By Dorothy Musyoka
In a significant move towards improving the efficiency of pension disbursements, the National Assembly has passed the Pensions (Amendment) Bill, National Assembly Bill No. 44 of 2022.
The Pensions (Amendment) Bill, 2022 spearheaded by Hon. Didmus Barasa of Kimilili amends the Pensions Act to establish a clear timeline for pension disbursement.
Subsequently, the Pensions Department will have a 60-day window to process pension payments for retirees.
The Pensions (Amendment) Bill, 2022 introduces a structured timeline for the processing and payment of pensions.
Under the new amendments, government ministries and departments are mandated to submit all necessary documentation to the Pensions Department within 30 days following an employee’s retirement.
“The pension under subsection (1) shall be paid within ninety days from the date such pension becomes payable,” reads the Bill.
This provision is designed to eliminate the bottlenecks that have historically plagued the initial stages of the pension process.
The bill states that an officer can only be granted a pension, gratuity, or other allowance under the Act upon retirement from public service in specific circumstances.
Firstly, if the officer is a super scale officer, or is in Job Group L or higher, or is a teacher in a comparable salary scale, and served between August 13, 1968, and August 13, 1985, they must have either completed at least ten years of public service or reached the age of forty-five during this period.
Secondly, if the officer is in Job Group L or higher, or is a teacher in a comparable salary scale, and served between August 14, 1985, and August 13, 1990, they must have completed at least ten years of service and reached the age of forty-five during this period.
However in both cases, the officer must submit an application to retire.
Hon. Barasa emphasized the importance of the Bill in addressing the long-standing issues faced by retirees.
“This amendment is a crucial step in ensuring that our retirees receive their rightful benefits without undue delay. It is our duty to honor their years of service by providing them with the financial support they need promptly,” he stated.
By streamlining the pension process and setting definitive timelines for documentation and payment, the Pensions (Amendment) Bill, 2022 represents a pivotal advancement in the treatment of retirees, ensuring they receive their deserved benefits promptly and efficiently.