PART II
PENSIONS
AND GRATUITIES FOR MEMBERS, MINISTERS AND OTHER OFFICE-HOLDERS
Future and Nominated Members’ eligibility
for pension.
2A.
—(1)
Unless
otherwise expressly provided, a future Member shall not be eligible
for any pension or gratuity under the provisions of this Act in
respect of his reckonable service as a future Member, including
any period which may be counted as such service by virtue of section
6.
(2)
For the avoidance of doubt —(a)
a future Member who holds any office
shall remain eligible for a pension under the provisions of this
Act in respect of his reckonable service in that office; and
(b)
a person who, on the date immediately
before he becomes a future Member, has the minimum period of reckonable
service as a Member to be eligible for a pension under section 3
(including any period of reckonable service which may be counted
by virtue of section 6), shall remain eligible for a pension under
the provisions of this Act in respect of his reckonable service as
a Member as of that date.
(3)
Any person who on 1st January 1995
is a nominated Member shall not be eligible for a pension under
the provisions of this Act in respect of his service as a Member
on or after that date.
13/95.
Pensions in respect of service as Members.
3.
—(1)
Subject
to the provisions of this Act, a person who, after 1st September 1978,
ceases at any time to be a Member may be granted a pension under
this section if he has not less than 9 years’ reckonable
service as a Member (whether continuously or not) and has attained
the age of 50 years.
(2)
The annual amount of pension payable
to a Member shall be —(a)
in respect of every completed year
of reckonable service, at the rate of one-thirtieth (1/30)
of his annual salary; and
(b)
in respect of any remaining uncompleted
year of reckonable service, at the rate of one-three-hundred and
sixtieth (1/360) part of his annual salary for each completed
month of reckonable service.
(2A)
The annual pension payable to any Member
under subsection (2) shall not exceed two-thirds of his annual salary.
(3)
Subject to sections 13 and 15, a pension
under this section shall continue for the life of the person to
whom it is payable but shall not be payable in respect of any period
during which he is again a Member or is a candidate for election
to Parliament; at the end of that period the pension shall again
be payable and shall be re-computed under subsection (2) with the
addition of any further period of reckonable service to the period
of his former reckonable service as a Member.
(4)
For the purposes of subsections (2)
and (2A), “annual salary” means the annual equivalent
of the highest monthly rate of salary (excluding any non-pensionable
allowances) received by a Member during any period of his service
as a Member.
(5)
For the purposes of subsection (3),
a person who ceases to be a Member in consequence of the dissolution
of Parliament shall be treated as a candidate for election from
the date of the dissolution if he seeks re-election at the next
general election.
Pensions in respect of service as Prime
Minister, Deputy Prime Minister, Speaker, Ministers and other office-holders.
4.
—(1)
Subject
to the provisions of this Act, a person may be granted a pension under
this section, in addition to any pension that may be granted to
him under section 3, in respect of his reckonable service in any
office if, after 1st September 1978, he ceases at any time to hold
office and has —(a)
not less than 8 years’ reckonable
service as an office-holding Member (whether continuously or not);
and
(b)
attained the age of 50 years.
(2)
The annual amount of pension payable
to an office-holding Member shall be —(a)
in respect of every completed year
of reckonable service in any office, or where he has served in more
than one office in each office, at the rate of one-twenty-seventh
(1/27) of his annual salary in that office; and
(b)
in respect of any remaining uncompleted
year of reckonable service in any office, or where he has served
in more than one office in each office, at the rate of one-three-hundred
and twenty-fourth (1/324) part of his annual salary for
each completed month of reckonable service in that office.
(2A)
The annual pension payable to any office-holding
Member under subsection (2) shall not exceed two-thirds of the highest
annual salary of any office held by him.
(3)
Subject to sections 13 and 15, a pension
granted under this section shall continue for the life of the person
to whom it is payable but shall not be payable in respect of any
period during which he is again an office-holding Member; at the
end of that period the pension shall again be payable and shall
be re-computed with the addition of that period to the period of
his former reckonable service as an office-holding Member.
(4)
For the purposes of subsections (2)
and (2A), “annual salary”, in relation to any office,
means the annual equivalent of the highest monthly rate of salary
(excluding any non-pensionable allowances) received by an office-holding
Member during any period of reckonable service as a holder of that
office.
(5)
Where the monthly rate of salary applicable
to any office previously held by an office-holding Member is increased
during any continuous period of reckonable service while he is an
office-holding Member but holding another office, he shall be deemed
to have received such increased rate during his period of reckonable
service as a holder of that office.
Pensions for serving office-holders
after attaining 55 years of age.
5.
—(1)
Where
an office-holding Member has —(a)
not less than 8 years’ reckonable
service as an office-holding Member (whether continuously or not);
(b)
attained the age of 55 years; and
(c)
not previously been granted a pension
under section 4,
he may be granted a pension under that
section notwithstanding the fact that he has not ceased to hold
office.
