Benin

Old Age, Disability, and Survivors

Regulatory Framework

First law: 1970.

Current laws: 2003 (social security) and 2013 (mutual funds).

Type of program: Social insurance system.

Coverage

Employed persons and certain company managers.

Voluntary coverage for persons previously insured for at least six consecutive months.

Exclusions: Self-employed persons, agricultural workers, cooperative members, apprentices, interns, and students in technical schools. (Mutual funds provide old-age benefits to self-employed persons, agricultural workers, cooperative members, and informal-sector workers.)

Special system for civil servants.

Source of Funds

Insured person: 3.6% of gross earnings; 10% of the last gross salary earned while in compulsorily insured employment for the voluntarily insured.

The minimum monthly earnings used to calculate contributions are the legal monthly minimum wage.

The legal monthly minimum wage is 40,000 CFA francs.

Self-employed person: Not applicable.

Employer: 6.4% of gross payroll.

The minimum monthly earnings used to calculate contributions are the legal monthly minimum wage.

The legal monthly minimum wage is 40,000 CFA francs.

Employers with 20 or more employees pay contributions monthly; employers with 19 or fewer employees pay quarterly.

Government: None.

Qualifying Conditions

Old-age pension: Age 60 with at least 180 months of coverage.

Early pension: Age 55 with at least 180 months of coverage.

Employment must cease.

A month of coverage corresponds to any month in which the insured works at least 18 days or 120 hours in covered employment, including periods for which cash maternity or work injury benefits are paid.

The old-age pension is suspended if the pensioner begins new covered employment.

The old-age pension is payable abroad under reciprocal agreement.

Old-age settlement: Age 60 with at least 12 months but less than 180 months of coverage.

Disability pension: Must be assessed with at least a 66.7% loss of earning capacity and have at least 60 months of coverage, including at least six months in the 12 months before the disability began (the coverage condition is waived if the disability is the result of an accident).

A month of coverage corresponds to any month in which the insured works at least 18 days or 120 hours in covered employment, including periods for which cash maternity or work injury benefits are paid.

Constant-attendance supplement: Paid if the insured requires the constant attendance of others to perform daily functions.

The disability pension ceases at the normal retirement age and is replaced by an old-age pension of the same amount.

The disability pension is payable abroad under reciprocal agreement.

Survivor pension: The deceased received or was entitled to receive an old-age or disability pension, or had at least 180 months of coverage.

A month of coverage corresponds to any month in which the insured works at least 18 days or 120 hours in covered employment, including periods for which cash maternity or work injury benefits are paid.

Eligible survivors include a widow or a disabled or dependent widower who was married to the deceased for at least a year before the insured's death; a widow who is pregnant by or who had a child with the deceased; and a dependent child younger than age 19 (age 22 if an apprentice, a student, or disabled).

The widow(er)'s pension ceases upon remarriage.

The survivor pension is payable abroad under reciprocal agreement.

Remarriage settlement: Paid to the widow(er) upon remarriage.

Survivor settlement: The deceased was not entitled to receive an old-age or disability pension and had less than 180 months of coverage.

Eligible survivors include a widow or a disabled or dependent widower who was married to the deceased for at least a year before the insured's death; a widow who is pregnant by or who had a child with the deceased; and a dependent child younger than age 19 (age 22 if an apprentice, a student, or disabled).

Funeral grant: Paid when an insured person dies.

Old-Age Benefits

Old-age pension: The pension is 30% of the insured's average monthly earnings in the first 15 years of coverage plus 2% of average monthly earnings for each 12-month period of coverage exceeding 180 months, up to 80%.

Average monthly earnings are 1.66% of the earnings used to calculate contributions in the last five years of coverage.

The insured's contributions may be refunded to foreign workers who permanently leave the country and workers who continue working from age 60 to 65 (only for contributions made while aged 60 to 65).

Early pension: The pension is reduced by 5% for each year the pension is paid before the insured reaches age 60; at age 60, the full pension is paid.

The minimum monthly pension is 60% of the legal monthly minimum wage.

The legal monthly minimum wage is 40,000 CFA francs.

The maximum monthly pension is set by the Council of Ministers.

Old-age settlement: A lump sum of the insured's average monthly earnings in the last five years multiplied by the number of 12-month periods of coverage is paid.

