Cover Story: Editorials: Edition: April / June 2019

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Wake up! Pay up!

Were it only so easy.
Proper thought must be given, and appropriate action taken,
over the R50bn of pension assets not being used as they should be.

Terms have meanings, frequently emotive and rarely neutral for conveying an impression.

“Unclaimed benefits” and “unpaid benefits” can be used interchangeably, but they carry different connotations. “Unclaimed” implies that the obligation rests with former members of pension funds that they get off their butts to demand entitlements. “Unpaid” denotes a responsibility on the fund, the employer or the fund administrator to find beneficiaries who’re owed payments. Read more…

ANOTHER PERSPECTIVE

We are not going the Liberty route for the reinstatement of closed funds. Our situation is different from Liberty where closed funds still had assets.

Unclaimed benefit funds, and occupational benefit funds, have typically implemented policies around unclaimed benefits and gone through extensive efforts to trace individuals, then to pay them once traced. Alexander Forbes’ funds are no exception. Read more…

Michael Prinsloo, head of employee-benefits consulting strategy at Alexander Forbes, comments: