The labour movement has commended the government for allowing workers under the National Pension Scheme Authority (NAPSA) to access an additional ten percent of their savings through partial withdrawal.
Speaking in separate interviews, the union leaders have described the decision by the government to allow workers to access an additional ten percent as a good step in the right direction.
Zambia Union of Government and Allied Workers president Kabisa Muyaiwa said the move will help workers to prepare for life after employment.
“This is a good step in the right direction by the government. The additional ten percent partial withdrawal means workers can now access a total of 30 percent of their savings, which will greatly assist them to plan and prepare for retirement,” Dr Muyaiwa said.
Dr Muyaiwa said the additional ten percent partial withdrawal brings the total accessible amount to 30 percent lumpsum, following the earlier 20 percent that workers had already been allowed to access.
He explained that many workers faced financial pressure as they approached retirement and that access to part of their pension savings provided much-needed relief and flexibility.
Dr Muyaiwa said the union leadership was also happy with the ongoing pension reforms being implemented by the government.
He said the pension reforms have provided for the introduction of lumpsum payments for workers under NAPSA sitting at the Public Service Pension Fund (PSPF) and Local Authorities Superannuation Fund (LASF).
Civil Servants and Allied Workers Union of Zambia (CSAWUZ) Deputy Secretary General Terry Muyenga extolled the government for the additional ten percent partial pension withdrawal.
Mr Muyenga urged the government to consider the ongoing pension reforms to comprehensively provide for lumpsum payments for NAPSA contributors at retirement.
He said there was a need for reforms to guarantee full benefits for the workers from their pension contributions when they retire.
“We commend the government for listening to the workers. As a union, we also wish to call on authorities to ensure that the ongoing pension reforms provide for meaningful lumpsum payments for workers under NAPSA at retirement,” Mr Muyenga said.
He said similar arrangements already exist under other pension schemes such as PSPF and LASF, where retirees are able to access lumpsum retirement benefits.
He said aligning NAPSA with other pension schemes would promote equity and enhance social security for workers.
