Old Mutual speaks tough on delay in pension funds remittance

One of the leading Insurance companies in the country, Old Mutual Malawi has said delay in remittance of pension funds by some employers in the country is forcing the company to fail in meeting the dateline when it comes to administration of contributions to clients.

Old Mutual Life Assurance Company Manager Taonga Manda said this during an Interactive Trustee Conference held at Mount Soche Hotel on Thursday.

Manda said his company is currently having a backlog of late submitted pension funds to be processed.

“Many employers would remit the funds when an employee is retiring or dead. This now becomes a challenge to us in processing and calculating the benefits, hence, missing the target.

“If someone retires he/she is supposed to receive his package within a period of 14 days, this is according to labour laws,” said Manda.

On her part, Reunion Insurance Company Human Resource Manager Deborah Ntaba hailed Old Mutual for organizing the event.

“This meeting is like a refresher to us as trustees because we meet a lot of challenges when communicating to our fellow employees about pensions act,” said Ntaba.

Ntaba then appealed to Old Mutual to be time conscious when processing the funds.

Over 100 trustees from various companies attended the meeting which is sole purpose was to clarify some of the hiccups facing the administration of pension funds.