JOHANNESBURG - More than 6000 companies are in arrears to the tune of over R8 billion for failing to pay their pension fund contribution.
This is according to a report by the Financial Sector Conduct Authority (FSCA), which revealed that these unpaid contributions affect over half a million workers
The report is the fifth in a series of publications that commenced in June 2022, with the intention of promoting transparency, alerting affected members and stakeholders, and encouraging employers and pension funds to address outstanding contributions timeously.
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According to the FSCA, employers are taking longer to pay what is owed.
Municipalities are among the worst offenders, particularly those in the North West and the Free State.
The FSCA says it will continue working with authorities to crack down on defaulting employers.
It adds that proposed legislation will give regulators stronger enforcement powers.