The Fiji National Provident Fund (FNPF) has reported that over $185,000 is currently unaccounted for in its Suspense Account, as efforts continue to identify the rightful owners of these funds. In its 2024 annual report, FNPF disclosed that $185,714.62 was recorded in the Suspense Account throughout the year, a significant increase from $110,610.27 noted in the previous year.
The rise in the Suspense Account balance is linked to the recovery of long-standing contribution debts and undistributed contributions from earlier years. However, a major hurdle in resolving these suspense entries stems from the closure of numerous businesses, complicating the identification of the beneficiaries of these funds. For those companies still operating, FNPF has been proactive in offering assistance to help them identify their employees and ensure accurate details are submitted, allowing for proper crediting of contributions to members’ accounts.
In addition, FNPF has transferred $12,640.61 of members’ funds to the Unclaimed Deposits Account due to challenges in identifying them owing to insufficient information provided by employers. FNPF emphasized that it is the obligation of employers to provide accurate member details once their employees are registered.
To address the ongoing issues with the Suspense Account, FNPF is actively collaborating with employers to rectify inaccuracies in the reporting of member savings. Furthermore, a new penalty regime for late contributions will be implemented starting next month, where employers will face a monthly charge of 10% on outstanding contributions beginning January 1, 2025.
This situation highlights a crucial area of financial accountability between employers and the FNPF, stressing the importance of accurate record-keeping to avoid further complications. There is a positive trajectory here, as FNPF’s initiatives demonstrate their dedication to ensuring that all employee contributions are properly managed and attributed, ultimately safeguarding the financial interests of workers.
In summary, while the challenge of unaccounted funds is significant, FNPF’s ongoing efforts to engage with employers reflect a proactive approach to resolving these issues and promoting better financial practices within the workforce.
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