Nasfund expects K260mil payout

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It’s only for members who lost their jobs: Tarutia
Ian Tarutia

By DALE LUMA
THE National Superannuation Fund (Nasfund) expects to pay out around K260 million to members who lost their jobs since the Covid-19 state of emergency was declared nine weeks ago, an official says.
Chief executive officer Ian Tarutia said proper vetting of applications was important so that only those who had “actually lost their jobs from the impact of the pandemic” could be assisted.
“The vetting and the screening is important so that we assist only those members impacted by the Covid-19,” he said.
“They must meet the criteria, they must be unemployed, not stood down, and they’ve got to be actually terminated.”
Members of Nasfund and Nambawan Super are waiting for Parliament to approve the amendment to the Superannuation (General Provisions) Act 2013 so that they can withdraw their retirement savings. The House is expected to be recalled on the first week of next month.
Tarutia said they were collecting applications from affected members.
“We have basically modelled around K260 million, based on what will be the impact,” he said.
“Until that actually happens and applications come through, we can only make assumptions.”
Tarutia said the Government had mentioned a figure of K500 million in its initial economic stimulus package announcement.
“That K500 million comprises Nasfund, Nambawan Super and the other two funds,” he said.
Tarutia said they had put aside K300 million in anticipation of an influx of withdrawal applications.
The head of strategy implementation Turaho Morea said: “We are now going to accept withdrawal applications relating to Covid-19 so that we can start screening and validating that terminations are actually due to the Covid-19.”
Morea said members could apply to withdraw their savings if they had been terminated by businesses which had been impacted by the pandemic. “But we will not be paying unless the legislation (amendment) has been approved,” he said.
The fund has conducted a survey of its top 100 contributing employers to gauge the impact of the lockdown restrictions and staffing level in their operations. The fund is extending the survey to the 2,500 employers to gather data on what is important, especially the cash flow requirements to meet member payments, and to maintain investments opportunities.

7 comments

  • The statement reads are waiting for Parliament to approve the amendment to superannuation. That means parliament haven’t approve yet so when is parliament going to approve?

  • We had had enough problems with our NasFund contributions already. Parliament or politicians must keep their hands off from our private funds. Contributors must not wait for government to make changes of law especially that will not help promote funds or members.

  • It’s shocking to know that Parliament/politicians have a say in how our funds are managed.

  • After getting almost half of your salary through tax, the government still decides when and how you should get your own savings. This is not democratically right.

  • The Government is not controlling the funds of the members but make adjustments laws to become legal for nasfund to make payments..don’t be confused.

  • It’s crap when you look at it nobody is confused, its you ATS Dweller. The govt is still in control that’s it, end of story.

  • ATS dweller is utterly correct. Do not be confused all of you. After the Jimmy Maladina saga of the 90’s superannuation laws were tightened. Your super savings are perfectly safe and secure. That is exactly the reason why Parliament indirectly has oversight on the administration of the Super Funds. Remember, it is not one polly, but rather the whole parliament that will effect the amendment to the Act. That is a basic and legal requirement before any funds are paid out in circumstances other than what is already entailed in the Act.

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