Kamati ya Bunge ya Zitto yakerwa na malipo ya pensheni......

[Rutashubanyuma]

Friday April 01, 2011 Local News
MPs quiz double pension pay





By BILHAM KIMATI, 31st March 2011 @ 12:41, Total Comments: 0, Hits: 169

THE Parliamentary Public Organisations Account Committee (POAC) has recommended the
intervention of the Controller and Auditor General (CAG) and the Treasury Registrar in the
pensioners’ payment system that gave room to double payment in the form of gratuity and endowment benefits.

The observation stems from a presentation of the 2009 Performance Report by the Director General of the Parastatal Pension Fund (PPF), Mr William Erio, who said some high ranking pensioners received more than 200m/- as gratuity in 2009 on top of endowment benefits.

Announcing their general observations on behalf of the committee in Dar es Salaam on Thursday, the POAC Chairman, Mr Zitto Kabwe, demanded clarification on the logic behind
repeated payment of gratuity to employees whose contracts were renewed after receiving
‘handshake’ like terminal benefits.

It was established that at the end of contracts for example, large sums of money was paid in
addition to endowment benefits, to high ranking officials in public organizations like TANESCO, TANAPA and others.

However, those employed on permanent basis do not have access to this kind of privilege. “On-contract pensioners therefore receive endowment and gratuity benefits together with
monthly pension disbursement.

This system is problematic and must be reviewed for the benefit of all,” Mr Zitto said. The committee further questioned laws and regulations that prevented double payment to employees, saying it appeared a few individuals continued to take advantage of some loopholes referred to as “directors’ fees “ The PPF Board comprises eight members and one of them is a legislator, Ms Zabein Mhita.

However, since regulations bar parliamentarians from being board members in public organizations, the committee advised PPF to communicate with the Finance ministry for immediate replacement of Ms Mhita.

Earlier, Mr Erio informed the committee that the fund operated on ‘agreed’ regulations and
framework and that application of a certain formula resulted in payments to individuals in accordance with terms of their contracts.

In 2009, for example, PPF with more that 20,000 pensioners raised 126.9bn/- that marked a
significant growth by 17.6 per cent from the 107bn/- in the previous year’s records. “The total payment to pensioners in 2009 amounted to 47.2bn/- compared with 36.8bn/- paid in 2008, following a rapid increase in the number of pensioners due to retrenchment, closure of business by companies and retirement age,” Mr Erio explained.

However, the committee demanded clarification that PPF spent 19.7bn/- on administrative
costs in 2009, due to increasing running costs, renovation of structures and maintenance costs.

Among many challenges, PPF is grappling with AIDS and other terminal illnesses that claimed many lives of its members, leading to a drastic increase in the number of pensioners.

Global financial crisis and complaints from pensioners on the amount they were paid, were
among other challenges experienced.

 

[Rutashubanyuma]

THE Parliamentary Public Organisations Account Committee (POAC) has recommended the 
intervention of the Controller and Auditor General (CAG) and the Treasury Registrar in the 
pensioners' payment system that gave room to double payment in the form of gratuity and endowment benefits.  
 
The observation stems from a presentation of the 2009 Performance   Report by the Director General of the Parastatal Pension Fund (PPF), Mr   William Erio, who said some high ranking pensioners received more than   200m/- as gratuity in 2009 on top of endowment benefits.

Tatizo la Wabunge ni kutojiuliza hivi wao baada ya utumishi wa miaka mitano huondoka na malipo yapi hata wakajilinganisha na hao wanaowakosoa kwa utumishi wa muda upi........................ili wawe wakweli waanzie na mafao yao kuona yana uhalali upi badala ya kuwalinganisha wale waliopo kwenye taasisi za umma wao kwa wao tu.....................

 

[mchukiaufisadi]

Kamati ya Zitto inazuga. Inalenga kumsafisha Erio na genge lake la udokozi.

Kama iko serious, waongee na wafanyakazi wa kawaida kuanzia level za mameneja kushuka hadi secrtaries.

Hawa wakurugenzi wanapata kama ifuatavyo:

1. Gratuity 25% ya mishahara ya muda wa mikataba endelevu inayojirudia bila interview.

2. PPF Pensions. Wanachangiwa pensions 10% kutoka kwa mwajili kinyume na sheria ya utumishi kama Waziri wa Utumishi alivyo bainisha bungeni kuwa walio katika mikataba, walipwe gratuity tu sio pensions wala endowment.

3. Wana pata group endowment ambayo sio haki yao wala haikandaliwa kwa ajili yao ila wametumia ubabe wa madaraka na rushwa kwa Bodi ya Mgonja, Khijja na sasa Dr Kapalata.

CAG arudie kukagua hesabu za 2008 hasa malipo ya group endowment na kumshirikisha au kumhoji alikuwa Mhasibu Mkuu ambaye wafanyakazi tunaamini ana SIRI NZITO. Maana kama angekuwa mwongo wangeshamfukuza kazi.

Friday April 01, 2011 Local News
MPs quiz double pension pay





By BILHAM KIMATI, 31st March 2011 @ 12:41, Total Comments: 0, Hits: 169

THE Parliamentary Public Organisations Account Committee (POAC) has recommended the
intervention of the Controller and Auditor General (CAG) and the Treasury Registrar in the
pensioners’ payment system that gave room to double payment in the form of gratuity and endowment benefits.

The observation stems from a presentation of the 2009 Performance Report by the Director General of the Parastatal Pension Fund (PPF), Mr William Erio, who said some high ranking pensioners received more than 200m/- as gratuity in 2009 on top of endowment benefits.

