The National Social Security Fund (NSSF) in Iringa Region has demanded that employers not compromise with employees contributions by doing so is against the NSSF law.
Speaking yesterday during the meeting with judicial workers of the Iringa region, NSSF Iringa Regional Manager, Josephat Komba said that the fund will take legal action against all employers who have not submitted workers contributions.
The aim of the meeting was to bring common understanding on implementation of NSSF Act between the two parties (NSSF and judiciary).
He said all employers who delayed membership contributions will be sent to court for suspicion of delaying workers contributions.
Komba said that the employers will be arraigned in court for causing NSSF to lose millions of shillings, which were the arrears of contributions they had to submit.
He mentioned that the role of NSSF to collect all monthly members contributions, to register all employees from private and informal sectors to the fund, to make investments and to pay benefits to pensioners.
Kombe further said that membership coverage also include all employees in international organization in Tanzania and all self employed workers in the informal sector.
The scheme is financed through members’ contributions at the rate of 20% of employees’ gross salary.
Contributions collection based on monthly gross salary at the rate 20 percent shared between the employer and employee.
Kombe talked about some of the roles of employers include to be registered as a contributing employer, to make contribution deductions from employer’s monthly gross salary, and to remit contributions to the fund with one month from month of which salary was paid.
However, the manager NSSF in Iringa Region said the fund also faces some challenges of low public awareness on the importance of social security especially from the informal sector.
Other challenges are dishonest cheques, a cheque which the bank will not pay because there is not enough money in the account to pay it and late remittance of membership contributions.
On his part, Iringa District Commissioner Richard Kasesela said the NSSF's decision to bring them to court was good, deserves to be implemented early.
He said his office in collaboration with the NSSF Iringa Region would bring all employers to court due to their non-submission of staff contributions, which undermines the implementation of the fund's obligations. By Friday Simbaya, Iringa