The Sunday Mail
Peter Mutingondo
Companies owe the National Social Security Authority at least $168 million in unpaid employee contributions, it has emerged.
According to the Nssa Act (Chapter 17:04), it is an offence for any employer to fail to ensure that any person gainfully employed by him/her on his/her establishment, is registered with the authority.
The Sunday Mail has gathered that in the past week, Nssa inspectors descended on more than 1 000 companies in Harare, asking them to settle obligations or risk legal action.
Nssa director of contributions, collections and compliance Mr Barnabas Matongera said more than 300 companies that not registered with the authority were identified during the operation.
“As at 31 December 2017, our known total figure of outstanding contributions and premiums arrears to the Pension and Other Benefits Scheme, Accident Prevention and Workers’ Compensation Scheme was $168 million,” he said
Mr Matongera said Nssa would deploy all legal means possible, “which include levying penalties and surcharges, negotiating payment plans, handing over defaulters to our lawyers and as a last resort, we will garnish the defaulter’s accounts”.
Nssa extended an amnesty to defaulting companies from December 1, 2017 to February 28, 2018.
The president of the Employers’ Confederation of Zimbabwe, Mr Matthew Chimbwanda, said companies were failing to meet statutory obligations because of depressed economic performance.
“The companies that are still operating are surviving by the skin of their teeth and few are able to pay all their obligations as they fall due. In an environment like ours, management might have higher priorities than Nssa contributions when they fall due.
“Emcoz believes that employers are aware of the importance of Nssa and would never deliberately abrogate their responsibility to settle their obligations”.
