I was present for the business breakfast organised by the Business Observer on July 21 with the theme ‘Pension reform: are we too late?’

As there was no time left to put questions to the panel due to the time limit at our disposal, I wish to air my views on the following issues.

The pension reform deals with three separate pillars, namely, the first pillar – State pension, the second pillar – occupational pension and the third pillar – private pensions.

It was very disappointing to note that the panel consisted only of two gentlemen, representing the government and the employers. Union and pensioner representatives were not invited to take part on this delicate and sensitive subject. From the onset, it was evident that the focus of the conference was on the third pillar pension schemes. The first pillar pension was relegated to a lower division.

Sadly enough, an important point that was not mentioned and brought up for discussion is about whether all workers can afford to participate in private pension schemes. Workers, those on the minimum wage, others engaged in precarious work, single parents and many others on low income cannot afford to join private pension schemes,

In this scenario, the income security of the above-mentioned cohorts of the population continue to depend entirely on the first pillar pension on attaining pension age. Therefore, for the benefit of all concerned, the first pillar should remain the flagship of our pension systems.

In a few years’ time, the income security and the dignity of life of about 100,000 pensioners will continue to depend on the first pillar. In the circumstances, our responsibility is to work together and make it sustainable and adequate.