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Sign up – Government Asked to Withdraw Changes to NIS Bill

The People of Barbados will be severely affected by the proposed changes to the National Insurance Scheme. They have noted that last March 2022, the Prime Minister stated that it was her intent to: 1. Make the National Insurance Scheme (NIS) a Statutory Corporation more independent from      Government by the end of 2022. 2. Recapitalize…

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petition

The People of Barbados will be severely affected by the proposed changes to the National Insurance Scheme. They have noted that last March 2022, the Prime Minister stated that it was her intent to:

1. Make the National Insurance Scheme (NIS) a Statutory Corporation more independent from      Government by the end of 2022.

2. Recapitalize the NIS.

3. Add a requirement to diversify investments both locally and abroad.

4. Ensure that when private projects SEEK PUBLIC SUPPORT, they give the NIS the choice to invest.

However, the People of Barbados not having been privy to any report on the consultations regarding the National Insurance scheme, not being provided information on the Actuarial Review of the Pension Fund, not having knowledge of the assets of the Scheme or how the tax payers monies are being spent or invested or government’s action to recover funds that are being owed; are now being faced with a Bill that has already  passed in the House of Assembly without discussion when this Bill will have profound effects on the lives of the dwindling middle class and all of the persons from the lower echelons of society and Barbadians yet unborn. The Bill is now before the Senate the step before it becomes the law of the land.

Please sign the Petition to Withdraw The National Insurance (Amendment) Bill & Pensions (Miscellaneous Provisions) Bill

The People have decided to take a stand.  Our concerns are for:

1. Public engagement in a matter that profoundly alters the National Insurance scheme as it presently exists.

2. The conducting of a Social and Economic Impact Assessment on how such action will affect persons who currently live in Barbados as well as Barbadians who live abroad that have worked on the island and are due a pension.

3. All other options be explored to maintain the safety net of the people before the National Insurance Scheme is tampered with to the detriment of the people.

4. The impact on people who are currently eligible for a pension but with the proposed Bill, will not have enough contributions since the number of contributions will rise from 500 to 750.

5. That government bear the burden of proof to show evidence that their proposal in the form of a Bill has been a successful in another country and can therefore be a model adopted by Barbados.

6. That an island which currently has concerns about the level of productivity would even consider extending the retirement age of its workforce as this will undoubtedly lead to less productivity especially for manual, blue collar, construction and agricultural workers and a rise in physical and age-related illnesses.

7. The fact that many of our statutory corporations were established to relieve them of the administrative burden of the public service. While this makes sense in theory (1) we know that many statutory corporations have not been very good at producing financial statements to account for their operations (2) they are more politicized than the Civil Service since Governments will change the entire board and top management based on partisan political considerations rather than performance or ability. (3) Ministers with responsibility for statutory corporations are known to have refused to bring information about their operation to the Cabinet. There is nothing to suggest this will change.

8. That our pensions will be used to support/prop up private sector projects.

9. While diversifying investment sounds good, who will manage these investments? With no regard for the Auditor General how will we know that the money will not be going to family and friends? The people still are not provided with the transparency to know what happens to borrowed funds after they pass through the Estimates process so how can we trust what will happen to our NIS funds?

The time to act is now and based on the foregoing, we the People are demanding that:

1. The age of retirement to be at 65

2. Eligibility remains at 500 contributions

3. Politicians and citizens to be on par with respect to retirement age

4. More compliance officers be employed to ensure contributions are paid

5.  Government pay back the money owed

6.Government identifies the leaks in the scheme and fix them

7. Government goes after defaulters

8. Regular audits are conducted

9. Systems are put in place whereby the government cannot use the funds

10. NIS be placed into the Central Government and not under the absolute control of the Minister

11. Systems are put in place to help microbusinesses file their contributions

12. That The National Insurance (Amendment) Bill & The Pensions (Miscellaneous Provisions) Bill be withdrawn.

 

 

166 responses to “Sign up – Government Asked to Withdraw Changes to NIS Bill”

  1. Yolande Grant - African Online Publishing Copyright (c) 2023. All Rights Reserved. Avatar
    Yolande Grant – African Online Publishing Copyright (c) 2023. All Rights Reserved.

