More than 650 employers have been identified to be remitting FNPF contributions with a lack of or incorrect details, on a monthly basis.
As a result, the contribution payments for more than 35,000 employees or members are not posted to their FNPF savings accounts on time.
Employers have failed to provide narrations for their online payments, particularly, the invoice numbers and even their employer reference numbers.
Fund Chief Executive Officer Viliame Vodonaivalu said that while Employers were paying on time, it was the members’ who suffered due to the delayed posting of funds to their accounts because of the lack of information provided by the Employers.
“This is an ongoing issue and one which the Fund has been trying to resolve with Employers for the sake of the members and this is particularly for payments done online through internet banking.”
“What this does is strip our members’ of their rightful retirement savings as in these cases the funds are diverted and kept under our Suspense Account. Our team spends a considerable amount of time sifting through these payments and reaching out to employers to determine the correct amount to be paid to the right member accounts.”
“There is a late payment penalty of $100 per employee (member) per month. We have collected under $100,000 in penalty fees as a result of this issue.”
“We’re calling on all employers to ensure that the correct narration is provided with all contribution remittances,” said Mr. Vodonaivalu.
Members are also encouraged to check their contribution payments through the myFNPF App.
Contribution payments for a month are due on or before the 14th of the following month.
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