Announcing their general observations on behalf of the committee in Dar es Salaam on Thursday, the POAC Chairman, Mr Zitto Kabwe, demanded clarification on the logic behind
repeated payment of gratuity to employees whose contracts were renewed after receiving
‘handshake’ like terminal benefits.

It was established that at the end of contracts for example, large sums of money was paid in
addition to endowment benefits, to high ranking officials in public organizations like TANESCO, TANAPA and others.

However, those employed on permanent basis do not have access to this kind of privilege. “On-contract pensioners therefore receive endowment and gratuity benefits together with
monthly pension disbursement.

This system is problematic and must be reviewed for the benefit of all,” Mr Zitto said. The committee further questioned laws and regulations that prevented double payment to employees, saying it appeared a few individuals continued to take advantage of some loopholes referred to as “directors’ fees “ The PPF Board comprises eight members and one of them is a legislator, Ms Zabein Mhita.

However, since regulations bar parliamentarians from being board members in public organizations, the committee advised PPF to communicate with the Finance ministry for immediate replacement of Ms Mhita.

Earlier, Mr Erio informed the committee that the fund operated on ‘agreed’ regulations and
framework and that application of a certain formula resulted in payments to individuals in accordance with terms of their contracts.

In 2009, for example, PPF with more that 20,000 pensioners raised 126.9bn/- that marked a
significant growth by 17.6 per cent from the 107bn/- in the previous year’s records. “The total payment to pensioners in 2009 amounted to 47.2bn/- compared with 36.8bn/- paid in 2008, following a rapid increase in the number of pensioners due to retrenchment, closure of business by companies and retirement age,” Mr Erio explained.

However, the committee demanded clarification that PPF spent 19.7bn/- on administrative
costs in 2009, due to increasing running costs, renovation of structures and maintenance costs.

Among many challenges, PPF is grappling with AIDS and other terminal illnesses that claimed many lives of its members, leading to a drastic increase in the number of pensioners.

Global financial crisis and complaints from pensioners on the amount they were paid, were
among other challenges experienced.

 

[Rutashubanyuma]

Alarm over payment deals at pension fund Send to a friend Thursday, 31 March 2011 23:57

By Frank Kimboy
The Citizen Reporter
Dar es Salaam. A parliamentary committee has directed the Controller and Auditor General (CAG) and the Treasury to review agreements of all contractual employees in public organisations to ensure they don't pocket unrealistic benefits upon expiry of their terms.

The directive came after the Public Organisations Account Committee (POAC) smembers were informed that the Parastatal Pensions Fund (PPF) in 2009 paid three workers a total package of Sh1.2 billion in response to contracts which they had entered with the Fund. This was revealed by the PPF director general, Mr William Erio, when presenting PPF's 2009 performance statement.

Mr Erio told the committee that PPF will this year pay about Sh300 million as further group endowment allowances and as gratitude allowances to three directors whose contracts would have expired.Mr Erio also told POAC that in 2009 PPF paid Sh1.2 billion as group endowment fund and as gratitude allowances to several contractual employees.
However, some of those who were paid the allowances were rehired under a contractual basis and continued in their capacities, Mr Erio told POAC members. He told the committee that according to the Pension Funds' Act, all directors should be employed on a five-year contractual term.
Issuing the directive, POAC chairperson Zitto Kabwe (Kigoma North-Chadema) said the CAG and the Treasury should start investigations on pension funds, where the problem has been detected, before moving to other public organisations.

Mr Kabwe said CAG has also been instructed to scrutinise those who have benefited from the system for the past five years to see if the laws were adhered to when contracting them."Once an agreement with a contractual employee comes to an end he or she is supposed to be paid gratitude allowance for his services to the organisation and leave employment. How come the same person is involved in the group endowment scheme?" Mr Kabwe wondered.

Earlier, Mr Erio told POAC that PPF has been paying between Sh132 million to Sh220 million as endowment and gratitude allowance to directors whose contracts expire. Commenting on the decision, a member of the committee Kangi Lugola (Mwibara - CCM) said it was hard to believe that there were some people who were pocketing millions of tax payers' money in pretence that they have retired only to go back to their offices.

"You cannot fetch more than Sh200 million as your retirement benefit after every five years only to go back to your office. This cannot be tolerated," he warned. Mr Kabwe said CAG should also review the contracts in line with a circular issued on December 2009 by the Public Services Management ministry.

The circular, according to Mr Kabwe, requires all the managements of public organisations to make sure that all contractual employments are not renewed upon their expiry, unless the said employee opts to be employed permanently.

The committee also directed PPF Board of Trustees vice chairman, Dr Kassim Kapalata, to write to the minister of Finance asking him to remove Ms Rosemary Kirigini from the board as the law doesn't allow an MP to serve on it.
"Parliament passed a law that prohibits any MP from serving as a member of the board of directors or trustees in any financial institution. I wonder why Ms Kirigini is still on the board… You should bring your report on this matter during our next meeting," he directed.

The committee also ordered PPF to float a tender for other pension funds which would manage its group endowment scheme. He said it was not right for PPF to manage its own scheme.In his report, Mr Erio said by December 2009 the fund had grown by Sh125.5 billion compared to 2008 when the growth recorded was Sh499.3 billion.

Mr Erio said currently PPF was paying between Sh50,000 to Sh6.2 million to each of the 20,000 retirees as monthly pension allowances. He added that in 2009 PPF used Sh47.19 billion as pension allowances to retirees.
However, he said many PPF members have been complaining about the methods the fund has been using to calculate pensions. But the PPF director general added that currently the government was working hard to ensure that the method used to calculate pension allowances under PPF resembles the one used by PSPF and LAPF.