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SSNIT saves GH¢ 312 million as it expunges over 21,000 ghost pensioners

The Director General of the Social Security and National Insurance Trust (SSNIT) Dr. John Ofori Tenkorang said the Trust has withheld a total amount of GH¢ 312,273,830.98 as a result of the deactivation of 21,337 pensioners for the non-renewal of Pensioner Certificates from April 2018 to June 2022.

Date Created : 7/28/2022 12:00:00 AM : Story Author : Dominic Shirimori/Ghanadistricts.com

According to him, the Trust, in 2018, changed the Pensioner Certificate renewal frequency from once every 3 years to once a year to promptly identify and delete deceased pensioners aged 72 years and above, and that has helped in reducing payment to "ghost" pensioners.

"To ensure that payment of funds to deceased pensioners aged 72 years and above, under PNDCL 247 and those aged 75 years and above under Act 766 ceases, all pensioners within the stated age categories are required by policy to complete a Pensioner Certificate once every year to confirm they are alive. Those who do not complete the certificates are deemed not to be alive and have their names deleted from the Pensions Payroll".

"Ideally at some point, I would like to even shorten the time frame because right now someone can be dead for a year, and it would take a year for us to be able to know that the person is dead or to be able to deactivate if the death is not reported. But we need to balance the inconvenience to our pensioners with our need to make sure that we don't run too much of a risk in paying 'ghost' pensioners".

"The measures implemented are effective and are evident in the amount the Scheme is saving (withheld)", he emphasised.

He admits that though the requirement may inconvenient some People because they may be bed-ridden, or incapacitated to be able to come to SSNIT, it is important to ensure they minimize payment to pensioners who might have died.

He however assured that they are able to restore payments to people who maybe unjustifiably affected, when later they approach them to prove their existence.

He disclosed that a number of measures have been put in place to address and implement the recommendations by the Audit.

These measures are:

a) Electronic tracking of the one-year Pensioner Certificate renewal policy.

b) Automatic deactivation of names of Pensioners due for annual Pensioner Certificates Renewal in the new Operational System.

The Director-General of SSNIT, was responding to adverse findings against SSNIT by the Auditor-General’s report for the periods 2017 to 2019 at the Public Accounts Committee (PAC) of Parliament on Wednesday, July 27, 2022.

Addressing the media after the engagement with the Public Account Committee Mr. Tenkorang said most of the findings were legacy investments dating as far back as 1996, and management has tackled majority of the issues, instituted measures, and policies to avert future occurrence.

"We have revised our business guidelines to ensure that, for example, SSNIT would not get into a joint venture with a party who is a minority shareholder and that party ends up getting all the construction contracts. And these are things that are being put in place to ensure proper due diligence is done before they enter into investment and to make sure the oversight is improved".