SOCIAL BENEFITS:Pension bodies to improve social security schemes in sub-region

The EAC Secretariat is expected to consult the association on issues related to social security under the principle of free movement of labour in the region. Pension bodies and other entities administering social security aspects from the East and Central Africa are gearing up to increase efficiency in their operations within the sub-region.

Monday, May 18, 2009

The EAC Secretariat is expected to consult the association on issues related to social security under the principle of free movement of labour in the region.

Pension bodies and other entities administering social security aspects from the East and Central Africa are gearing up to increase efficiency in their operations within the sub-region.

The institutions under their umbrella; East and Central Africa Social Security Association (ECASSA) have drafted a 3-year strategic plan underlining programmes that foster cooperation and development amongst them.

Some of the members include; Burundi, DR Congo, Kenya, Rwanda, Tanzania and Zambia.

According to the draft document, provided last week during its deliberation by a Standing Committee at Hotel Laico Umubano in Kigali, ECASSA will facilitate the harmonisation of social security schemes in order to allow cross border labour mobility within the sub-region.

"The association will cooperate in the development of skills and competencies in the administration of social security funds, as well as promotion of social security awareness and training in the sub-region,” the document continues.

During the deliberations, Henry Gaperi, the Director General of Social Security Fund of Rwanda (SSFR) said that this will help in the transfer of social security benefits such as pension, within the region.

"There won’t be need to follow long procedures when I need information to access a citizen’s social benefits from another country affiliated to ECASSA. I know who to talk to for any social need.”

Gaperi also explained that investors in the region will increasingly be attracted to locations by the cost and availability of skills, so harmonising labour and social security regimes will simplify processes for them.

The initiative has been highly appreciated by the East African Community (EAC), which is moving towards free movement of labour under the Common Market Protocol.

The regional economic bloc Secretariat will soon this year conduct a study aimed at ensuring that all members have a harmonised social security policy.

According to the Standing Committee members, the EAC Secretariat is expected to consult the association on issues related to social security under the principle of free movement of labour in the region.

Based on the findings, it is believed that regional pension funds will harmonise policies in a way that allow EAC citizens access their social benefits from any social security fund within the region.

In this regard, Gaperi called for a strong commitment of the Standing Committee and the Secretariat in promoting the association.

In efforts to improve efficiency and sustainability of the association, the Standing Committee and Secretariat also drafted an investment policy underlining strategies of investing the ECASSA surplus funds.

"But this is after execution of priorities stipulated in the strategic plan,” the document reads.

Funds for execution of the three programmes are collected from all members. Each member contributes $5,000 (Rwf2.8 million) per year, according to the ECASSA Constitution.

However, the ECASSA Secretary, Margaret Osure, said that considering the current membership, finances are a major challenge to execute the stipulated programmes over a period of three years.

The association has 16 members and its membership is open to other social security funds.

Being at the infancy level without a congress, the ECASSA Chairperson, Albert Odero suggested that the council remains the highest level of the association.

ECASSA was established in March, 2007 based on responses to the need by social security schemes in the sub-region to work closely.

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