Benefit adjustment: Benefits are adjusted according to changes in the cost of living, depending on the financial resources of the system.

Permanent Disability Benefits

Disability pension: The pension is 30% of the insured's average monthly earnings in the first 15 years of coverage plus 2% of average monthly earnings for each 12-month period of coverage exceeding 180 months, up to 80%. For each year the pension is paid before the insured reaches age 60, the insured is credited with a six-month coverage period.

Average monthly earnings are 1.66% of the earnings used to calculate contributions in the last five years of coverage.

The minimum monthly pension is 60% of the legal monthly minimum wage.

The legal monthly minimum wage is 40,000 CFA francs.

The maximum monthly pension is set by the Council of Ministers.

Constant-attendance supplement: 40% of the disability pension is paid.

The maximum constant-attendance supplement is three times the legal monthly minimum wage.

The insured may receive two or more pensions at the same time. The total amount received is 100% of the greater pension plus 50% of the other pension(s).

Benefit adjustment: Benefits are adjusted according to changes in the cost of living, depending on the financial resources of the system.

Survivor Benefits

Survivor benefit

Spouse's pension: 40% of the old-age or disability pension the deceased received or was entitled to receive is paid to the widow(er). If there is more than one widow(er), the pension is split equally. A widower may receive a pension for his first deceased spouse only.

Remarriage settlement: A lump sum of six months of the spouse's pension is paid.

Orphan's pension: 20% of the old-age or disability pension the deceased received or was entitled to receive is paid for one orphan; 40% for two or more orphans; 30% for a full orphan who is an only child. The amount paid may be recalculated if the number of eligible orphans changes.

The maximum combined survivor benefit is 80% of the old-age or disability pension the deceased received or was entitled to receive.

An eligible survivor may also receive survivor benefits under the work injury program at the same time. The total amount received is 100% of the work injury survivor pension plus the portion of the nonwork injury survivor pension that exceeds this amount.

Survivor settlement: A lump sum of one month of the old-age or disability pension the deceased would have received with 180 months of contributions is paid for each six-month period of coverage. If there is more than one eligible survivor, the settlement is split equally. If there is no eligible spouse or orphan, the settlement is paid to the deceased's parents.

Funeral grant: Funeral costs are reimbursed up to five times the legal monthly minimum wage.

The legal monthly minimum wage is 40,000 CFA francs.

Benefit adjustment: Benefits are adjusted according to changes in the cost of living, depending on the financial resources of the system.

Administrative Organization

Ministry of Labor and Public Administration (http://www.travail.gouv.bj/) provides general supervision.

National Social Security Fund (http://www.cnssbenin.org/), managed by a tripartite board and a director, administers the programs.

The Social Security Mutual Fund administers benefits for self-employed persons, agricultural workers, cooperative members, and informal-sector workers.

Sickness and Maternity

Regulatory Framework

First law: 1952.

Current laws: 1998 (labor code), 2003 (social security), 2013 (mutual funds), and 2015 (universal health coverage).

Type of program: Social insurance (cash maternity) and employer-liability (cash sickness and medical benefits) system.

Note: An act creating a social insurance health system providing a minimum package of health services was passed in 2015 but has not yet been fully implemented.

Coverage

Social insurance: Employed persons and certain company managers.

Exclusions: Self-employed persons, agricultural workers, cooperative members, apprentices, interns, and students in technical schools.

Special system for civil servants.

Employer liability: Employed persons, including apprentices.

Exclusions: Self-employed persons and civil servants.

Special system for seamen.

Source of Funds

Insured person

Social insurance: None.

Employer liability: None.

Self-employed person

Social insurance: Not applicable.

Employer liability: Not applicable.

Employer

Social insurance: 0.2% of gross payroll.

The minimum monthly earnings used to calculate contributions are the legal monthly minimum wage.

The legal monthly minimum wage is 40,000 CFA francs.

Employers with 20 or more employees pay contributions monthly; employers with 19 or fewer employees pay quarterly.

Employer liability: The total cost.

Government

Social insurance: None.

Employer liability: None.

Qualifying Conditions

Cash sickness and medical benefits (employer liability): There is no minimum qualifying period.

Cash maternity benefits (social insurance): Must have at least six months of coverage.

