MIBFA

OUTSTANDING PENSION/PROVIDENT FUND CONTRIBUTIONS

DO NOT ENTER INTO SETTLEMENT

Dear MEIBC employer

The purpose of this communique is to caution employers against entering into settlement agreements for outstanding Metal Industries Benefit Funds Administrators (MIBFA) pension/provident contributions.

When contributions remain unpaid, MIBFA engages the legal firm, Soonder Incorporated, to recover these funds. While the Pension Fund Act clearly defines non-payment of deducted contributions as a criminal offense, we must highlight concerns about the collection process.

It often transpires that employers are offered an “Acknowledgment of Debt” as a settlement agreement, the terms of which are detrimental to the employer and often result in additional liabilities. 

For more information

NEASA Media Department

media@neasa.co.za

NEASA ... the only labour law specialist an employer will ever need.