SSC rolls out salary protection scheme

…recipients must agree to not retrench for three months

Andrew Kathindi

The Social Security Commission (SSC) has officially unveiled the National Employment and Salary Protection Scheme for COVID-19 to cater for nine hard-hit sectors, including domestic workers.

This relief package which comes to the value of N$623 million is being delivered in collaboration with the Ministry of Finance, which will provide N$400 million in cash from the taxpayer collections, with the balance coming from the SSC.

SSC Executive officer Milka Mugunda said the sectors most hard hit by the pandemic will benefit, but the rollout will start with the tourism, construction and aviation sectors.

“Employers of the affected industries will receive a subsidy based on the total wage bill, driven by an SSC contribution waiver and a cash injection from the state. These funds will be allocated to the employers that are registered with the SSC and it is meant to cover for 17 percent of their wage bill, provided that they agree not to retrench their staff for three months, starting in April. They may reduce their wages during this time subject to negotiations but not by more than 50 percent,” said Mugunda.

Finance minister, Ipumbu Shiimi, stated that employees hit hard by COVID-19 will be entitled to 50 percent of their monthly salary subject to a minimum of N$1,000 per month for three months, starting in April.

“Affected employees who have lost income or reduced salaries should apply. Applicants should have been registered with the SSC as of 1 February 2020, should be able to prove loss of income related to COVID-19 and should earn less than N$50,000 per month,” said Shiimi.

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