The Transitional National Legislative Assembly (TNLA) has directed the Ministry of Labour to expedite the formation of the National Social Insurance Funds (NSIF) so that South Sudanese workers and pensioners can benefit from it.
The August House passed the South Sudan Social Insurance Bill in October last year to guarantee all employees in the private, humanitarian, and public sectors have insurance through a pension fund. However, the establishment of the institution has been delayed.
In its recommendation to the Ministry of Labour during the passing of the 2024/2025 budget, the House’s finance committee reiterated the need to have the social insurance fund operationalized.
“The House directs the Ministry of Labor to expedite the establishment of the National Social Insurance Fund (NSIF) by the NSIF Act 2023,” said Michael Ayuen Johnson, the chairperson of the Parliamentary Committee on Finance and Planning.
Meanwhile, Agasio Akol, an SPLM Party member representing Warrap State, seconded the establishment of the NSIF, saying it will contribute to the country’s economy.
“This NSIF is very important because it is where money is collected and I think the finance ministry should help it because it will solve a lot of issues related to the finance ministry,” he said.
According to the NSIF Act, the Fund will register employers, employees, beneficiaries, and self-insured persons and collect and manage contributions as provided by the law. The NSIF will also be involved in investments, and pay pensions and return on investment to beneficiaries.
Akol said the institution should have been established last year but there has been a challenge in acquiring land for offices and that the finance ministry should lend support.
The lawmakers also stressed the need for the labor ministry to develop a policy to be submitted to the parliament.
“I think the labor minister was directed by parliament to develop and submit the policy to the House, which is very good. In so many sittings, the labor ministry has been talking about their challenges in identifying foreigners to issue work permits,” Akol stated. “There are some institutions interfering with the work of the Ministry of Labor by bringing and taking out foreigners without the knowledge of the ministry. I am very happy that the finance committee coming up with this recommendation.”