defence corporate communication
 
     
dod bulletin 2003

26 November 2003: No 70/03

RECOGNITION OF FORMER NON-STATUTORY FORCE (NSF) SERVICE FOR THE PROVISIONING OF PENSION BENEFITS

The formulation and development of the policy on Recognition of Former Non-Statutory Force (NSF) for the provisioning of pension Benefits (commonly known as NSF Pension Dispensation), date as far back as May 2000.

This dispensation was conceived in line with the requirements of Public Service Coordinating Bargaining Council (PSCBC) Resolution 7 of 1998. This resolution seeks to address, among other things, the pension benefits of members of the Public Service who were previously disadvantaged by past discriminatory pension policies.

In developing this dispensation, extensive consultations and deliberations took place at various levels. Following these deliberations the development went through many iterations in parliamentary process through many committee stages. These culminated in a Government policy whereby the service of former NSF members who entered into employment agreement to serve in the Public Service (including those who entered into employment agreement with DOD), will be recognised for pension purposes.

The legislative amendment process pertaining to NSF Pension Dispensation is approaching its conclusion. Upon conclusion of this process, NSF service will be recognised as pensionable service in accordance with a specified formula, which will be explained to members through proper communication on a roadshow.

It has come to the notice of the DOD that current serving members are under the impression that they will receive benefits accruing from NSF Pension Dispensation while still in service.

Note should be taken of the fact that NSF Pension benefit is a Government Employees Pension Fund benefit. The implication of this is that payments accruing from this dispensation are governed by the rules of the of the Fund. According to these rules, NSF Pension benefit is a retirement benefit. It is therefore payable to members who have already left the service. Members, who are still in the service, will receive benefits from this dispensation only on termination of their service. Under no circumstance will members receive benefits from this dispensation while still in service.

Enquiries: Col H.M. Zobane, tel: (012) 355 5887