Public Servants in South Africa are set to receive their pensions before retirement.
This comes after South Africa’s Finance Minister Tito Mboweni called for South African workers to have access to a percentage of their retirement fund in times of difficulty.
He made the plea during a press briefing on Wednesday in which he and the National Treasury availed the country’s Economic Support Package in the wake of COVID-19 restrictions and the recent public unrest in KwaZulu-Natal and Gauteng.
“It’s a matter which has to do with making an allowance for workers to have access to a percentage of their retirement funds in these times of difficulty.
“It is a matter that has been discussed at Nedlac ad nauseum and I am now determined more than ever before, to ensure that the officials in the National Treasury and other relevant officials speed up this matter”.
Mboweni argued that a worker should be able to access portions of their retirement funds “in these difficult times”.
The funds, he said, could among other things be used to settle bond repayments or “sort out whatever debt positions they might be in”.
“But I must warn at the same time that people must ensure that they use this facility for purposes of relief and also making better their own situation,” said the Minister.
However, the package will now be presented to Parliament as per legislative requirement.
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