    “The Congress takes issue with the fact that the government, as the custodian of the assets of the people of Barbados, would allow companies and individuals to run up debts to the NIS. This is nothing short of severe dereliction of duty and makes a mockery of the governance model,” De Peiza stated.

    “For the government to engage in the practice of writing off debts owed to the NIS, along with VAT [Value Add Tax] payments due to the Barbados Revenue Authority, is to allow the society to sink deeper into a morass of decadence.

    “This brings into question whether the government is really living up to the boast of transparency when it resorts to a policy of writing off monies owed to the state, and where those who fail to keep their commitment and obligations to the state as guided by law, remain the beneficiaries,” he stressed.

    The union leader questioned the extent to which those written-off funds could have been invested as a means of lessening the severity of the intended measures to the National Insurance Scheme.

    “It would seem that the government has turned a blind eye to safeguarding the interest of the next generation of workers, by ensuring that they cannot benefit significantly from a pension in their senior years. It would also appear that the government is more preoccupied with satisfying its main interest of correcting its actions which have threatened the stability of the Fund,” De Peiza suggested.”

  2. John Avatar
    John

    Ther was a William Fracis Lynch who owned a few slaves in 1832,

    He was an FM, Free Mulatto!!!!!!!!!!!

    Could be an ancestor of Chally Jones or Sir Douglas Lynch.

  3. Yolande Grant - African Online Publishing Copyright (c) 2023. All Rights Reserved. Avatar
    Yolande Grant – African Online Publishing Copyright (c) 2023. All Rights Reserved.

    Brought to my attention last night that a Nationnews article was written by the NIS, VAT and Treasury write off artist of thefts…that your savings accounts are needed for pilfering…guess they are trying to cover up the aforementioned ….RoB on the job again..

    I asked but did not get an electronic version of the article…

  4. Yolande Grant - African Online Publishing Copyright (c) 2023. All Rights Reserved. Avatar
    Yolande Grant – African Online Publishing Copyright (c) 2023. All Rights Reserved.

    Am sure the Slave-minded wont mind being RoB-ed for the cause…since they enabled all of it and still refuse to call it thefts, lies, fraud…..

    …everyone else does though….renowned thieves setting policies for more thefts does not sit well…it’s nonprogressive and nondevelopmental.

  5. David Avatar
    David

    EDITORIAL
    Keeping eye on NIS

    A NUMBER OF CONCERNS have been raised publicly since Minister of Labour, Social Security and the Third Sector, Colin Jordan delivered a ministerial statement on the Revitalisation of the National Insurance Scheme (NIS) in the House of Assembly on July 28.
    A lot of the focus by some worried Barbadians is the eventual increase of the NIS pensionable age to 68, and the increase in the number of contributions required to become eligible for pension from 500 weeks to 750 weeks.
    The private sector, including the insurance industry, has raised concerns including that the plans for reform of the NIS do not appear to take into account the issues facing private pension plans, including the double taxation impacting private pensions.
    In 2015, the Freundel Stuart administration removed tax allowances for retirement savings for Barbadians, a policy which the Mia Amor Mottley administration has maintained despite persistent lobbying from pensions industry stakeholders.
    All of the above concerns are important and worthy of discussion, but there is another issue which has major implications for the NIS, especially the National Insurance Fund (NIF), beyond the proposals which Jordan announced. These relate to the investments made by the NIF, including the need for consistent and transparent investment policies by the country’s social security scheme, and the NIS’ failure to produce audited financial reports.
    It is no secret that the NIS suffered in excess of $1 billion in losses as a result of the 2018 domestic debt restructuring. Even before then, actuarial experts and ordinary Barbadians had raised their voices in objection to the NIS being so heavily invested in Government’s financial instruments, and also
    being used to fund major infrastructure projects in the public and private sectors.
    Jordan said in his ministerial statement that the NIF was strong with assets of approximately $4 billion with average yields on investments of 4.3 per cent. The minister said that even though the NIF is not in crisis now, there was a date with destiny between 2034 and 2041, meaning there was the risk of depletion without reform.
    Barbadian employers and employees have a role to play in helping to fix the NIS, but Government also has a responsibility to ensure that the NIS’ funds are being invested and spent responsibly. The fact that the last actuarial review is for the period ended December 31, 2020, also means that there is not a full picture of the current financial standing of the NIS and its funds. This is compounded by the failure to produce audited financial statements. Under its economic reform programme and arrangement with the International Monetary Fund, Government has committed to submitting NIS financial statements for the period 2010 to 2021 for audit by the Auditor General by March next year.
    The fact that the country has been in the dark about the NIS’ full financial position for so long is unacceptable.
    So, while a lot of emphasis seems to be on the role the Barbados workforce has to play in NIS reform, Government needs to demonstrate that it too is taking real action, including as it relates to NIS investment transparency and its financial accountability.
    The fact that the last actuarial review is for the period ended December 31, 2020, also means that there is not a full picture of the current financial standing of the NIS and its funds.

