to enable workers to contribute more and enjoy enhanced pensions upon retirement.
“We must also negotiate with our employers to ensure that a chunk of our earnings goes into payment of SSNIT contribution to enable our members to earn a meaningful pension.”
Patrick Tetteh Binyemi
Mr. Joshua Ansah, the Deputy Secretary-General of the TUC, adding his voice, noted that there is a need to consolidate basic salaries with allowances. Mr. Ansah urged workers to prioritize their pension the moment they are employed, emphasizing that workers must learn from what happened to some of their predecessors.
