The Social Security Amendment Bill has been Passed into Law
There was a robust debate in the Montserrat Legislative Assembly on Tuesday on the Social Security Amendment Bill.
….And the Bill was passed into law by a 6-5 division in the evening.
The amendment was brought to the floor by the government to prevent the Social Security Scheme from becoming insolvent in a few years time.
Among the measures is increasing contributions from 9 per cent to 15 per cent by 2026.
Premier the Honourable Joseph Farrell says the increase in contributions to Social Security will be difficult but will benefit everyone one in the long run.
Premier the Honourable Joseph Farrell
Meantime, Member of the Opposition the Honourable
Claude Hogan disagrees with the government’s approach to the social security issue.
Honourable Claude Hogan.
An Actuarial report in 2015, 2018 and in 2021 made several recommendations to the Government of Montserrat to make the Social Security Fund more sustainable.
These include increasing the contribution rate to 11% in 2021 and adopt a schedule of additional increases that would take the rate to at least 15% by 2025, and that the Government of Montserrat inject funds into the Social Security Fund in the short-term to offset deficits.