    Source: Nation

  6. David Avatar
    David

    Getting serious about our lifeline

    IT IS FORTUITOUS that the world will celebrate International Youth Day this Saturday, as we in Barbados are considering reforms to the National Insurance Scheme (NIS), with a view to, hopefully, stabilising the Fund, thereby safeguarding the future of the social security net for Barbadian young people.
    It is obvious that the NIS cannot continue on the present track, without any change. As highlighted in the 17th actuarial review, on the present course, in the mid to late 2030s, the Fund is likely to be depleted, meaning that contributions to the Scheme would have to be increased exponentially to cover the payment of benefits. Simply put, if the Fund is depleted, a person in 2040 could have to pay a contribution rate of as much as 30 per cent, which would be disastrous for the level of disposable income in the economy and unsustainable. Undoubtedly, such a situation must be avoided.
    Viewed in this light, an incremental increase (over ten years) in the pensionable age by one year only, together with the other measures, seem entirely reasonable and proportionate.
    What is clear from the various reports is that the NIS is battling, first and foremost, a demographic ticking time bomb. It is obviously not sustainable for there to be more persons dying in Barbados than are being born annually, as has been happening for the last few years. Already, the number of contributors has fallen in the last 15 years, while at the same time, the number of beneficiaries (pensioners) has increased (at a faster rate). This is compounded by the significant lack of contributions from the informal sector.
    But why is it necessary for these reforms to take place at all? In other words, why must we seek to save the NIS, and thus our social security net? The stated aim of the reforms is to keep “benefits adequate, contributions affordable and the Fund sustainable”.
    Pressing concern
    Ensuring that the level of benefits being disbursed remains adequate is a pressing concern. In 2019, several international media houses picked up an extraordinary story from Japan about an increasing proportion of petty crimes (mostly shoplifting) being committed by elderly persons. As it turned out, it appeared that these elderly individuals were only seeking to get temporary shelter and free food, because of the inadequacy of their
    pension, and so committed crime in order to be incarcerated for a while.
    At the same time, it was also reported, that according to Japanese government data, as more and more people prolong their working life because of the inadequate pension, some 12 per cent of the workforce in 2019 was over the age of 65.
    The seeming inadequacy of these pensions should be compared to Barbados, which, according to the 17th actuarial review, has a high minimum pension relative to wages. This is because our minimum pension guarantee (to promote financial dignity in old age) “bumps up” the pension of those who would otherwise fall below the threshold, based on the value of their contributions alone. Such an intervention, however, must be financed and it becomes more difficult to do so from a shrinking contributor base.
    Our Scandinavian counterparts – with whom we share a strong commitment to social democracy – are also now walking this road. In Norway, a government committee appointed to review pension arrangements has recommended an increase in the retirement age to as much as 70 years old.
    Norway’s life expectancy is only approximately three to four years more than Barbados’.
    Before the advent of a limited (means-tested) pension scheme in Barbados in 1938, poor people were forced to rely on the charity of relatives and, in default, on the limited poor relief efforts of the parishes and the church. Such an ad-hoc system did not promote dignity in old age.
    The significant advances since 1938, in particular the establishment of the NIS, are worthy of being jealously guarded and earnestly protected. Now is not the time to be distracted by political attempts to exploit a serious situation. The NIS is our lifeline . . . and we must save it.

