FNPF’s Urgent Call: Restoring Justice for Pensioners

The Fiji National Provident Fund (FNPF) serves as the foundation of Fiji’s financial system and must be protected from failure, as it safeguards the hard-earned savings of every worker in the country. The rights of pensioners should never be compromised or tampered with, and funds are distributed to contributors based on their contributions and guidelines set by the Board.

Established before Fiji’s independence, the FNPF was initiated by Hon AD Patel during his tenure in 1965 when Ratu Mara was Chief Minister. The first CEO, Hugh Robinson, provided strong leadership, followed by Lionel Yee, who meticulously managed the fund. Contributors were reassured by the adherence to established rules as they reached retirement age.

Throughout various governmental changes, FNPF funds were protected, with strict compliance to laws governing contributions and pensions. Even amid a series of coups, the FNPF Board included representatives from businesses, unions, and the government, which ensured contributors felt their interests were safeguarded.

However, following the 2006 coup, the unelected FijiFirst party began interfering with FNPF Board appointments, installing individuals who compromised the Board’s independence. A decree in 2011, issued without consultation, reduced pensions by 50% for certain seniors under the pretense of preventing the fund’s insolvency—a questionable claim given that no actual threat existed.

The decree was backed by legislation preventing it from being challenged in court, creating a cycle of illegality. The 2013 Constitution expanded these powers, allowing further unfounded actions against pensioners.

FNPF is the public’s money, and without parliamentary approval, key figures like Voreqe Bainimarama and Aiyaz Sayed-Khaiyum cannot dictate its future. There have been alarming financial maneuvers, with the Minister for Economy reportedly using FNPF as a source of funds for risky investments and ventures that have not benefited pensioners.

The current Minister of Finance faces the daunting challenge of addressing the substantial debt incurred under previous leadership. The recent elections helped avert a potential disaster for the country, emphasizing the importance of accountability for past decisions that negatively impacted FNPF.

The 2013 Constitution’s flawed provisions continue to victimize a select group of seniors. Although the Minister of Finance has announced plans to restore slashed pension funds starting August 1, 2024, this response has been criticized as inadequate and too reliant on the 2011 decree.

Critics call for immediate restoration of rightful entitlements for seniors, highlighting that funds used by FNPF belong to the contributors and should not be diverted for organizational gains. The leadership of FNPF must act to restore its credibility, prioritize the interests of all contributors, and ensure that pensioners receive what they are owed without delay.

As it stands, the current board seems complicit with past government decisions that have harmed pensioners, leading to calls for resignations and a transparent shift towards accountability. There is a palpable need for decisive action that prioritizes the rights of Fiji’s seniors, as previous administrations have failed to uphold their responsibilities. The new government’s approach could signal a turning point for the FNPF and its contributors.

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