256 responses to “NIS Government Paper for Trash”

1. 

   NorthernObserver

   May 23, 2020 at 12:30 am

   
   

   @Artax
   Help me with something. Why are the employers so ‘gun shy’ to put the screws to the NIS? Let’s forget those who do not remit. Of those who do remit, it is a lot of THEIR 💰. I cannot comprehend, what has all the major employers so afraid? NOBODY seems willing to say anything in public, far less DO anything. Herbert was willing at one time, but those drug charges silenced him. Walter has spoken on BU occasionally.

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2. 

   Artax

   May 23, 2020 at 12:52 pm

   
   

   @ NorthernObserver

   It may not be beneficial for the major employees if they were “to put the screws to the NIS.”

   I’m sure you’re aware the owners of many of these large companies contribute to financing the campaigns of either the BLP & DLP…. or, as in the case of Bizzy, who admitted to contributing to both political parties…..

   ………….. perhaps to be awarded lucrative government contracts.

   C.O.W filed a law suit against ‘government’ because he wasn’t awarded a road repairs contract?

   Both BLP & DLP administrations have used NIS funds to finance projects conceptualized by the private sector. Didn’t C.O.W also received an ‘investment’ from the NIS for his “Apes Hill Polo Club?” Didn’t the NIS ‘invested’ in the NHC/Mark Maloney “Grotto” housing project? Former housing minister Denis Kellman’s said such ‘NIS investments’ are necessary, because they create employment. More people being employed means more people contributing to the scheme.

   Do you realize the majority of government vehicles are purchased from the major new car sales outlets? BMWs and Mercedes-Benz for the judiciary from McEnearney (MQI) and Simpson Motors respectively; Suzuki Vitara, Chevrolet and Isuzu for the police, central government, BWA are purchased or leased from Simpson Motors, while Nissan X-Trail, Hyundai from Courtesy Garage.

   These simple examples indicate how “major employers” benefit financially in the long-term, even if it means ‘closing their eyes’ to certain things.

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3. 

   NorthernObserver

   May 23, 2020 at 8:40 pm

   
   

   @Artax
   The symbiotic relationship between the two sectors. There are alot of employers beyond the 7 who get mentioned frequently?
   Yet the “Board of NIS” and the unit GoB are two separate entities. It is fine for the NIS to “invest” in any project, or “loan” to anything, once it isn’t a grant.
   Seems “closing their eyes” is a new national pastime?

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4. 

   David

   May 24, 2020 at 11:35 am

   
   

   NIS GETS TOUGH

   Chairman says agency going after employers not paying up

   By Sanka Price

   sankaprice@nationnews.com

   The National Insurance Scheme (NIS) is going after employers who are deducting contributions from workers’ wages and not paying them in. They may also name and shame employers if that is what it will take to make them pay.

   NIS chairman Ian Gooding-Edghill said this dishonest practice has been going on for years, but because of COVID-19, scores of laid-off workers are being disadvantaged and have been unable to receive unemployment benefits and other claims. This, he said, cannot be allowed.

   “Too many hardworking people are suffering today because of this. They continue to blame the NIS but the NIS will no longer continue to accept blame for such unreasonable actions by those guilty employers,” said Gooding-Edghill.

   He added that the non-payment of contributions by employers also impacts all NIS managed funds including the health levy which is used to maintain the critical operations of the Queen Elizabeth Hospital.

   The chairman said the NIS administration is gathering the names of the employers and companies who appear to be doing this based on workers’ complaints, and very shortly their compliance officers would be going out to these people seeking payment.

   Those targeted

   He said that information would detail those employers who over the past 12 months have failed or refused to pay any NIS contributions. It would also highlight delinquency periods whether three, five, seven, ten years or more and the amounts that remained unpaid. That report, he said, would guide the board in its revenue recovery strategy to take critical tactical steps to recover funds and other assets for the NIS.

   “We are not yet in the practice of naming and shaming and therefore we are extending the hand of cooperation to those delinquent employers. If that fails, then we will have to act in the best interest of the fund and its contributors as required by law,” warned Gooding-Edghill.

   He added: “The simple message is that the board of the NIS wants the cooperation of those employers to arrange a payment schedule to regularise and bring the outstanding payments up to date. We will work with all employers on payment plans and if employers have difficulties they should contact the NIS management to make satisfactory arrangements. But this must not be taken as an excuse to continue their lax attitude towards their required payment to the NIS. This will be done through the vigorous pursuit of offenders by our compliance officers.”

   Those are not the only unscrupulous employers the NIS is targeting.

   The other group includes those who get around their employees finding out that they’re not paying in their deductions by submitting their business’ monthly earnings reports to the NIS which list employees by NIS registration numbers by a company, detailing the insurable earnings for the four-week period in any month, together with the contribution income statement for contribution to the various funds managed by the NIS.

   The NIS usually uses this document to expedite the payment of any claims and would normally collect the workers’ contributions afterwards from the employer. However, after submitting the report, some employers refuse to pay in the money.

   “In any given month, based on the earnings reports submitted, the NIS could accrue $50 million in contribution income but only get $35 million in cash. The significant shortfall of $15 million a month amounts to $180 million per year. If this unacceptable practice is allowed to go on unchecked, for example, five years, it would cost the NIS $900 million.

   “I have been advised that in some cases this deplorable practice has been ongoing for more than five years. This is unfair to workers and other employers who faithfully continue to pay their contributions, even if they have had challenges,” said Gooding-Edghill.

   The chairman, who is the St Michael West Central MP, explained that “although some employers are not paying the employee and employer contributions, the NIS continues to pay employees’ benefits as long the earnings reports have been submitted by the employer because our policy has been not to disadvantage workers.

