Sending the draft National Ordinance for the Revision of the Pension of Civil Servants back to the Central Committee of Parliament (see Friday paper) was the prudent thing to do. While this is an urgent matter to keep St. Maarten’s general pension fund APS solvent and has implications for the national budget going forward, it’s very important to get it right.
That the General Audit Chamber of its own accord submitted a letter to the legislature asking to take into consideration several factors and suggesting a further review of the law proposal says a lot. As pointed out, it’s not an institution that would “want to throw government under the bus” and they obviously understand the current predicament that must be resolved as well as what caused it.
United Democrats faction member Luc Mercelina had earlier already warned that the legislation before him at the time would lead to numerous legal procedures because it involves built-up rights and expectations. President of Parliament Sarah Wescot-Williams in Thursday’s meeting too alluded to the risk of the envisioned changes getting bogged down in court.
She also agreed the current draft had become “quite confusing.” That elected representatives received an incorrect copy at one point didn’t really help matters either.
Plans to increase the pension age to 65 years are understandable due to an ageing population and the global trend in that regard. However, this needs to be done in a fully transparent and crystal-clear manner that leaves little room for doubt.
For example, it’s hard to convince people of the stated claim that recipients would end up with a bigger monthly allowance if it’s based on their average rather than final salary earned as active public sector employee. Common sense dictates that while this might be the case under certain individual circumstances, it most probably does not apply to everyone.
For Prime Minister Leona Romeo-Marlin it may not have been pleasant to learn during the meeting about the Audit Chamber letter received the day before, but she reacted in the only correct way by asking for a copy to make related adjustments if needed. This is a complicated issue which requires handling with care.
