Pensioners’ headaches persist

THE Ministry of Health and Social Services has acknowledged that the payment system for pensions is not functioning optimally.

Health Minister Dr Libertina Amathila told the National Assembly last week that the sensitivity of the equipment used often affected the verification of pensioners, especially in rural areas where transport infrastructure is poor. “Almost every month we find that more and more older people do not receive their basic State grant as a result of the condition of their fingerprints,” said Amathila.She was responding to complaints raised by DTA MP Phillemon Moongo about United Paymasters’ Company that handles the payout of the State pension scheme.Amathila said because of the nature of some people’s work, their fingerprints often got damaged and the machines rejected their identification.The Minister said the identification verification levels had already been lowered to accommodate such instances but lowering it even further would pose security risks.She said pensioners also appeared reluctant to appoint trustworthy people to collect their money on their behalf.”In some cases they do not even have confidence in the headman nor the councillor,” said Amathila.The Health Minister said it was not always possible to serve pensioners at a pay point other than where they lived because the machines were only loaded with enough money to pay the number of known beneficiaries in specific areas.The company pays out pensions to 129 949 pensioners.The Ministry is expected to register another 5 000 new applicants this year.Government spends N$467 million a year on pensions.Amathila said it was not possible to raise pensions to N$500 – something the opposition parties have pushed for since last year – because it would have to fork out an additional more than N$800 million.The Health Ministry’s budget is about N$1,3 billion.”An increase of basic state grants to N$500 in the foreseeable future is virtually impossible,” said Amathila, adding that South Africa was the only country in the SADC region that paid pensioners more than Namibia.Government increased pensions from N$200 to N$250 this financial year.”Almost every month we find that more and more older people do not receive their basic State grant as a result of the condition of their fingerprints,” said Amathila.She was responding to complaints raised by DTA MP Phillemon Moongo about United Paymasters’ Company that handles the payout of the State pension scheme.Amathila said because of the nature of some people’s work, their fingerprints often got damaged and the machines rejected their identification.The Minister said the identification verification levels had already been lowered to accommodate such instances but lowering it even further would pose security risks.She said pensioners also appeared reluctant to appoint trustworthy people to collect their money on their behalf.”In some cases they do not even have confidence in the headman nor the councillor,” said Amathila.The Health Minister said it was not always possible to serve pensioners at a pay point other than where they lived because the machines were only loaded with enough money to pay the number of known beneficiaries in specific areas.The company pays out pensions to 129 949 pensioners.The Ministry is expected to register another 5 000 new applicants this year.Government spends N$467 million a year on pensions.Amathila said it was not possible to raise pensions to N$500 – something the opposition parties have pushed for since last year – because it would have to fork out an additional more than N$800 million.The Health Ministry’s budget is about N$1,3 billion.”An increase of basic state grants to N$500 in the foreseeable future is virtually impossible,” said Amathila, adding that South Africa was the only country in the SADC region that paid pensioners more than Namibia.Government increased pensions from N$200 to N$250 this financial year.