Members of Parliament are crying for a pension scheme to cater for their needs after retirement. The Parliamentarians lamented that those who serve multiple terms often retire without a structured pension scheme leaving many in financial uncertainty.
Majority Leader, Mahama Ayariga, made the proposal in a statement to the House on Wednesday, January 29, 2025, and was supported overwhelmingly by both Caucuses.
He also suggested an innovative funding mechanism based on revenues from carbon credits unlike traditional pension schemes funded by taxpayer contributions.
Pension scheme
He emphasized the need to secure the financial future of lawmakers who dedicate their lives to public service.
He said, “An institution is only as strong as the individuals who populate it. Parliamentarians who know they are well catered for when they retire will be difficult to bribe and improperly influence.”
“They will devote their attention to work and put up their best for their constituents and country.”
According to the Majority leader, by implementing an efficient carbon credit scheme, Ghana can generate revenue through emission-reduction projects such as afforestation, renewable energy, and energy efficiency initiatives.
“A portion of these funds can be allocated to the parliamentary pension fund, ensuring sustainability and reducing reliance on taxpayer funds,” he said.
He cited examples of pension models in the UK and Kenya, where structured pension systems provide financial security to retired lawmakers.
He argued that a well-funded retirement scheme could help reduce corruption by limiting the financial pressures on MPs, stressing that when MPs are financially secure, they are less likely to be swayed by bribes or other forms of corruption.
The Majority Leader also emphasized how linking pensions to carbon credit revenues could push Parliament to prioritize environmental sustainability.
Mahama Ayariga formally moved Parliament to establish a committee to study and develop the pension framework for members to actualize this vision.
The proposal was backed by legislators from both sides of the aisle.
The House established a nine-member committee, chaired by Hon. Collins Dauda, MP for Asutifi South, to review the proposal. The committee has been given three months to submit its report.
The other members of the committee include Samson Ahi, Millicent Yeboah Amankwa, Alhassan Suhuyini, Frank Annoh-Dompreh, Stephen Amoah, Dr. Abdul Kabiru Tiah Mahama, and Addo Frimpong. Additionally, former MP Benjamin Kpodo will serve as a consultant.
By Osumanu Al-Hassan/thenewsbulletin24.com