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Labour Relations Act, 1995 (Act No. 66 of 1995)

Notices

National Bargaining Council for the Electrical Industry of South Africa

National Pension and Provident Funds Collective Agreement

7. Pension Fund (Region C only)

 

(1) The Electrical Industry (Natal) Pension Fund and the Supplementary Scheme (hereinafter referred to as the “Pension Fund” or the “Fund”), originally established in terms of Government Notice No. R2043 of 13 October 1978, are hereby continued. The Pension Fund has been constituted from the amalgamation of the former Electrical Industry (KwaZulu Natal) Pension Fund and the Supplementary Scheme and further established under Government Notice R1407 of 6 November 1998, and known as the Electrical Industry (Natal) Pension Fund (hereinafter referred to as the “Fund”) is hereby continued and shall consist of—
(c) moneys accruing from contributions prescribed in subclause (4) of this Part; and
(b) any other sum to which the Pension Fund may be or may become entitled.

[Section 1 amended by Section 4(1) of Government Notice R. 710 dated 4 July 2008]

 

(2) The objects of the Pension Fund shall be to provide members with death and retirement benefits through the Council securing the best conditions possible.

 

(3)
(a) Membership of the Fund shall be compulsory for the following categories of employees from their dates of engagement :

Master installations electricians;

installation electricians;

electrical testers for single-phase;

electricians, domestic appliance mechanics and other artisans;

domestic electrical installers;

elconops 3

elconops 2

elconops 1

domestic appliance repairers

drivers of a vehicle, of which the unladen mass is—

(a) less than 3 500 kg;
(b) between 3 501 kg and 9 000 kg;
(c) 9 001 kg and over;

apprentice stage 1;

apprentice stage 2;

apprentice stage 3;

apprentice stage 4;

electrical assistants;

general workers.

(b)

(i) Membership of the Fund shall be compulsory for all electrical assistants, general workers and Elconops 1 after 13 weeks service in the Industry: Provided that if an employee can supply proof of previous employment in this Industry, contributions to the Fund shall commence from the date of engagement.
(ii) However, during the first 13 weeks service, the employees shall be covered for death benefits, the cost of which shall be borne by the employer.
(c) Any employer may, in respect of his employees employed in the Industry whose wages are not specified in the Main Agreement but who otherwise comply with the provisions of the Agreement, by mutual agreement, apply to the Fund to accept contributions from himself and such employees (or any of them) in accordance with the provisions of subclause 4 of this Part.

Upon receipt of such application, the Council may agree to receive contributions from that employer and the provisions of the Agreement shall thereupon mutatis mutandis apply to the employer and the employees concerned and be observed by them as though clause 1 of Part 1 applied.

 

(4)
(a) The Council shall determine and advise every employer of the weekly amount payable to the Pension Fund in respect of each category of employee, which amount shall be calculated at the undermentioned percentage of the prescribed wage payable in terms of the Main Agreement, taken to the next higher 10 cents:

 

Contribution at percentage of prescribed weekly wage: 14%

 

In respect of electrical assistants, general workers and Elconops 1 in the first 13 weeks of service in the Industry, the Council shall determine and advise every employer of the weekly amount payable in respect of the death benefit cover.

(b) Every employer shall pay the amount determined in terms of subclause (a) to the Council in respect of such employees: Provided that the employer may deduct 40 per cent of the amount payable from the remuneration of such employees.
(c) The amount payable each month in terms of this clause shall be forwarded to the Secretary of the Council, P O Box 722, Durban, 4000, by not later than the 15th day of the month immediately following, together with a statement in such form as may from time to time be specified by the Council.

[Paragraph 4(c) amended by section 4(2) of Government Notice No. R. 710 dated 4 July 2008].

(d) Contributions calculated in accordance with the provisions of subclause (4)(a) may, at the discretion of the employer, be deducted from the earnings of those employees falling under the provisions of subclause (3)(a) of this Part at their written request: Provided that such employees are receiving a wage that is more than the specified minimum payable to a general worker as scheduled in the Main Agreement.

[Paragraph 4(d) amended by section 4(3) of Government Notice No. R. 710 dated 4 July 2008].

(e) Should any amount due in terms of this clause not be received by the Council by the 15th day of the month following the month in respect of which it is payable, the employer shall pay interest on such amount or on such lesser amount as remains unpaid calculated at the rate of two per cent per month or part thereof from such 15th day until the day upon which payment in cash is actually received by the Council: Provided that the Council shall be entitled in its absolute discretion to waive the payment of such interest or part thereof.

[Paragraph 4(e) amended by section 4(4) of Government Notice No. R. 710 dated 4 July 2008].

 

(5)
(a) Benefits payable to a member of the Pension Fund shall be as specified in the rules of the Fund for which provision is made in clauses 6,7,8, 9 and 10 of the said rules.
(b) Benefits accruing under the Pension Fund shall not be transferable and may not be ceded or pledged : Provided that any member may nevertheless nominate a beneficiary to receive the proceeds of his policy in the event of his death prior to retirement.

 

(6) The Pension Fund shall be administered in accordance with rules approved by the Council. Such rules shall not be inconsistent with this Agreement or the provisions of the Act and a copy of the rules and any amendments thereto shall be lodged with the Director-General of Labour.

 

(7) In the event of the dissolution of the Council or in the event of its ceasing to function during the currency of this Agreement, the Registrar of Labour Relations may appoint trustees to perform the Council’s functions.

The trustees so appointed shall have all the powers vested in the Council for the purposes of this Agreement. Payment (if any) for the services rendered by the trustees shall form a charge upon the general funds of the Council.