   Not workers’ fault

   “Therefore, if contributions have not been paid by delinquent employers, but the earnings report is submitted by the employer, the worker continues to receive all eligible benefits from the NIS such as sickness, unemployment, employment injury, maternity, and so on, at the expense of the national insurance funds. It is not the fault of the workers and therefore they must get their benefits. However, this has implications for the fund because the NIS continues to pay out millions in benefits to workers whom, through no fault of theirs, don’t know that their employers have not paid contributions on their behalf,” said Gooding-Edghill.

   He said though the fund is very strong with over $4 billion, COVID-19 had demonstrated how an unprecedented emergency could occur and the NIS would be needed to respond immediately. Therefore, going forward, everyone must comply with the law or suffer the consequences.

   “The board is resolute and determined that it will not allow any company, shareholders or individuals to build-up their personal wealth and riches at the expense of the NIS,” said Gooding-Edghill. He further noted that the NIS board last week agreed to set up a sub-committee headed by member, Leslie Haynes QC, to review the board’s compliance strategy. That sub-committee will be authorised to take all appropriate decisions supported by the board to enhance compliance.

   “This is the beginning of a new era for compliance management and action,” stated the chairman, who noted that the present Government was setting the example by paying in contributions in cash, unlike what obtained in the past when the Freundel Stuart-regime amassed arrears of more than $400 million.

   

   Ian Gooding-Edghill, chairman of the National Insurance

   Board. (FP)

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5. 

   David

   June 3, 2020 at 5:50 am

   
   

   Jobless claims ‘a strain’ on NIS

   THE NATIONAL INSURANCE SCHEME (NIS) is under pressure, with close to 43 000 unemployment claims filed to date as a result of the COVID-19 pandemic.

   The disclosure was made by Minister in the Ministry of Finance Ryan Straughn, who told the House of Assembly yesterday it was critical to get most of the unemployed Barbadians back to work. He maintained that the run on the NIS funds was not sustainable.

   Introducing the Catastrophe (Amendment) Bill 2020, Straughn said the health crisis had caused major disruption of businesses, resulting in about a third of Barbados’ approximately 145 000-strong workforce being out of work.

   He acknowledged Government had “a fiduciary responsibility” to provide the appropriate funds and be in a position to pay people their unemployment benefit when it became due, since for the unemployed it was “not an easy experience having to adjust” to being out of work.

   At the same time, he

   warned employees to ensure that any money deducted from their salaries as statutory obligations was deposited at “the appropriate institutions”. He added every worker had to assume the responsibility to check that their NIS deductions were in fact being sent to that department.

   The minister said it was only at times like this when people found themselves unemployed and were expecting to receive unemployment benefits that they might discover no monies had been deposited to their account for some time.

   Government has meanwhile designed a Business Interruption Benefit for self-employed people, described by Straughn as a temporary benefits in recognition of the global pandemic interrupting their ability to earn money.

   “We understand in this environment, where we want to maintain as many jobs as possible, that we have to find a workable solution that allows for people’s contribution to be made, for businesses to be compliant, and that we can get as many self-employed people compliant with their NIS contributions. So that if any of this is to ever happen again, that people would be clear as to what it is they

   would be eligible for,” he said. (GC)

   Source: Nation

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6. 

   David

   June 12, 2020 at 2:33 am

   
   

   NIS bids to clear 1 714 claims

   By Sanka Price

   sankaprice@nationnews.com

   An effort is on to settle 1 714 outstanding severance claims, with an estimated value of $44 million, by National Insurance Board.

   The tribunals have already started and are utilisingZoom, and the board is seeking to get each tribunal to meet at least three times a week to hear at least ten cases weekly to address the backlog.

   Though the board, which has responsibility for the National Insurance Scheme (NIS), cannot direct the tribunals, NIS chairman Ian Gooding-Edghill said he believed certain tribunal members would do all in their power to alleviate hardships many claimants might be experiencing by expediting the tribunal process wherever possible.

   “There are several persons who have been awaiting a decision and hearing going back to 2009, 11 years ago, and in some cases even longer,” he told the Weekend Nation. “It is unreasonable and inhumane to expect people to have to wait for so long to get a decision from the severance tribunal. Unfortunately, some people have died and didn’t get a hearing. We cannot have former workers waiting forever to have their cases heard.

   “It is unacceptable, and we are determined to reduce [this] severance claims backlog this year in the same way we were able to conclude 23 284 other outstanding claims for more than $23 million last year.”

   Those claims represented about 90 per cent of the backlogged benefit claims from 2014 to 2018.

   Fast-track

   The chairman said that prior to 2008 tribunals met three times a week. After 2008, the frequency of meetings declined dramatically.

   He said the NIS board and management were discussing how quickly to fast-track applications and to dispense justice for pending severance cases before the tribunals. Further, the scheme had set up a subcommittee to deal with compliance and tribunal matters and would lead this process to ensure swift action was taken and the backlog eliminated.

   Gooding-Edghill warned that the NIS would no longer be tolerant of employers who, despite being served with notices to appear before the tribunal, repeatedly refused to attend hearings.

   “Section 31 of the Severance Payments Act provides for all rights and remedies of employees in respect of a severance payment to be transferred to and vested in the board, and any money recovered by the board under this section if the employers warrant that they are unable to pay the severance,” said the chairman.

   He indicated the NIS would have to take the appropriate steps to recover the employer severance payments to ensure these monies were returned to the severance fund to assist other claimants.

   Gooding-Edghill disclosed that last year the NIS paid out more than $22 million in employer severance payments where the employers indicated they could not pay, and $7 million in employer rebates where employers paid their workers severance and claimed the 25 per cent rebate lawfully due to them.

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