(2)
Subject to sections 13 and 15, a pension
granted under section 4 to an office-holding Member by virtue of
this section shall continue for the life of the person to whom it
is payable and shall, when he ceases to hold office, be re-computed
under subsection (2) of that section with the addition of his further
period of reckonable service as an office-holding Member to the
period of reckonable service which has been used in computing his
pension.
(3)
Where a person has been granted a pension
under section 4 after ceasing to hold office and —(a)
becomes an office-holding Member again
after having attained the age of 55 years; or
(b)
becomes an office-holding Member again
before attaining the age of 55 years, on his attaining that age,
the pension shall, notwithstanding subsection
(3) of that section, continue to be payable to him and shall, at
the end of his further period as an office-holding Member, be re-computed
with the addition of that further period to the period of his former
reckonable service as an office-holding Member.
18/82.
Service in office, if less than 8 years,
to be counted as additional service for Member’s pension.
6.
—(1)
This
section shall apply to a Member (other than a future Member) who has
served as an office-holding Member for any period which is less
than the minimum period of reckonable service specified in section
4 to be eligible for a pension under that section.
(2)
The period of service of a Member to
whom this section applies shall, for the purposes of determining
his eligibility and of computing the amount of the pension payable
to him under section 3 (1) and (2), be deemed to be increased by
such period as may be determined in accordance with the following
provisions:(a)
for every year of reckonable service
as Prime Minister, Deputy Prime Minister, Speaker, Senior Minister
or Minister there shall be added to his period of service one and
one-half years (1½) of reckonable service as a Member;
(b)
for every year of reckonable service
as Senior Minister of State or Minister of State there shall be
added to his period of service one year of reckonable service as
a Member;
(c)
for
every year of reckonable service as a Mayor, Senior
Parliamentary Secretary, Parliamentary Secretary or Political Secretary
there shall be added to his period of service two-thirds (⅔)
of a year of reckonable service as a Member;
(d)
for any fraction of a year of reckonable
service in any office there shall be added to his period of service
a proportionate part of the appropriate period of reckonable service
as a Member.
13/95.
Commutation of pensions.
7.
—(1)
Subject
to the provisions of this Act, a person to whom a pension is granted under
this Act may, at his option exercisable in accordance with this
section, be paid —(a)
in the case of a future Member who
becomes an office-holding Member —(i)
a full pension under section 4 without
any gratuity; or
(ii)
a commuted pension gratuity without
any pension,
in respect
of his reckonable service as a holder of any office;
(b)
in the case of a future Member who
remains eligible for a pension under section 2A (2) (b),
or a Member (including an office-holding Member) who is not a future
Member —(i)
a full pension under section 3 or 4
without any gratuity;
(ii)
a reduced pension at the rate of two-thirds
(⅔) of the full pension together with a gratuity equal
to twelve and one-half (12 ½) times the annual value of
one-third (⅓) of the full pension; or
(iii)
a commuted pension gratuity without
any pension,
in respect
of his reckonable service as a Member (other than as a future Member)
or as a holder of any office, as the case may be; or
(c)
in the case of a person who has been
granted a pension under section 4 after ceasing to hold office and
who becomes an office-holding Member again —(i)
a full pension under section 4 without
any gratuity; or
(ii)
a commuted pension gratuity without
any pension,
in respect
of his further service as an office-holding Member.
(2)
The option referred to in subsection
(1) shall be exercisable —(a)
separately in respect of reckonable
service as a Member and as a holder of any office; and
(b)
not later than 30 days after the date
when the person becomes eligible for the grant of a pension under
this Act, except that if the person has not exercised an option
within such time, the President may, if it appears in the circumstances
equitable to do so, allow the person to exercise the option at any
time prior to the date of payment of a pension or gratuity to him,
13/95.
(2A)
Where a person fails to exercise the
option in accordance with this section, he shall be deemed to have
opted to receive a commuted pension gratuity without any pension
in respect of his reckonable service as a Member or as a holder
of an office or both, as the case may be.
(3)
Such option, once exercised by a person
in respect of his reckonable service as a Member or as a holder
of any office, as the case may be, shall not be revoked so far as
concerns any pension or gratuity so granted to him under this Act
in respect of such period of service prior to the exercise of the
option.
13/95.
(4)
Subject to this section, the commuted
pension gratuity referred to in subsection (1) shall be a capital
sum ascertained by multiplying the prescribed commutation factor
by the amount of such pension that the person concerned is eligible
for under this Act.
13/95.
(5)
Where any pension granted to a person
under this Act is required to be re-computed by adding his further
service as a Member or as a holder of any office to any period of
reckonable service previously used in computing his pension, the
commuted pension gratuity shall be reduced by such amount of pension
or gratuity already received by him in respect of the period of
reckonable service previously used in computing his pension.
13/95.
(6)
Any commuted pension gratuity to be
granted to a person shall be computed in accordance with the provisions
of this Act in force at the date when the person becomes eligible
for the grant of a pension under this Act, and shall be paid in
the prescribed manner.
13/95.
(7)
This section shall not apply to any
person who before 1st January 1995 has been granted and paid a pension
or gratuity under the provisions of this Act as in force before
that date.