A month of coverage corresponds to any month in which the insured works at least 18 days or 120 hours in covered employment, including periods for which cash maternity or work injury benefits are paid.

Benefits are payable abroad under reciprocal agreement.

Prenatal allowance (social insurance): See Family Allowances.

Sickness and Maternity Benefits

Sickness benefit (employer liability): Employers must provide some paid sick leave.

Maternity benefit (social insurance): 100% of the insured mother's last earnings is paid for six weeks before and eight weeks after the expected date of childbirth (the employer pays half); may be extended for up to four weeks if there are complications arising from childbirth.

Prenatal allowance (social insurance): See Family Allowances.

Workers' Medical Benefits

Medical benefits (employer liability): 60% of the cost of health and medical services for employees is paid.

Dependents' Medical Benefits

Medical benefits for dependents (employer liability): Medical benefits for dependents are the same as those for the worker. Eligible dependents include the spouse and dependent children.

Some maternity, child health, and welfare services are provided under Family Allowances.

Administrative Organization

Ministry of Labor and Public Administration (http://www.travail.gouv.bj/) provides general supervision.

National Social Security Fund (http://www.cnssbenin.org/), managed by a tripartite board and a director, administers the maternity benefit.

Work Injury

Regulatory Framework

First law: 1959.

Current law: 2003 (social security).

Type of program: Social insurance and employer-liability system.

Coverage

Employed persons, certain company managers, apprentices, interns, students in technical schools, and cooperative members.

Exclusions: Self-employed persons and agricultural workers. (Mutual funds provide work-injury benefits to self-employed persons, agricultural workers, cooperative members, and informal-sector workers.)

Source of Funds

Insured person: None.

Self-employed person: Not applicable.

Employer: The total cost of the employer-liability program. For social insurance, 1% to 4% of gross payroll, according to the assessed risk.

The minimum monthly earnings used to calculate contributions are the legal monthly minimum wage.

The legal monthly minimum wage is 40,000 CFA francs.

Employers with 20 or more employees pay contributions monthly; employers with 19 or fewer employees pay quarterly.

Government: None; contributes as an employer.

Qualifying Conditions

There is no minimum qualifying period. Accidents that occur while commuting to and from work are covered.

Temporary Disability Benefits

Temporary disability benefit (social insurance): 66.7% of the insured's average daily earnings in the month before the disability began is paid from the day after the disability began, up to 12 months; thereafter, the benefit is based on the insured's yearly earnings in the year before the disability began, up to 10 times the legal minimum wage multiplied by 1.4, according to the assessed degree of disability. The benefit is paid until full recovery or certification of permanent disability.

The minimum monthly earnings used to calculate benefits are the legal monthly minimum wage.

The legal monthly minimum wage is 40,000 CFA francs.

An approved doctor assesses the disability.

Temporary disability benefit (employer liability): 33.3% of the employee's average daily earnings in the month before the disability began is paid from the day after the disability began, up to 12 months; thereafter, the benefit is based on the employee's yearly earnings in the year before the disability began, up to 10 times the legal minimum wage multiplied by 1.4, according to the assessed degree of disability. The benefit is paid until full recovery or certification of permanent disability.

The minimum monthly earnings used to calculate benefits are the legal monthly minimum wage.

The legal monthly minimum wage is 40,000 CFA francs.

An approved doctor assesses the disability.

Permanent Disability Benefits

Permanent disability pension (social insurance): For an assessed degree of disability of at least 20%, the benefit is the insurable annual earnings in the year before the disability began multiplied by 0.5% for each degree of assessed disability from 1% to 50% and by 1.5 times the assessed degree of disability for the portion greater than 50%.

The minimum monthly earnings used to calculate the pension are the legal monthly minimum wage multiplied by 1.4. If the insured's earnings are between 1.4 and three times the legal monthly minimum wage, the total annual earnings are used to calculate the pension. If the insured's earnings are greater than three times the legal monthly minimum wage, the annual earnings used to calculate the pension are three times the legal monthly minimum wage plus 50% of the difference between the insured's earnings and three times the legal monthly minimum wage. The maximum monthly earnings used to calculate the pension are the legal monthly minimum wage multiplied by 6.5.

The legal monthly minimum wage is 40,000 CFA francs.

Constant-attendance supplement: If the insured requires the constant attendance of others to perform daily functions, 40% of earnings are paid.

