ABOUT $5.6million of people's pension funds is owed to the Fiji National Provident Fund and the members by dodgy employers who have not paid outstanding contributions.
FNPF chief executive Aisake Taito said, "FNPF remains vigilant in its monitoring of uncollected contributions and will continue to explore all avenues to recover outstanding debts".
He added the Fund was there to protect the interests of members and because the contribution was a legal mandatory requirement, the Fund would ensure it was collected.
"The FNPF will resort to legal action if required" said Mr Taito.
Employees in various fields of work, mainly security officers and casual employees have had their FNPF contribution deducted from their pay, however the deducted amount does not reach the Fund.
The problem is not limited to small companies who face financial hardship, there are reputable organisations which are guilty of not paying the employee's contribution on time and only react when the FNPF sends a reminder. An online media organisation, one of the country's biggest security service firm and several other businesses have been implicated and many cases are before the court.
"FNPF has inspectors who continually monitor employers on a daily basis based on their contribution payment. Should any employer default, the inspectors will carry out the necessary inspection with the employer concerned, who are encouraged to make payment arrangement to clear the outstanding contributions," said Mr Taito.
In addition, complaints received for non-payment of contribution from members is investigated thoroughly by the FNPF's Complaints Unit and necessary action is taken, where applicable.
According to FNPF, there is a standard amount expected of each employer each month. Monthly contributions are updated within a three-month time frame after which FNPF starts taking necessary steps to recover debt.
A guilty employer could face $500 fine and a $50 court fee as per the FNPF Act or face imprisonment.
Security officer Muriwaqa Ratubuli claimed his payslip always showed that FNPF contribution was deducted but after he checked, found that his account had not been updated for two years.
