THE Public Protector has ordered the government to be transparent and to redress discriminatory practices in the distribution of pension benefits to members of the former Venda homeland pension fund.
The pension scheme was meant for former employees of the Venda government, which was phased out when the new administration took over in 1994.
A 42-page report into the improper conduct of Public Service and Administration and the Government Employees' Pension Fund (GEPF) revealed that there was no transparency when the current government privatised the Venda Pension Fund.
More than R600million was taken from the Venda Pension Fund to the GEPF to address any claims that would be submitted by members after the privatisation process.
According to the victims the privatisation of the fund was illegal and not approved by the members.
The report said national Treasury and the Public Service and Administration department were not fair to about 23000 employees who were forced to retire and accept their pension money when the new government took over.
The former employees complained to the Public Protector in 2008, saying the Treasury had acted improperly in privatising the employee pension scheme.
The chairperson of the concerned group, Tshimangadzo Tshiololi, said they were concerned that they were not given full packages of their pension fund as stipulated by the Constitution.
He said they were happy that the Public Protector had instructed the government to recalculate their benefits.
Tshiololi said they had submitted claims representing 2000 workers, who are part of the 23000 that were shown the door in the process.
"I find that the facts or omissions of the Venda Pension Fund fell far short of the standard that could reasonably be expected of a trustee of a pension fund, and the Venda Pension Fund did not act in the best interests of the members of the fund when privatisation schemes were implemented by changing of the rules," Tshiololi said.
The report said the omissions constituted maladministration and had violated the victims' constitutional rights.
"The complainants suffered prejudice when they were influenced to privatise their pension benefits and were not properly informed of the consequences of privatisation of their benefits," said the report.
Tshiololi said some members were robbed of more than 20 years' pension benefits.
A task team comprising Tshiololi and other members is expected to be formed to resolve the matter.
23000 workers cry foul
THE Public Protector has ordered the government to be transparent and to redress discriminatory practices in the distribution of pension benefits to members of the former Venda homeland pension fund.
The pension scheme was meant for former employees of the Venda government, which was phased out when the new administration took over in 1994.
A 42-page report into the improper conduct of Public Service and Administration and the Government Employees' Pension Fund (GEPF) revealed that there was no transparency when the current government privatised the Venda Pension Fund.
More than R600million was taken from the Venda Pension Fund to the GEPF to address any claims that would be submitted by members after the privatisation process.
According to the victims the privatisation of the fund was illegal and not approved by the members.
The report said national Treasury and the Public Service and Administration department were not fair to about 23000 employees who were forced to retire and accept their pension money when the new government took over.
The former employees complained to the Public Protector in 2008, saying the Treasury had acted improperly in privatising the employee pension scheme.
The chairperson of the concerned group, Tshimangadzo Tshiololi, said they were concerned that they were not given full packages of their pension fund as stipulated by the Constitution.
He said they were happy that the Public Protector had instructed the government to recalculate their benefits.
Tshiololi said they had submitted claims representing 2000 workers, who are part of the 23000 that were shown the door in the process.
"I find that the facts or omissions of the Venda Pension Fund fell far short of the standard that could reasonably be expected of a trustee of a pension fund, and the Venda Pension Fund did not act in the best interests of the members of the fund when privatisation schemes were implemented by changing of the rules," Tshiololi said.
The report said the omissions constituted maladministration and had violated the victims' constitutional rights.
"The complainants suffered prejudice when they were influenced to privatise their pension benefits and were not properly informed of the consequences of privatisation of their benefits," said the report.
Tshiololi said some members were robbed of more than 20 years' pension benefits.
A task team comprising Tshiololi and other members is expected to be formed to resolve the matter.
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