Mr Joseph Poku, Chief Actuary at the Social Security and National Insurance Trust (SSNIT), has called for an increment in the statutory retirement age from 60 to 65 years to sustain contributions to the fund.
He said there was increasing benefits payouts due to number of workers retiring, adding that, the increment would help SSNIT accrued adequate funds as contributors stayed longer on the scheme.
“There is currently advancement in medicine and overall well-being, making it possible for people to live longer and stronger. The retirement age should be increased gradually to 65 years. By so doing, we can accumulate more funds which we can use to sustainably fund payments,” he reiterated.
Mr Poku made these remarks at the Pensions Conference 2022 organised by Penguard Business Solutions and Consulting and Ghanatalk Business.
The event which brought together stakeholders in the Pensions industry was on the theme, “Sustainability of Ghana’s Pensions through Reforms and Effective Management.”
He said the Scheme was also proposing an increment in the 11 per cent contributions from contributors as the current amount was low compared to the return benefits from the scheme.
Mr Poku, however, denied accusations that pensioners were not receiving moneys due them after their retirement.
He stressed that the benefits they received was due to the contributions made on their salaries.
Madam Elizabeth Birago Yeboah, Lead Pensions Consultant, Penguard Business Solutions and Consulting, said the event sought to bring together stakeholders in the pensions industry to deliberate on its sustainability.
She called on pension funds to adopt regulatory reforms to sustain contributions amidst evolving demographic development such as climate change and crisis.
She said they needed to redesign and digitilise their services to meet current market needs to attract more persons to their funds, especially those in informal sector.