Return Of Complementary Retirement… And These Are Its Conditions
Officials of the Ministry of Labour, Employment and Social Security are slated to meet on June 29 with representatives of the workers’ union, during which the new mutual law will be discussed, with the possibility of returning the complementary retirement project to the order of the day, by creating a new fund to be financed by mutual contributions, where each mutual fund includes 5,000 subscribers.
This fund will be separated from the National Pension Fund “CNR”.
The Chairman of the Board of Directors of the Association of Education and Culture Workers, Abdelkader Benaida, revealed the preparations for the return of complementary retirement, on an optional, basis by reviewing the law on cooperatives that is currently on the table of the Ministry of Labor, Employment and Social Security, which is the file that will be opened during the meeting of the Consultative Council for Cooperatives at the level of the Ministry of Labor on June 29th.
In a statement to ”Echorouk”, Abdelkader Benaida said that the supplementary retirement project was rejected in the past by successive labor ministers, due to the difficulty of embodying the project on the ground, which requires a high rate of contributions by workers, bearing in mind that the worker benefiting from the supplementary retirement must have paid at least 10 years of retirement contributions, and the fund will be closed for two years after its creation, during which it is sufficient to collect contributions.
Our interlocutor stressed that the process is optional and not compulsory, while the supplementary retirement pension will not cause any harm to the National Pension Fund, which will not be depleted, if the file is accepted, given that both funds have financial independence from each other, and the supplementary retirement will be stemming from a special fund to be created with the participation of joint ventures, and whose special law will be reviewed soon.
To this effect, the Government had previously announced, through the Ministry of Labor, that the complementary retirement would be a model for other social partnerships, counting the presence of 30 approved social partnerships for several sectors, highlighting that this system is based on voluntary engagement and is based on the foundations and principles of solidarity, as it currently guarantees social supplementary coverage for the benefit of more than 1.3 million participants, stressing that the social mutual fund is the second pillar of the national social protection system after social security.
For his part, economic expert, Ahmed Sahliya, also said in a statement to “Echorouk” ” that the complementary retirement project will be a new source of support for workers’ retirement if it is officially endorsed, and it will grant wholesale privileges to the joint subscribers, while stressing that the supplementary retirement contributions will be far from the contributions of the National Pension Fund (CNR), and therefore “there is no harm to the CNR institution from this new form of retirement,” he underlined.