The National Legislative Assembly Gate - courtesy

A member of the National Parliament has called for the suspension of a circular directing private sector and NGO employees to remit national insurance contributions to the National Insurance Fund, arguing that the institution is not yet ready to manage workers’ savings.

Speaking in Parliament on Tuesday, lawmaker Felix Edward said the National Insurance Fund remains incompletely established despite the passage of the insurance law last year.

He said key positions on the fund’s board, including representatives of beneficiaries and employers, have not yet been filled, while the registration of employers and employees has not been completed.

“Since South Sudan is already facing challenges with pensions, if we start taking money from private sector workers when the system is not yet built, it will create another outcry,” Felix told the House.

The legislator argued that many private sector and NGO employees work on short-term contracts and may need access to their contributions at the end of their employment periods.

Felix urged Parliament to suspend the circular until the National Insurance Fund is fully operational and financially capable of safeguarding contributors’ funds.

“I arise to inform the House that this circular should be suspended for the moment until the National Insurance Fund establishes itself and is financially capable of holding the money from the private sector,” he said.

He also requested that the Minister of Labour be summoned to explain the implementation of the directive.

Responding to the concerns, Speaker of the National Parliament Joseph Ngere Paciko said Parliament would follow the required procedures to summon the minister.

“Since the board is not ready, we will not have this kind of half-baked institution that starts giving instructions. The summon of the minister is in place, and we will go through the process and procedures,” Ngere said.