'Boost fund to save seniors'
Published:Monday | July 19, 2010 | 12:00 AM
Daraine Luton, Senior Staff Reporter
THE PEOPLE'S National Party (PNP) plans to compel all Jamaican workers to contribute to the National Insurance Fund (NIF) whenever the party returns to power.
Dr Omar Davies, the opposition spokesman on finance, said the proposed move is aimed at ensuring that the State would be in a position to care for the elderly.
"Too many of our senior citizens never realise that they would grow old and we have to impose a discipline of savings that they should contribute to the NIF so that we can help to protect them in the future," Davies told members of his party yesterday.
He was speaking at the constituency conference for East Kingston and Port Royal at Vauxhall High School. The seat is represented by Phillip Paulwell.
"We have to recognise we have a major social problem on our hands," said Davies, while pointing to the abandonment of many over-60s.
"We have tended, sometimes, to be populist and avoid taking tough decisions. This is a decision we have to take in the interest of the country," Davies said.
The Government has lamented that many persons who are now beneficiaries of the fund never contributed to it during their working years, putting a greater strain on the State to maintain the welfare of the elderly.
The amount collected from contributors has been increased in a bid to ensure the viability of the fund, which has lost $1.2 billion as a result of the Jamaica Debt Exchange.
The National Insurance Scheme (NIS) is funded by NIF contributions and is the source from which pensions and other benefits under the NIS are paid.
Meanwhile, Dr Peter Phillips, the party's communications pinch-hitter, pummelled the Golding administration for "significantly contributing to the erosion of confidence in our political system".
Phillips chronicled the events leading to the extradition of Tivoli Gardens strongman Christopher 'Dudus' Coke, including the Manatt, Phelps & Phillips controversy, warning that the PNP would not rest until there is an independent enquiry into the events.
All must pay into NIF - Davies