PENSIONS (AMENDMENT) BILL

Order for Second Reading read.

5.46 p.m.

The Minister for Finance (Mr Hon Sui Sen): Mr Govindasamy, Sir, I beg to move, "That the Bill be now read a Second time."

The Pensions Act provides, inter alia, that an officer may be retired in the public interest, or in special circumstances, after having completed 15 years' service. At present, however, it is mandatory to suspend the payment of pension to an officer retiring under either of these two sets of circumstances until he has attained the age of 50 years.

The proposed amendment seeks to remove this mandatory suspension of pension till the attainment of the age of 50 years. Instead, a discretion will be conferred on the President whether or not to suspend payment of pension. Where it is decided for good reasons to suspend the pension, however, it shall not be for a period longer than that taken for the officer to attain the age of 45 years, if he is normally entitled to retire at that age. If the officer is not entitled to retire at the age of 45 years, the period of suspension of pension shall not be longer than the time taken for him to attain the age of 50 years.

In the case of an officer who becomes incapacitated - such that he is incapable of continuing in any employment during the period when his pension is being suspended, then his pension may be restored with effect from the date he is deemed to be so incapacitated. Similarly, the provision for payment of a gratuity to the dependants or legal personal representatives of an officer who dies during the period his pension is being suspended is also safeguarded.

Question put, and agreed to.

Bill accordingly read a Second time and committed to a Committee of the whole House.

The House immediately resolved itself into a Committee on the Bill. - [Mr Hon Sui Sen].

Bill considered in Committee; reported without amendment; read a Third time and passed.