Minister of Finance and the Public Service, Dr. Nigel Clarke has announced a radical plan that would change the speed with which former Government employees start getting their pensions.
The Finance Minister said the Government of Jamaica’s goal is to process public pension payments within one month of the retirement of the respective government employees.
He was speaking at the Victoria Mutual Pensions Management Retirement Seminar held in association with the Private Sector Organization of Jamaica (PSOJ) at the Spanish Court Hotel on Tuesday, September 25.
The Minister stated that “Under the new Public Pension System the aim of the GOJ is for public pensions to be processed within one month instead of over one year as has historically been the case. When you retire from Government Service your last pay cheque must be followed by your first pension cheque the very next month. It will take some time to get there but that is our goal.”
The Minister said that this goal would be achievable through the efficiency gains from having a single Pensions (Public Service) Act governing public sector pensions and through the implementation of new Public Employees Pension Administration System (PEPAS) in the next financial year.
Minister Clarke noted that the previous public pension system required navigation of over thirty (30) separate pieces of legislation, which resulted in significant delays in the processing of pension payments. Additionally, without the appropriate software and systems, verification of retirement parameters such as length of service at various ministries, departments, and agencies over the course of a long public service career has been manual and time-consuming.