Caption: FNPF CEO Aisake Taito. File Photo.
The Fiji National Provident Fund has urged employers to submit completed Contribution Schedule forms (CS Forms) when paying monthly contributions for its employees.
This follows concerns on the increasing number of employers who do not submit the CS forms along with contribution payments for their workers. This means that payments received are not posted to members’ accounts because of lack of information provided by employers.
Chief Executive Officer, Mr. Aisake Taito, said it was common practice that employers would submit the payment first and then the CS Form later or vice versa. In addition, a number of CS forms did not contain the complete information of the employees which contributed to the increase of unidentified members or contributions.
“These funds would remain in an undistributed account and unidentified account (the suspense account) until the CS Form is provided and the member’s information is updated by the employer”, Mr. Taito said.
“This is an ongoing challenge for the Fund and more importantly, it negatively impacts our members, whose accounts are not updated on time.”
All employers have a duty to submit valid CS forms along with the correct payment together, and not separately.
“Incomplete submissions will lead to non-distribution of funds to member’s accounts, the possibility of those funds not earning interest and penalties for the employers”, he added.
“Employers must realize that the responsibility also lies with them to safeguard the interest of its employees by ensuring timely and correct payment of their contributions with valid contribution schedules.”
The Fund plans on placing measures in the next few weeks to counter this problem, which will see a new process of contribution payment at FNPF offices.
The Contribution Schedule form is submitted by employers upon payment of contributions at the end of every month and contains the employees’ details and the contribution amount.
Employers are also reminded to submit CS on the correct due month for e.g. if payment is done at the end of September, 2014 then it will be the September, 2014 contributions based on wages paid in August, 2014.
All employers are encouraged to contact FNPF should they need further clarification.
For more information email mediaqueries@fnpf.com.fj