Domestic workers will be able to retire comfortably
Old Mutual has launched a new investment product for domestic workers that will make it easier and cheaper to save their money towards retirement and life cover.
The joint venture between the Presidential Working Group for Women and Old Mutual will cost R85 a month and will allow for workers to skip up to six payments after the first six months.
Presidential Working Group for Women chairperson Gloria Serobe said: "We need to provide greater access to savings and cover for vulnerable groups such as women in rural areas, farmworkers, single parents and domestic workers."
In order to fast-track the process, applicants will not be required to be tested for HIV-Aids. "People out there are afraid to find out about their status," said Old Mutual Customer Solutions executive Andrew Cartwright.
"Domestic workers are afraid that if their employers find out about their HIV status they will lose their jobs. Most employers' motives are not upright," Cartwright said.
There are about one million domestic workers in South Africa.
The products are being launched to first cater for this huge underserved market, but will later evolve to serve other "vulnerable groups" such as farmworkers, gardeners, women in rural areas, single parents, seasonal workers and widows.