Octagon Africa welcomes Court of Appeal ruling on NSSF Act,2013
Octagon Africa, a leading regional financial services provider with local operations in Kenya has begun a countrywide engagement with stakeholders in furtherance of its financial literacy initiative.Following the recent Court of Appeal ruling on the implementation of the National Social Security Fund (NSSF) Act, 2013 –which sought to increase pension deductions—,Octagon Africa has planned a series of sensitization forums targeting members of the public, corporate organisations and their customers.
These sessions, including, a virtual conference set for Thursday,16th February 2023 from 2:30 PM–4:00PM, aim to create awareness and deepen the public’s understanding of contributory pension schemes, the importance of savings for retirement, internalize the NSSF Act, 2013 and re-emphasize the company’s position as the leading pensions management provider in Kenya,Uganda, and Zambia.
While welcoming the Court of Appeal ruling and the subsequent developments in the pensions industry, Octagon Africa Group CEO Fred Waswa noted that the ruling opens the door for the full implementation of the NSSF Act,2013 paving the way for better retirement packages for both employed and self-employed Kenyans.“Over the years, the cost of living has continued to rise, and it is crucial that the industry establishes a framework that ensures that retirement savings keep pace with these changes.The implementation of the NSSF Act, 2013, although increases pension deductions, it ensures that Kenyans have the financial security they need in retirement, allowing them to enjoy their golden years with peace of mind,” Mr. Waswa said. Octagon has outlined a series of stakeholder engagement activities including virtual seminars, public lectures, social media engagements, capacity-building programmes, faith-based organization sensitization workshops, regional conferences in major towns, and County Government engagement forums.Octagon Africa General Manager- Marketing, Products & Business Development Davis Ongiro said that these engagements to be held with several stakeholders are organised to facilitate the dissemination of adequate information to the general public.
“We are committed to being a responsible pensions management provider.By deepening the public’s understanding of these recent developments in the pensions industry, we hope to support the country and provide our customers with the right information they need to secure their financial futures. We will engage them in every platform to ensure the right message on pensions is out,” Mr. Ongiro said.
The Court of Appeal on 7th February 2023, overturned a judgment delivered last September by the Employment and Labour Relations Court, which found that the NSSF Act 2013 was unconstitutional. Under the Act, the NSSF sought to build a bigger retirement pot and offer workers monthly stipends after their retirement as opposed to the current one-off payment.The NSSF contributions were last reviewed in 2001 when the rate was increased to Kshs. 200 from Kshs.160.
You can sign up using the link to join the webinar, (https://bit.ly/3IbWIpR). Themed “Dissecting the NSSF Act of 2013; All you need to know about it” the session is open to the public.The Webinar will be on Thursday 16th February 2023 from 2:30pm- 4:00pm.