Tanzania Zambia Railway Authority (Tazara), was one company that got a huge chunk from the released K30 million meant for former Tazara, Zamtel and Zambia Railways (former Railway system of Zambia) workers released. Tazara got allocated K14 million from the total amount released, but even that is not enough to cater all the outstanding unpaid retirement benefits.
In a statement made available to the Zambian Business Times – ZBT on 20 July, 2020, Workers Union of Tazara (WUTAZ) General Secretary Julius Banda has asked for government to be more consistent in releasing funds as the money released only caters for about 9% of the total required amount. Only 334 former employees qualify to get the full pension from the guidance that has been shared.
This money is only 9% of the required amount to clear all the ex-workers, we appeal to government to be more consistent in the releasing of funds towards retirees. Beneficiaries that qualified for the full pension under the guidance given are only 334. However, Banda stated that despite the money being too little compared to the number of beneficiaries, it is a step in the right direction.
“All we are appealing is consistency and perhaps look at increasing on the amounts released so that the retirees’ and ex-workers end the suffering they are enduring as these moneys are long overdue”, he said.
In addition, he said that former workers that are to receive their funds through National Pension Scheme Authority (NAPSA) where given the go ahead to start claiming. But as for those workers under the Zambia State Insurance Corporation – Zisc Life Limited, a guideline on how they will make payments has not been communicated.
“For NAPSA, the retiree where asked to start claiming especially those that retired between 2010 and 2013. However, ZSIC has not yet availed us a road map on how they will start to pay, he said.
The issue of unpaid pension and retirement benefits seems to be a black hole for the government as there seems to be no clear roadmap on how this liability can be extinguished and handed over fully to be managed by specific pension funds. There is need to come up with a holistic solution and return the government pension system normalcy.
