Vuyo Zungula says he is appalled by the alarming state of many companies’ mismanagement of pension funds that have not been accounted for, over the years of operation.
The ATM President on Monday issued a statement calling for a thorough investigation in the Department of Labour to uncover what he labeled as gross negligence. “It is imperative that all who have colluded with these companies or failed in their duties are brought to justice,” he said.
Last week, the Pension Funds Adjudicator Office revealed that some employers have not been contributing towards their employees’ pension funds. It said that for some companies, this goes as far back as 20 years ago.
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“It is utterly sickening to learn from the Pension Fund Adjudicator Office that 82% of companies in South Africa, in the year 2023/24, are failing to remit the pension funds that they have deducted from hard-working citizens.
“These individuals sacrifice their comfort monthly, driven by the hope of a secure and dignified retirement, only to be met with the harsh reality of corporate greed and exploitation. This reflects a disturbing trend of thuggery within the private sector, prioritising self-enrichment over the well-being of workers and leaving many to scavenge just to survive,” the ATM president stated.
Muvhango Lukhaimane, Pension Funds Adjudicator, further suggested that the recently introduced Two-Pot Retirement System will expose the true extent of employers’ failure to pay their employees’ contributions to pension fund schemes.
Zungula said this is daylight robbery that the people are subjected to “under a government that claims to have their best interests at heart.”
He accused the ANC government of being engaged in practices of theft, collusion, and protection of those who undermine society, since it came into power.
“We demand that the government hold all individuals responsible for overseeing this monumental heist accountable for their negligence and participation,” Zungula maintained.