    Khaleel Kothdiwala is a law student with a passion for civic engagement and an interest in the enfranchisement of young people. Email: khaleelkothdiwala@outlook.com

  7. NorthernObserver Avatar
    NorthernObserver

    “Under its economic reform programme and arrangement with the International Monetary Fund, Government has committed to submitting NIS financial statements for the period 2010 to 2021 for audit by the Auditor General by March next year.”

    This is the date by which a new entity must be up and operational, to avoid sending anything to the AudGen.

    If the BTMI is any example, anything issued will be “unqualified”, meaning auditors have deemed the information incomplete, and hence cannot ‘qualify’ (have any minimum level of confidence in) their report.

    BUT, the editor who penned for the Nation needs to also know, what the Act governing the NIS says.

    33.(1) The Board shall
    (a) in each year prepare a report on its activities in its last preceding year and shall furnish such report to the Minister no later than the thirtieth day of June

    (b) submit to the Minister every account, certified by the Auditor-General pursuant to Section 30, together with the report of the Auditor-General thereon, within one month of certification; and

    (c) submit annually to the Minister an account of the securities in which moneys forming part of the Fund are for the time being invested

    (2) The Minister shall cause a copy of every report of account submitted to him pursuant to the Section to be laid on the table before both Houses.

    Hence, there has never been any reason why audited (or otherwise) financials have delayed (a) and (c), albeit, without detailed specificity, the investments of the NIS funds have appeared on their website(s) from time to time (as reported by the NIS)

    The Editor needs to contact those various Board Chairs from 2006 on, and seek explanation on 33(a). Did they submit such to the Minister? If they did not, why not? And if they did, we now have a legal issue (failure to comply with the Act) as to why such reports were not ‘laid on the table before both Houses’ by the Minister receiving them.

  8. NorthernObserver Avatar
    NorthernObserver

    To aid the editor here are the Chairs

    Sir Richard Cheltenham, Q.C.: 2005 to 2008
    Mr. Jepter Ince: 2008 to 2009
    Ms. Sandra Forde: 2009 to 2010
    Mr. Keith “Tony” Marshall: 2010 to 2011
    Dr. Justin Robinson: 2011 to 2018
    Mr. Ian Gooding-Edghill, M.P.: 2018 to 2020
    Mr. Leslie Haynes, Q.C.: 2020 to Present

  9. Yolande Grant - African Online Publishing Copyright (c) 2023. All Rights Reserved. Avatar
    Yolande Grant – African Online Publishing Copyright (c) 2023. All Rights Reserved.

    Northern, i see you still trying.

    Since a heist seems imminent, wee should advise the talking machine…to make a list of all her loving adoring supporting imps, pimps, fowls and Slaves, there must be at least tens of thousand of them, and clean out their bank accounts leaving them $50 as goodwill…they wont mind seeing as they support any and everything…..once a politician does it, no matter how evil, corrupt and illegal…..but at least.that should fix the NIS deficit.

    On another note….trouble is brewing on the continent of Afrika…i remember when war broke out in Ukraine, nuff of them on here took sides, though not fully understanding the whole dynamics…even whlle seeing how Afrikans are mistreated, some of the dumber ones from other areas wanted to go fight…so let’s see them gear up and go fight for their ancestors birthright and motherland which is theirs too: now that France still believe they can continue the centuries old oppression, suppression, exploitation and THEFTS of Afrikan birthrights.

    Now we will know what they are truly made of…

  10. David Avatar
    David

    Thanks NO for your contributions to this matter. The blogmaster will highlight separately.

  11. Time to hold former NIS Chairs AccountableBarbados Underground

    […] Submitted as a comment by NorthernObserver […]

  12. David Avatar
    David

    AUG 10, 2023 —
    We are standing firm even though the Senate passed 2 Bills that were to create the structure of the new NI Corporation. Whatever that is, it is not in favour of the ordinary man in Barbados.
    All is not loss and we are still proceeding with this Petition and the march that is planned for Saturday. The plan is on to change the retirement age even though last August the PM said that the fund is not in crisis.
    Can you image that Liz Thompson had the audacity to try to justify the retirement age for politicians which is 50? What she did not say was that those entitled politicians will be walking away with 2 pensions, one at 50 and another at the regular retirement age. She went on to say that by setting the retirement age for every one else to 68, that the government is saving the NIS fund. Nothing could be further from the truth. They have not tried any other option to save the fund. She seemed very proud of herself too for making that pronouncement. I heard you Liz, loud and clear!
    So people stop and mull over this. The politicians are getting 2 pensions while you are only getting one at a time when you are past you prime, perhaps too tired and sick even to enjoy that pension at age 68. This can never be right. This is why every Barbadian should sign the petition and come out and march on Saturday. Your quality of life and the lives and well being of future Barbadians are in your hands. The future depends on you! Get out and March!


