Andrew Kathindi
The Social Security Commission (SSC) expects to start making payouts of N$1,000 under its stimulus package to employees from sectors hard-hit by the impact of COVID-19 starting next week.
The payouts which will total N$3,000 will be spread over a three month period to sectors such as construction, farming, transport, manufacturing, retail, domestic workers and entertainment among others.
SSC Executive Officer, Milka Mungunda told the Windhoek Observer although the commission was still accepting applications from employers of employees affected, it was targeting a rollout date of next week.
“We hope by next week because we are still busy with the verifications and we are still looking at people applying and it is only after that when we will begin with payments,” Mungunda said during the handover ceremony of N$4.8 million to the National Institute of Pathology (NIP).
Last month the SSC announced a stimulus packed of N$700m in collaboration with the Ministry of Finance to employer sectors hit hard by COVID-19. However, payments have not yet begun as COVID-19 continues to wreak havoc on the economy.
The grant is will be disbursed to qualified applicants on condition that potential beneficiaries do not retrench or reduce staff by more than 50 percent for more than three months.
Many in the sectors, however, have been lamenting the pace at which the package was being delivered, with Secretary General of the Namibia Employers’ Federation (NEF), Daan Strauss told the Windhoek Observer that he didn’t believe the package was going have an impact on already distressed companies.
On this, Mungunda said, “All I can say is for us, we believe that what we have been doing is right to respond to the current situation. We believe that our response is going to make a major difference to the economy and to people who may have been affected by COVID-19.”
On whether the SSC is considering any more donations in the efforts to contribute to the fight against COVID-19, Mugunda said the SSC will have to check its coffers before it considers this.
“It depends on how much money is left to us and how much money will be needed to respond. It all depends on whether we’ll have the resources or not.”
The donation by the SSC brings its total contribution to combat the effects and spread of COVID-19 to just over N$400 million.
Namibia has been witnessing a surge in retrenchments; with the Safari Hotels reported to be planning one of the biggest, with 177 of its 219 employees set to be retrenched, due to the negative impact of the COVID-19 lockdown on the business.
