Zimbabwe: Pensioners Drag NSSA to Court Over 'Peanuts' Payouts

A group of pensioners has taken the National Social Security Authority (NSSA) to the High Court, accusing the pension body of violating their constitutional rights by paying what they describe as “grossly inadequate” pensions.

The applicants, led by Gideon Shoko, are seeking a court order compelling NSSA to urgently review pension payouts to levels they say are commensurate with their lifetime contributions and the prevailing cost of living.

NSSA is the statutory body responsible for administering Zimbabwe’s social security and national insurance schemes. Workers contribute to the pension fund throughout their working lives, with employers matching those contributions.

However, the pensioners argue that the benefits they now receive bear little relation to the contributions they made over decades of employment.


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According to court papers filed at the High Court, the applicants comprise pensioners, widows and widowers who were compulsorily enrolled in NSSA’s Pension and Other Benefits Scheme.

The applicants said they faithfully contributed to the scheme throughout their working lives before qualifying for retirement benefits.

“On attaining the qualifying retirement age, the applicants became entitled to and now receive monthly pension payments from the respondent. The pensioners receive US$55.00 and ZWG308 per month, whilst the widows receive US$20.00.

“The said monthly payouts are grossly inadequate when measured against the cost of basic survival in Zimbabwe, and fall far short. As a result, the applicants are unable to afford basic food, shelter, clothing, medication and transport from their monthly pension payouts,” the court papers read in part.

The applicants contend that despite repeated engagements, NSSA has failed or refused to review the pension payments to reflect either the value of their contributions or the country’s rising cost of living.

“Despite continued engagements to resolve the matter, the respondent has refused and/or neglected to review the pension payouts to a level bearing any rational or proportionate relationship to the value of the contributions compulsorily deducted over the course of their working lives, or to the prevailing cost of living in Zimbabwe,” the application states.

The pensioners further argue that the compulsory contributions they made over several decades constitute property protected under the Constitution.

“It is submitted that the compulsory contributions made by applicants to the respondent’s Pension and Other Benefits Scheme, accumulated over decades of employment, constitute property within the meaning of Section 71(1) of the Constitution, in the form of a vested right to receive a pension benefit commensurate with the value of those contributions,” the court papers state.

They also argue that the Constitution prohibits the compulsory deprivation of property except in limited circumstances, including where fair and adequate compensation is provided.

The applicants want the High Court to declare that NSSA’s current pension payouts are unconstitutional and to compel the authority to implement pension benefits that adequately reflect contributors’ lifetime payments and safeguard retirees’ right to live in dignity.


Source:

allafrica.com