Retirees say 25pc terminal benefits affect them psychologically

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Teachers expected to retire from January to December 2019 say the ongoing debate on the proposal to slash terminal benefits to 25 percent instead of 50 percent is psychologically affecting them, saying if the law is implemented they will be the first to be affected

Tanga. Teachers expected to retire between January and December 2019 have said the ongoing debate on a proposal to reduce terminal benefits by 25 percent from 50 percent is psychologically affecting them, saying if successful they will be the first to be affected by the law

They said they disagreed with the proposal and advised the relevant authorities to continue sticking with the current law, explaining that terminal benefits were their rights and that it was unwise to review how to pay them.

They complained yesterday during the opening of a seminar organised for them. The seminar was organised by the women’s unit of the Tanzania Teachers’ Union (TTU) in Tanga District.

The chair of the unit,Ms Dianarose Bendera, said one of the things that affected them most psychologically was the proposal to pay only25 percent of the terminal benefits instead of 50 percent as it was in the past, warning that if implemented some pensioners could die of heart problems.

For his part, Tanga District’s TTU secretary Victor Ntumbo said the change in the social security law, particularly the Public Service Social Security Fund (PSSSF), largely helped members of the defunct Public Service Pensions Fund (PSPF).

He said retirees expected to be paid a lumpsum amount of money to enable them to buy houses or finish constructing them, considering that in the past salaries were insufficient for such projects and loans were hard to come by.

Tanga Region’s PSSSF executive officer Nyemo Chomola has called upon would-be-retirees to be patient during this period when the government was working on their complaints after the announcement of the 25per cent proposal.