By Kiara Smith on Tuesday, 29 March, 2022 at 08:48 PM

President of the National Union of Public Workers (NUPW), Kimberly Agard wants pension plan to be created for persons under 40 years old.

This was after Government’s announcement in the Budget Address, that pension arrangements will be changed for new employees in the public sector.

Prime Minister Mia Amor Mottley said the national pension scheme is based on the National Insurance System (NIS), which was impacted by the national debt restructuring and the COVID-19 pandemic.

She said: “For all new employees to the public service the maximum pension will be attained after 40 years of service instead of 33 and a third years.”

Some Barbadians shared their concerns about the proposed pension reform.

Mary Hayde said she disagrees with the increased years for the maximum pension as some persons work in the public service from 18 years old and "it is already unfortunate that you have to work until 67 years old before receiving the retirement income".

Meanwhile, Tricia Gill said she thinks that the under 40 pension plan is a great idea.

She said: “If you look at BARP [Barbados Association of Retired Persons], they lowered their membership age and so its bound to endure longevity because you are appealing to the younger demographic.”

Marian Hayde shared Gill's sentiments while she added that she has no issues with the 40 years and under pension plan.

She said that she believes it is a good initiative for young people because as they grow older, they will have something to depend on.

On the flipside, a public servant, who preferred anonymity, said the pension reform will affect a lot of persons.  

The government worker urged Government officials to have more dialogue with the public to attain feedback before they proceed.

“We are society that likes to know and understand, and if you [the government] do educate and you do show people the benefits, I think it would be a lot easier for people to swallow and to accept.”, said the government employee.

Prime Minister Mia Amor Mottley announced numerous plans in the 2022 Budget Address aimed at building a better Barbados by 2035, which included encouraging all Barbadians to organize their retirement planning to benefit in the future.