SOCIAL SECURITY REFORM

SPSSR > FAQs > 4. What are the key proposals of the CGP?

Question

4. What are the key proposals of the CGP?  

Answer

The key proposals of the CGP are:
  • Introducing a mandatory National Social Security Fund (NSSF) to which every worker will contribute 12% of their income between R13,001 and R150,000
  • They will thus be entitled to retirement benefits, life insurance and disability benefits (so-called risk benefits), as well as unemployment insurance
  • These benefits will be aligned to the existing social security system
  • Consolidation and integration of existing social security entities
  • Higher means-test thresholds for the state old age and disability grants, or universalisation of the same
  • Universal coverage and benefits to members
  • An approved funds framework to improve the quality of coverage by voluntary pensions and insurance arrangements
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Created at 3/1/2011 3:42 PM  by Sharvania Pillai 
Last modified at 3/1/2011 3:42 PM  by Sharvania Pillai 




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