Tanzania: New Social Security Plan Shelved

By Alvar Mwakyusa, 31 October 2012

Dodoma — THE Social Security Regulatory Authority (SSRA) has withdrawn a public notice it issued in August, this year, suspending Withdrawal Benefit from social security funds for six months.

According to a statement issued here by SSRA late in the evening, the government will also be working towards a resolution by the National Assembly during the previous session that called for review of the Social Security Laws (Amendments) Act number 5 of 2012.

The statement comes amidst public outcry across the country that such notice was impractical, unrealistic and denial of workers' rights. The contested legislation drew ire in the National Assembly during the last session of the House, as MPs called for amendment of a section that bars Withdrawal Benefit.

Kisarawe MP Suleiman Jafo (CCM) and his Ubungo counterpart, Mr John Mnyika (CHADEMA) had expressed in separate occasions intention to move a private motion to amend the law. Mr Mnyika had also challenged the SSRA to withdraw a public notice it had placed in a number of media outlets, announcing to suspend withdrawal benefits for six months.

Tuesday's statement means that members of social security funds across the country can opt to withdraw their benefits before the voluntary or compulsory retirement age at 55 and 60 years respectively, as required by the legislation which was amended in April, this year.

The amended legislation had provided that no member of the pension fund could withdraw his/her benefits for any reason before the retirement age. Before the public notice in August that followed amendments of the legislation in April, this year, members of pension funds who had through various reasons had their employment contracts expire before the retirement age were able to withdraw their benefits after six months since they ceased working.

Timetable for the current sitting of the august House issued by the Bunge office here yesterday shows that new amendments of The Social Security Laws (Amendments) Act number 5 of 2012 are likely to be under The Written Laws Miscellaneous Amendments, number 3, Act of 2012.