Cayman’s national pension holiday has been extended to March 2022, government has announced.
The temporary relief initiative, which was started last year to assist businesses and employees as borders closed, was set to end 31 Dec. 2021.
Deputy Premier and Minister for Labour Chris Saunders, Wednesday evening announced the continuation of the holiday that exempts employers and employees from being required to pay mandatory contributions into pension plans.
“This Government is of the view that the continued suspension of pension contributions is essential to the recovery process and will continue to provide businesses and workers with the financial relief needed as we continue through the phased implementation of our economic recovery plan,” Saunders said through a statement.
The announcement came ahead of the first budget from the Wayne Panton-led government which Saunders is set to deliver at the second meeting of the 2021/2022 session of Parliament on Friday, 26 Nov.
That meeting will include the Throne Speech and Budget Address which will be preceded by a Guard of Honour outside the House at 9:40am.
The pension holiday, which is expected to be discussed in the budget, was implemented through Cabinet Order, in accordance with section 1(3) of the National Pensions (Amendment) Act 2020, the statement said.
Additionally, according to the statement, as with the previous pension holidays, statutory authorities and government-owned companies are excluded from the order, and “therefore must continue to make respective pension contributions”.
“The Department of Labour & Pensions reminds the public that voluntary pension contributions can be paid into pension funds in such cases. Either the employee or the employer may opt to pay voluntary pension contributions however, the other party is not required to contribute as well,” the statement added.
For more information, email [email protected].
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