Workers’ union opposes new NSSF pension deductions

By PATRICK   BEJA

Mombasa, Kenya: The Kenya Ports Authority (KPA) workers have opposed the new National Social Security Fund (NSSF) Act saying it will impoverish pensioners if implemented.

The workers, through the Dock Workers Union and KPA Pension Scheme, said their provident fund where the employees contribute 10 per cent and the employer 20 per cent of the basic salaries per month was better.

The new NSSF Act would see workers contribute six per cent and employers a similar amount.

DWU General Secretary Simon Sang said the union was pushing for a review of the new NSSF Act, as it is likely to hurt pensioners.

“We are pushing for a review of the new NSSF Act through the Cabinet Secretary for Labour, through the Federation of Public Servants of Kenya (Pusetu), as an alternative central labour centre in the country,” Mr Sang said.

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He noted that pensioners will go home with between Sh250,000 and Sh500,000 if the new Act is implemented.  The union has about 6,000 members drawn from KPA and Kenya Ferry Services.

A fortnight ago, union leaders announced plans to ditch the Francis Atwoli-led Central Organisation of Trade Unions (Cotu) for Pusetu headed by Kenya National Union of Teachers (Knut) Secretary General Wilson Sossion as its chairman.