Cambodian businesses urged to join pension scheme

The labour bodies made this call at a meeting on July 11 to promote the implementation of the pension system for employees under the provisions of the labour law.

The meeting marked the first day in a 90-day campaign to disseminate information on social security obligations and benefits of pensions, and comes as the kingdom preps for the implementation of the pension system for employees.

More than 10,000 existing institutions are already registered and will be fulfilling their obligations to pay into the new pension fund from October onwards, according to a notice by the Ministry of Labour and Vocational Training.

Contribution to pensions will be 2% from employers and 2% from employees themselves and will be automatically deducted from payroll starting October 1.

NSSF director-general Ouk Samvithya said that while the deduction of contributions from pay would be effective in October, all new institutions that have not yet registered with the NSSF need to participate by registering on time. 

He urged all businesses to fulfil their obligations to provide retirement benefits to their employees in their old age. 

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“We are not requiring existing NSSF member to re-register, but we invite businesses and enterprises that haven’t registered to do so now as we have announced. The registration is for the businesses themselves and for the employees. We now have three months left for preparation before it takes effect,” he said, according to The Phnom Penh Post.