Thousands of divorced government employees are in debt because of a ruling that gives their exes immediate access to their pensions.
At least one policeman has been forced to moonlight because the interest-bearing debt is so crippling. Another policeman will need 65 years to clear his debt.
The problem is a rule in the Government Employee Pension Fund. The rule‚ which the fund admits is prejudicial‚ was created in 2012 after an amendment to the Pension Fund Act.
Known as the clean-break principle‚ the amendment grants former spouses of pension fund members immediate access to a portion of the pension as determined by a court.
Before 2007 that amount could be accessed only after a pension fund member retired.
Till death do us part - debt after divorce
Thousands of divorced government employees are in debt because of a ruling that gives their exes immediate access to their pensions.
At least one policeman has been forced to moonlight because the interest-bearing debt is so crippling. Another policeman will need 65 years to clear his debt.
The problem is a rule in the Government Employee Pension Fund. The rule‚ which the fund admits is prejudicial‚ was created in 2012 after an amendment to the Pension Fund Act.
Known as the clean-break principle‚ the amendment grants former spouses of pension fund members immediate access to a portion of the pension as determined by a court.
Before 2007 that amount could be accessed only after a pension fund member retired.
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