MPs to receive 15-year pension
Jun 29, 2003
MEMBERS of Parliament shall be paid pension for 15 years after leaving their seats once the Parliamentary Pensions Bill 2003 becomes law
By John Kakande
MEMBERS of Parliament shall be paid pension for 15 years after leaving their seats once the Parliamentary Pensions Bill 2003 becomes law.
MPs now serving a second term and aged over 45 years shall be entitled to a monthly pension until 2021, if they opt to retire in 2006, according to the provisions of the bill. 100 MPs would qualify for pension in 2006.
A spouse and children of an MP who dies when he or she is not yet 45 years old or has not served for 10 years, shall receive gratuity amounting to two years’ annual salary of the deceased member. Under the current rates, a family would receive not less than sh34m in gratuity.
The family would also get a refund of the deceased member’s contribution to the Pension Scheme, with interest.
The 7th Parliament has so far lost two members, Dr Ndawula Lukanga (Army) and Basoga Nsadhu.
The bill provides that where an MP who is eligible (aged 45 years and has served 10 years) to pension dies, his or her family shall receive the pension “as if the deceased had been receiving pension.â€
A backbench MP on average earns about sh4.5m. A member receives sh1.4m as monthly salary and sh104,000 per day as daily tax-free subsistence allowance.
The member is also paid sh150,000 per month as constituency mobilisation allowance, sh2.4m per annum as medical allowance in addition to sitting allowance in committees.
It is provided that the pension of an MP shall be “a sum equal to a fraction of one over 450 of his last pensionable emolument multiplied by his pensionable service.â€
The Parliamentary Pensions Bill was tabled as a private member’s bill by Oyam North MP Ben Wacha on behalf of Parliament’s governing board, the parliamentary commission.
Debate on the bill has stalled because the Government has not stated its position.
Sources said discussions were still going on about the formula to be used to calculate the pension.
MEMBERS of Parliament shall be paid pension for 15 years after leaving their seats once the Parliamentary Pensions Bill 2003 becomes law.
MPs now serving a second term and aged over 45 years shall be entitled to a monthly pension until 2021, if they opt to retire in 2006, according to the provisions of the bill. 100 MPs would qualify for pension in 2006.
A spouse and children of an MP who dies when he or she is not yet 45 years old or has not served for 10 years, shall receive gratuity amounting to two years’ annual salary of the deceased member. Under the current rates, a family would receive not less than sh34m in gratuity.
The family would also get a refund of the deceased member’s contribution to the Pension Scheme, with interest.
The 7th Parliament has so far lost two members, Dr Ndawula Lukanga (Army) and Basoga Nsadhu.
The bill provides that where an MP who is eligible (aged 45 years and has served 10 years) to pension dies, his or her family shall receive the pension “as if the deceased had been receiving pension.â€
A backbench MP on average earns about sh4.5m. A member receives sh1.4m as monthly salary and sh104,000 per day as daily tax-free subsistence allowance.
The member is also paid sh150,000 per month as constituency mobilisation allowance, sh2.4m per annum as medical allowance in addition to sitting allowance in committees.
It is provided that the pension of an MP shall be “a sum equal to a fraction of one over 450 of his last pensionable emolument multiplied by his pensionable service.â€
The Parliamentary Pensions Bill was tabled as a private member’s bill by Oyam North MP Ben Wacha on behalf of Parliament’s governing board, the parliamentary commission.
Debate on the bill has stalled because the Government has not stated its position.
Sources said discussions were still going on about the formula to be used to calculate the pension.