Pensions are paid monthly if the assessed degree of disability is at least 75%; otherwise, pensions are paid monthly or quarterly.

An approved doctor assesses the disability.

The insured may receive two or more pensions. The total amount received is 100% of the greater pension plus 50% of the other pension(s).

Disability allowance (social insurance): For an assessed degree of disability of less than 20%, a lump sum of five years of the permanent disability pension is paid, according to the assessed degree of disability.

An approved doctor assesses the disability.

Benefit adjustment: Benefits are adjusted according to changes in the cost of living, depending on the financial resources of the system.

Workers' Medical Benefits

Benefits include medical and surgical care, hospitalization, medicine, appliances, prostheses, rehabilitation, and transportation.

Survivor Benefits

Survivor pension (social insurance)

Spouse's pension: 30% of the deceased's earnings used to calculate the permanent disability pension is paid to a spouse who married the deceased before the disability began; up to 20% to a divorced spouse who received alimony. If there is more than one widow(er), the pension is split equally.

The spouse's pension ceases upon remarriage.

Remarriage settlement: A lump sum of six months of the spouse's pension is paid upon remarriage.

Orphan's pension: 15% of the deceased's earnings used to calculate the permanent disability pension is paid to each of the first two orphans and 10% to each additional orphan.

Eligible orphans include dependent children younger than age 22. An orphan's pension may not be combined with family allowances.

Dependent parent's and grandparent's pension: 10% of the deceased's earnings used to calculate the permanent disability pension is paid to each dependent parent and grandparent.

The maximum combined survivor benefit is 85% of the permanent disability pension the deceased received or was entitled to receive.

An eligible survivor may also receive survivor benefits under the old-age, disability, and survivors program. The total amount received is 100% of the work injury survivor pension plus the portion of the nonwork injury survivor pension that exceeds this amount.

Funeral grant (social insurance): Funeral costs are reimbursed up to five times the legal monthly minimum wage.

The legal monthly minimum wage is 40,000 CFA francs.

Benefit adjustment: Benefits are adjusted according to changes in the cost of living, depending on the financial resources of the system.

Administrative Organization

Ministry of Labor and Public Administration (http://www.travail.gouv.bj/) provides general supervision.

National Social Security Fund (http://ww.cnssbenin.org/), managed by a tripartite board and a director, administers the program.

Unemployment

Regulatory Framework

Under the labor code (1998), employers are required to provide severance pay in case of termination to an employee who worked for at least one year.

Family Allowances

Regulatory Framework

First law: 1955.

Current law: 2003 (social security).

Type of program: Social insurance system.

Coverage

Employed persons, certain company managers, local authority employees, and some civil servants.

Exclusions: Self-employed persons, agricultural workers, cooperative members, apprentices, interns, and students in technical schools.

Special system for civil servants.

Source of Funds

Insured person: None.

Self-employed person: Not applicable.

Employer: 8.8% of gross payroll.

The minimum monthly earnings used to calculate contributions are the legal monthly minimum wage.

The legal monthly minimum wage is 40,000 CFA francs.

Employers with 20 or more employees pay contributions monthly; employers with 19 or fewer employees pay quarterly.

Government: None; contributes as an employer.

Qualifying Conditions

Family allowances: Paid for children younger than age 22. The parent must have worked at least 18 days or 120 hours during the month, including periods for which cash maternity or work injury benefits are paid.

The child must not receive an orphan's pension.

If one of the parents receives family allowances from the special system for civil servants, only the greater benefit is paid.

Prenatal allowance: The pregnant woman (insured or wife of the insured) must undergo prescribed medical examinations.

Benefits are payable abroad under reciprocal agreement.

Family Allowance Benefits

Family allowances: 2,500 CFA francs a month is paid for each eligible child from the first day of the month of birth.

Prenatal allowance: 500 CFA francs a month is paid for nine months.

Some maternity, child health, and welfare services are also provided.

Benefit adjustment: Benefits are adjusted according to changes in the cost of living, depending on the financial resources of the system.

Administrative Organization

Ministry of Labor and Public Administration (http://www.travail.gouv.bj/) provides general supervision.

National Social Security Fund (http://www.cnssbenin.org/), managed by a tripartite board and a director, administers the program.