Fiji

Old Age, Disability, and Survivors

Regulatory Framework

First and current law: 1966 (provident fund), with amendments.

Type of program: Provident fund system.

Coverage

Employed workers aged 15 to 55, except members of equivalent private plans approved by the Fiji National Provident Fund Board.

Voluntary coverage for self-employed persons, household workers, students, and informal-sector workers.

Special system for civil servants and military and police personnel who began employment before November 1971 and elected to continue under the Civil Service Pension Scheme.

Source of Funds

Insured person: 8% of earnings; F$25 is deducted annually from each eligible member's provident fund account to finance the death benefit.

The maximum annual total contributions for pension calculation purposes are 16% of earnings (up to F$2,400 a year for voluntarily insured); additional contributions are used toward a lump-sum benefit.

For insured persons who opt for a monthly pension based on an annuity factor, the maximum annual employer and employee contributions for pension calculation purposes are 16% of earnings (up to F$2,400 a year for voluntarily insured). Additional voluntary contributions are paid as a lump-sum benefit.

Self-employed person: A minimum annual contribution of F$84 up to 30% of earnings; F$25 is deducted annually from each eligible member's provident fund account to finance the death benefit.

For insured persons who opt for a monthly pension based on an annuity factor, the maximum annual contributions for pension calculation purposes are F$2,400 a year. Additional voluntary contributions are paid back as a lump-sum benefit.

Employer: A minimum of 8% of payroll up to 30% of payroll for employees up to age 65.

For insured persons who opt for a monthly pension based on an annuity factor, the maximum annual employer and employee contributions for pension calculation purposes are 16% of earnings (up to F$2,400 a year for voluntarily insured). Additional voluntary contributions are paid as a lump-sum benefit.

Government: None.

Qualifying Conditions

Old-age benefit: Age 55; at any age if leaving the country permanently. Fund members with at least 10 years of contributions may elect to receive a monthly pension; a reduced pension may be paid for contributions of less than 10 years.

Partial pension: Paid if the insured has less than 10 years of covered employment.

Disability benefit: Incapacity for work in covered employment. The disabled fund member may elect to receive a lump sum or a monthly pension.

Medical certification is required. A medical board appointed by the Fiji National Provident Fund Board may request that the fund member undergo a medical examination.

Survivor benefit: On the death of the fund member before retirement age, and if the surviving spouse is the only survivor, the spouse may elect to receive a lump sum or a monthly pension.

Eligible survivors are named by the fund member.

Death benefit: A lump sum is paid to survivors named by the deceased.

Old-Age Benefits

Old-age benefit: A lump sum equal to total employee and employer contributions plus accumulated interest or, optionally, a monthly pension based on an annuity factor equal to 15% (for a single person) of employee and employer contributions (additional voluntary contributions are paid by lump sum) plus accumulated interest. A couple may elect to receive a monthly pension of 66% of the pension for a single person plus accumulated interest for as long as either spouse lives.

Additionally, contributions made above the maximum of 16% a year for employer and employee contributions (F$2,400 a year for voluntarily insured) are paid as a lump-sum benefit.

The full pension is paid with at least 10 years of covered employment.

Partial pension: A percentage of the full pension is paid according to the number of years of covered employment below 10 years.

Drawdown payment: Workers who are members of the provident fund for at least 2 years and whose individual balance exceeds a prescribed minimum amount (F$1,000) can withdraw 66% of the balance for housing costs. Workers can also make withdrawals equal to 33% of the balance for education and medical care.

Permanent Disability Benefits

Disability benefit: A lump sum equal to total employee and employer contributions plus accumulated interest or, optionally, a monthly pension based on an annuity factor equal to 15% (for a single person) of employee and employer contributions (additional voluntary contributions are excluded) plus accumulated interest. A couple may elect to receive a monthly pension of 66% of the pension for a single person plus accumulated interest for as long as either spouse lives.

Survivor Benefits

Survivor benefit: A lump sum equal to total employee and employer contributions plus accumulated interest is paid to named survivors. A monthly pension based on an annuity factor equal to 15% of employee and employer contributions (additional voluntary contributions are excluded) may be paid to a spouse instead of the lump sum.

Death benefit: The maximum lump sum is F$8,000.

Benefit adjustment: The death benefit is reviewed annually.

Administrative Organization

Appointed by the Minister of Finance, the Fiji National Provident Fund Board (http://www.fnpf.com.fj) provides general supervision and enforces the law.

Work Injury

Regulatory Framework

First and current law: 1965 (workmen's compensation), with amendments.

Type of program: Employer-liability system.

Coverage

Employed persons and apprentices.

Exclusions: Casual labor, family labor, armed forces personnel, and some public-sector employees and other workers designated by the government.

Source of Funds

Insured person: None.

Self-employed person: Not applicable.

Employer: The total cost is met through the direct provision of benefits.

Government: None.

Qualifying Conditions

Work injury benefits: The insured must be totally incapacitated for work for at least 3 days.

Temporary Disability Benefits

The benefit is equal to 66% of the insured's weekly earnings and is paid after a 2-day waiting period for up to 260 weeks.

The maximum total benefit is F$16,000. The benefit may be converted to a lump-sum payment in certain cases.

The assessed degree of disability is established according to the schedule in law and following an examination by a doctor chosen by the employer. Periodic assessment of the degree of disability may be required.

Permanent Disability Benefits

Permanent disability benefit: For a total disability, a lump sum is paid equal to 260 weeks' earnings.

Constant-attendance supplement: Equal to 25% of the lump sum if totally disabled and in need of the constant help of another person.

Partial disability: A percentage of the lump sum paid for a total disability is paid according to the assessed degree of disability.

The assessed degree of disability is established according to the schedule in law and following an examination by a doctor chosen by the employer. Periodic assessment of the degree of disability may be required.

Workers' Medical Benefits

Medical and hospital care, surgery, medicines, appliances, and transportation.

Survivor Benefits

Survivor benefit: A lump sum is paid of 208 weeks of the deceased's earnings.

Eligible survivors are individuals who were fully or partially dependent on the insured. Survivor benefits are split among all eligible survivors.

The minimum benefit is F$9,000.

The maximum total benefit is F$24,000.

Administrative Organization

Permanent Secretary for Labor and Industrial Relations (http://www.labour.gov.fj) enforces work injury law.

Individual employers pay compensation directly to their employees, except for lump-sum payments and survivor benefits.

Local courts administer lump-sum payments and survivor benefits.

Disputes regarding the provision of medical benefits are settled by the courts.