    Heather Cole Facebook post

  13. Roger A Hercules Avatar
    Roger A Hercules

    There is the likelihood that, at 57 years old, I will be severely affected by the Amendments to the NIS. I volunteer to be a Claimant or Appellant if needs be!
    This cleverly written amendments done to make the NIS a state owned Agency OR its equivalent follows a pattern of governmental political actions aimed at the unhinging of Government Departments governed by Public Officers pursuant to the Public Service Act and its General Orders. This unconstitutional manoeuvring has not been met with a REDELEGATION OF POWERS TO THE MINISTER, nor a REDELEGATION OF FUNCTIONS BY THE (GOVERNOR GENERAL) or PRESIDENT TO OR FROM THE MINISTER.. These political actions automatically shifts power from the President to the Prime Minister! This political action leads to a breach of the separation of Powers under the Constitution, under an unconstitutional constutional amendment that gives the PM more power to govern than has been allotted to her under our Constitutionalism! And at the same time, abrogates the ACCOUNTABILITY MECHANISMS made under our Westminster modelled Constitution. Hence corruption will set in!
    Check Madame Justice the Hon. Lord Hale’s decision in R MILLER VS THE PRIME MINISTER!
    This Amendment to the NIS denies the NIS worker the right to choose whether or not that worker wants to continue being employed under the Public Service or not. Such a clause can be found for example, under the Transport Authority Act, the Barbados Revenue Authority Act. That clause, which was constitutionally extended to the masses who were denied the right to choose. Our fundamental rights and freedoms under the NIS WILL BE VIOLATED FOR SURE!
    Moreover, my guaranteed protection by Section 18 of the Constitution sets a PRECEDENT that prohibits the making and enforcement of RETROACTIVE LAWS in this country! Any law that impedes my right to a pension based on 500 contributions at age 60 is a RETROACTIVE LAW!
    The behaviour of our Parliament has become a PRAESIDIUM!
    Bajans Remember SECTION 5 OF THE BARBADOS INDENTITY MANAGEMENT ACT! THE THREAT TO YOUR RIGHTS TO VOTE OR TO RECEIVE SOCIAL SERVICES WITHOUT A NEW ID CARD! REMEMBER THE POLITICAL ACTION AND MINDSET OF OUR PARLIAMENTARIANS ! WE HAD ALSO BEEN DENIED TO VOTE FOR REPUBLICANISM BY THESE SAME PARLIAMENTARIANS!
    I am also so disappointed in the present Chairman of the NIS for being a party to this apparent unconstitutional manoeuvring! Apparent because it hasn’t been signed into law YET!
    Do we have a strong President who has the Constitutional power to WITHHOLD ASSENT?
    I personally doubt!
    But how can I have confidence in a Democratic Process when THERE WAS NO PARLIAMENT because there was a shortage of Senators and now THERE IS STILL NO PARLIAMENT because the President has not yet satisfied the requirements of the Constitution to choose an OPPOSITION LEADER from the persons She chose for the Senate who do not support the Government! Neglect in the performance of a duty which has denied the citizens of this country of FAIR AND FRANK DISCUSSION in OUR Parliament in this MATTER! HENCE THE VOTE ON THIS NIS AMENDMENT WILL ALSO BE UNCONSTITUTIONAL!
    I Pray that God will help us!
    Good morning.

  14. Yolande Grant - African Online Publishing Copyright (c) 2023. All Rights Reserved. Avatar
    Yolande Grant – African Online Publishing Copyright (c) 2023. All Rights Reserved.

    Yolande Grant – African Online Publishing Copyright (c) 2023. All Rights Reserved. August 10, 2023. @ 5:02 AM

    Sent to REAL Pan Afrikanists on our Afrikan Continent.

