LEGAL ISSUES THAT ARISE IN THE CONTEXT OF VALUATIONS OF RETIREMENT FUNDS AS AT THEIR SURPLUS APPORTIONMENT DATES

Friday, June 15, 2012
  • SHARE THIS ARTICLE

In the old days occupational retirement funds were as bad as retirement savings vehicles as retirement annuity funds are now – many members did not know that they would be penalised on early withdrawal and for many early withdrawal was not a matter of choice – the members were retrenched, dismissed or transferred. Remedial legislation was appropriate, as was legislation designed to achieve greater fairness in occupational retirement funding in the future. Unfortunately the Pension Funds Second Amendment Act of 2001 (“the surplus legislation”) was drafted in a hurry and changed by Parliament in a hurry and, as a result, it is worded so poorly that many of the objectives of the legislation have not been achieved.

Read further