Police are better off under CAP 30 – labour expert advises govt

A labour expert, Seth Ablosoo wants government to retrace steps taken to move personnel of the Ghana Police Service from the CAP 30 to the Social Security and National Insurance Trust (SSNIT) pension sheme.

The CAP 30 which is a non-contributory is a form of pension scheme Ghana inherited from its colonial master, which was in Chapter 30 of the 1950 British Colonial Ordinances (Pension Ordinance No. 42).

Mr. Ablosoo told TV3 Midday Live Thursday that from experience, “not only security agencies, but all members of public service who are on CAP 30 are better of than on SSNIT”.

Though the scheme was supposed to have been phased out with the coming into effect of the National Pensions Act (766), passed in 2008, government has shied away from picking such move.

Section 213 of the National Pensions Act as amended, states that upon the Act coming into force, all existing parallel pension schemes – such as the CAP30 and University superannuation schemes among others – should be unified under the three-tier scheme within a four-year period, except that of the Armed Forces.

Deputy Minister of Employment and Labour Relations, Bright Wereko-Brobbey announced this week that Cabinet had granted approval for the unification of all pension schemes under Act 766.

But following a groundswell of opposition to that decision, the Interior Ministry with a direct responsibility over the police service has denied government taking such decision.

“I want to make it clear that Mr President will not tolerate any change that will make security personnel worse off on retirement or on pension,” Ambrose Dery assured.

Nonetheless, labour expert Seth Ablosoo has warned that outlawing CAP 30 would be “chaotic” stressing the move is “not worth it”.

Meanwhile, the minority in parliament has called on the Akufo-Addo-led government to rescind that decision.

Some police officers who would be affected by the decision have staged a subtle protest, posting photos of themselves on social media with their faces covered with red cloths.

Their protest attracted the labour expert’s support who said the “agitation from the police service is understandable”.

The Presidential Commission that recommended that unification of the various schemes had argued that the sustainability of CAP 30 is in doubt.