    The 11 or 12 Afrikan countries who have not yet realized that their doom and destruction has been organized/orchestrated and thoroughly directed by les voleurs France; but now have the extremely rare and golden opportunity to break those chains, get France out of Afrika permanently instead of fighting your Afrikan brothers and sisters to keep the oppression, exploitation and thefts alive while they arm rebel forces to destabilize and murder you.

    They better grab the opportunity presented and run your main parasite off the continent, and let him take his super talking liar with him.

    We watched as Barbados’ super talker fraud and France joined forces. They got so close and acted like a house on fire, and knew nothing good can come out of that for Afrikans. Everything these traitors in Barbados touch turns to doom, blight, curse and poison on our earth. That toxic and dangerous relationship would spell the final destruction of Afrikans.

  15. Bush Tea Avatar
    Bush Tea

    I Pray that God will help us!
    Good morning.
    ~~~~~~~~~~~~~~~~~~~~~
    Don’t waste your prayers Boss.

    Instead, check the numbers jumping and reveling on the streets last week compared to those in a church or reflecting on their purpose in life soberly.

    This will tel you in whom we are trusting for ‘help’….

  16. David Avatar
    David

    Hands off NIS, says Caswell

    Politicians must not be allowed to dip into the National Insurance Scheme (NIS) when they see fit.
    They must also not use it as a tool to find employment for their friends.
    Those are some of the concerns of general secretary of the Unity Workers Union (UWU) Caswell Franklyn, who criticised some of the provisions in the National Insurance and Social Security (Amendment) Bill (2023).
    During a press conference that was called to announce a protest against the changes, Franklyn highlighted Section 5 of the bill which outlines the job descriptions of several high positions such as chief executive officer, chief finance officer, chief people development officer, chief operations officer and chief investment officer.
    “The National Insurance will have a whole new set of officers and it is troubling that they specified the names of the officers in the legislation and put their job descriptions in the legislation.
    “Normally a job description is between you and the person that hired you. If there will be changes, you discuss it, but if you want to change the job description in these high-level posts, you will have to go to Parliament to change their job descriptions,” Franklyn said.
    “My concern is that National Insurance is now being used like a statutory board where they can get jobs for their friends. National Insurance is too important to risk it with politicians making the decisions because they will be making decisions with the next election in mind.
    “Next election in mind may not mean what is in the best interest for the people of this country in terms of their pensions down the road,” he added.
    Late last year, Government announced that the fund could be in jeopardy in about 12 years if there was no reform. They said the scheme was heavily impacted following the COVID-19 pandemic.
    There were a series of town hall meetings where Barbadians offered suggestions. Last month, Government announced that the pensionable age would be 67 and a half years in 2028 and 68 in 2034.
    It was also noted that contributions to become eligible for pensions would move from 500 weeks (ten years) to 750 weeks (15 years), but no effect on those who are 60 or older on January 1, 2024.
    While urging Barbadians to speak out, Franklyn said it was unfair that Government ministers and Members of Parliament would receive their settlements, while the average Barbadians
    would be negatively impacted.
    “At age 50 they qualify for a pension and then at age 68, they get a second pension, so while the majority of Barbadians will have to suffer under a NIS pension that they have now reduced because they changed the way they compute the pension, so you will get less. . . they are getting a pension at half their salary, after eight years or two-thirds of their salary after 12 years.
    “Then if they live old enough and they get to 68, they will then get the pension that everybody else gets. They will be getting two pensions and the average man in Barbados who works in the public service will get one,” he added.
    During the press conference, Franklyn was joined by activist Winston Clarke who represented the Steering Committee and director and activist and director Marcia Weekes of the Marcia Weekes Show.
    Weekes said she supported the march because she viewed the changes as an attack on the elderly.
    “I see it as a crushing of the poor. It mattered to me that we are asking elderly people to work and carry out services to the country, for me that is elder abuse, so I got involved,” Weekes said. She encouraged more people to speak out and become the Opposition. “We must remember that we do not have an opposition, we will not oppose for opposing sake, but the people need to understand you are the opposition,” Weekes said. (TG)

    Source: Nation

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