The Social Security and National Insurance Trust (SSNIT) has said it is making efforts to increase informal sector workers’ enrolment in the scheme.
This is been done under the newly launched Self-Employed Enrolment Drive (SEED) campaign, which aims to provide a reliable source of income and financial independence for workers during retirement or periods of inactivity.
To raise awareness about the importance of social security, SSNIT organized a sensitization workshop for journalists from the Upper East and Northern Regions. The workshop emphasized the significance of SEED in extending pension coverage to self-employed individuals and informal sector workers, offering them a safety net and social protection.
Charles Akwei Garshong, Public Affairs Manager-SSNIT, highlighted the significance of SEED by stating: “SEED focuses on extending pension coverage to self-employed individuals and workers in the informal sector. It serves as a beacon of hope for these workers, and places emphasis on providing social protection”.
SEED, a repackaging of the Tier 1 product, offers self-employed individuals and informal sector workers the opportunity to access social security benefits. By enrolling in the scheme, they can secure their future and enjoy the peace of mind that comes with financial protection.
The benefits of SEED include financial support during retirement or permanent disability and a life insurance policy that provides a lump sum to beneficiaries in case of the contributor’s passing. These benefits are based on the individual’s contributions made to SSNIT throughout their lifetime.
Mr. Garshong explained that this lump sum is based on the individual’s contributions made to the Social Security and National Insurance Trust (SSNIT) during their lifetime.
The target audience for SEED includes a diverse group of self-employed individuals across various industries; such as consultants, architects, lawyers, musicians, and more. Employers in the informal sector are also encouraged to fulfill their social security obligations by contributing on behalf of their employees.
“Enrolment on SEED or SSNIT has been made easier, and individuals can register at the nearest SSNIT office with their Ghana card. They are required to declare a monthly salary of their choice, based on which they will contribute 13.5 percent toward their monthly SSNIT benefits. Payment options for contributions include monthly, quarterly, semi-annual, or annual payments,” he said.
Despite the informal sector constituting a significant portion of the economy with 6.7 million self-employed individuals, only 34,000 active contributors from the informal sector are part of SSNIT. SSNIT aims to address this disparity by actively engaging the informal sector through awareness campaigns and community outreach initiatives.
Festus Darko-Preko, Tamale Area Manager-SSNIT, noted that Ghanaian pensioners have been consistently paid every third Thursday of the month. However, he clarified that in cases when there have been delays in pension payments, SSNIT should not be solely blamed. He attributed these delays to the banking system – explaining that a few days before the due date, SSNIT transfers the funds to the respective banks. Therefore, any delays in effecting payments on the due date are primarily caused by the banks rather than SSNIT itself.
Among other things, the SEED campaign’s goal is to bridge the gap between the informal sector and the social security system; thus ensuring a brighter future for all workers in the country.
SSNIT also encouraged the media to promote the SEED initiative and its potential to provide hope and social protection for self-employed individuals and informal sector workers.
By actively participating in the SEED campaign and enrolling in SSNIT, workers in the informal sector can secure their retirement and safeguard their financial well-being.
Source: thebftonline.com