Auditor, UBP call for action on overdue pension accounts
Government is clamping down on companies who refuse to pay pension money, but Director of Social Insurance Kelly Hodsoll believes there is still more than $10 million in arrears.
Auditor General Larry Dennis revealed on Friday that pension contributions that were more than 90 days overdue had jumped from $10.7 million in 2000 to $11.5 million in 2001.
Before Mr. Dennis released his report, Ms Hodsoll said her staff were doing everything they could to get the cash.
It prompted Opposition leader Grant Gibbons to call for Government to enforce the law in the courts.
Firms which don't pay up can be taken to the criminal and civil courts but last year two companies were fined just $250 each for not paying $255,000 over a five-year period.
Ms Hodsoll said her department has stepped up inspections and collections and was also working with Immigration to put the bite on companies who needed work permits granted or renewed but who were withholding cash.
She said: "We are getting results with that."
A website will be set up by October recording pension statements, said Ms Hodsoll to allow employees to check their firm was playing by the rules and she urged worried workers to visit her office to check their situation.
Statements will be sent out again later this year as part of an annual bid to keep employees up to date.
This started last year and had also encouraged companies to pay up, said Ms Hodsoll.
She said an extra staffer had been employed to inspect company records and the department has been restructured which had yielded a modest increase in collections.
She said of the missing money: "The dollar value is quite significant but the number of people affected is less significant.
"Out of 35,000 people in the workforce we are looking at about 600 people affected by delinquent firms."
Dr. Gibbons said it was time offending firms were hit hard or other companies would realise they could get away with holding back funds.
He said: "The Department of Public Prosecutions needs to work much more closely with the Accountant General's office and the Minister of Finance with this.
"Clearly if you are delinquent for a period of time and you have no intention of fulfilling your obligations you should be prosecuted to the fullest extent of the law."
He said Government should work with companies in temporary difficulties but could not sit back when situations dragged on.
"That would make a mockery of the whole thing.
"Of course it won't happen if there isn't the political will to pursue it. It needs direct action."
