Daily-rated workers' pension to cost over $100m a year

FINANCE Minister Colm Imbert said the announced pension for daily-rated workers announced in the budget presentation will cost more than $100 million annually.

He was speaking yesterday as the Standing Finance Committee looked at the estimates for the Finance Ministry.

Couva South MP Rudranath Indarsingh asked about a line item for government's contribution to group pension for daily-rated workers and asked if this was in relation to the "much touted" pension plan for daily-rated workers.

Imbert replied: "No. It will be much more than that. We estimate that it will be over $100 million a year."

He added that the pension would be implemented in this fiscal year, "and once the numbers are finalised we will make an appropriate provision for it."

Indarsingh asked if any memorandum of understanding or agreement had been signed with the recognised majority union on the issue and Imbert replied it had not been finalised as yet.

"It's under way."

Naparima MP Rodney Charles asked if the $3.2 million under pensions and gratuities for 2020 included the pensions in relation to the promised indexation of pensions and the increased benefits given to daily paid workers.

Imbert replied: "The allocation at this time does not provide for that. We had indicated that this would be done in fiscal 2020, so what you are going to see in the mid-year (review) is the finalised figures."