By Staff Reporter
PLATINUM producer, Zimplats together with the Mining Industry Pension Fund (MIPF) is currently under investigation for paying pensioners in local ZWG currency despite the fact that US$ were deducted for investments.
The matter came to light following a question raised by Mashonaland West Province legislator, Mutsa Murombedzi who quizzed Treasury on what government’s position was with regards to payment of pension payouts.
“I wish to get an explanation from the Finance and Investment Promotion Ministry on what the government’s position is with regards the Government’s policy on pension contributions by mine workers considering that ZIMPLATS deducts workers’ pensions in United States Dollars and subsequently remits them in ZWG to the Mining Industry Pension Fund,” she said.
Responding to the question, the Deputy Finance, Economic Development and Investment Promotion Minister, Honourable Kudakwashe Mnangagwa said such developments contradict Statutory Instrument 280 of 2020n put in place to protect workers whose pension contributions are made in foreign currency.
“It provides that if the employer deducts pension in foreign currency, the pension fund must invest that money in foreign currency assets and pay pension benefits in the same currency upon retirement.
“In this regard, the MIPF now pays out benefits in both the USD and local currency, depending on how your contributions were made. With regards to the ZIMPLATS question, Government through IPEC, is actively engaging with both ZIMPLATS and the MIPF to ensure strict adherence to statutory and legal frameworks governing pension contributions and remittances,” he said.