13/95.
(8)
Where the person is, on 1st January
1995, an office-holding Member who —(a)
has already been granted a pension
in respect of any period of his reckonable service in an office;
and
(b)
on his ceasing to hold office, will
be eligible to have his pension re-computed with the addition of
his further period of reckonable service as an office-holding Member,
this section shall remain applicable
to such person but only in respect of that further period of reckonable
service as an office-holding Member.
13/95.
13/95.
Payment of pensions.
8.
Pensions
under this Act may be paid monthly at the end of each month in which the
pensions fall due or at such other intervals as the President may
determine either generally or in the circumstances of any particular
case.
Pension granted to person ceasing to
be Member or office-holder on medical grounds.
9.
—(1)
Where
after 1st September 1978 a person ceases at any time to be a Member
or to hold office by reason of ill-health and the President is satisfied
that on account of such ill-health that person has become incapable
of performing the duties of a Member or of his office, he may be
granted a pension or gratuity in accordance with this section.
(2)
In the case of a person who ceases
to be a Member and —(a)
who has the minimum period of reckonable
service to be eligible for a pension under section 3, he may be
granted a pension in accordance with that section notwithstanding
the fact that he has not attained the age of 50 years;
(b)
who does not have the minimum period
of reckonable service to be eligible for a pension under section
3, he may be granted a gratuity to be computed —(i)
at the rate of 10% of his
annual salary as defined in section 3 (4) for each completed year
of reckonable service as a Member (including any period of reckonable
service which may be counted by virtue of section 6); and
(ii)
at the rate of 10% of one-twelfth
(1/12) of such annual salary for any completed month remaining
after the last completed year of reckonable service.
(3)
In the case of a person who ceases
to hold office and who has the minimum period of reckonable service
to be eligible for a pension under section 4, he may be granted
a pension in accordance with that section notwithstanding the fact
that he has not attained the age of 50 years.
(4)
A person to whom a pension may be granted
under this section may, at his option, be paid in lieu of that pension
a commuted pension gratuity which shall be ascertained by multiplying
the prescribed commutation factor by the amount of such pension
that may be granted to him in accordance with this section.
13/95.
Gratuity payable on death of Member
in certain circumstances.
10.
—(1)
Where
after 1st September 1978 a Member dies while serving as a Member
or a Member, having opted under section 7 to receive a full pension
without any gratuity, dies within one year of his pension taking
effect there may be paid to such of his dependants as the President
may think fit or, if there are no dependants, to his legal personal
representatives a gratuity in accordance with this section.
(2)
In the case of a Member who had never
held any office the gratuity shall be an amount equal either to
his annual salary as defined in section 3 (4) or the commuted pension
gratuity which might have been granted to him under section 7 (4)
(as modified by this section), whichever is the greater, less any
sums already received by him by way of pension and gratuity under
this Act during his lifetime.
13/95.
(3)
In the case of a Member who had previously
held office but was not holding office at the time of his death,
the gratuity shall be an amount equal either to his annual salary
as defined in section 3 (4) or the commuted pension gratuity which
might have been granted to him under section 7 (4) (as modified
by this section) in respect of both his reckonable service as a
Member and as a holder of any office, whichever is the greater,
less any sums already received by him by way of pension and gratuity under
this Act during his lifetime.
13/95.
(4)
In the case of a Member holding office
at the time of his death, the gratuity shall be an amount equal
either to the aggregate of his annual salary as defined in sections 3
(4) and 4 (4) or the commuted pension gratuity which might have
been granted to him under section 7 (4) (as modified by this section)
in respect of both his reckonable service as a Member and as a holder
of any office, whichever is the greater, less any sums already received
by him by way of pension and gratuity under this Act during his
lifetime.
13/95.
(5)
In the case of a future Member, the
gratuity shall be —(a)
where the Member never held any office — an
amount equal to either his annual salary as defined in section 3
(4) less the amount specified in subsection (5A) or the commuted
pension gratuity which might have been granted to him under section
7 (4) (as modified by this section) in respect of his reckonable
service as a Member before he became a future Member, whichever
is the greater;
(b)
where the Member had previously held
office but was not holding office at the time of his death — an
amount equal to either his annual salary as defined in section 3
(4) less the amount specified in subsection (5A) or the commuted
pension gratuity which might have been granted to him under section
7 (4) (as modified by this section) in respect of both his reckonable service
as a Member before he became a future Member and as a holder of any
office, whichever is the greater; or
(c)
where the Member held office at the
time of his death — an amount equal to either his annual
salary as defined in section 4 (4) or the commuted pension gratuity
which might have been granted to him under section 7 (4) (as modified
by this section) in respect of both his reckonable service as a Member
before he became a future Member and as a holder of any office, whichever
is the greater,
less any sums already received by him
by way of pension or gratuity under this Act during his lifetime.
13/95.
(5A)
The annual salary referred to in subsection
(5) (a) or (b) shall be
reduced by an amount which shall be the difference between the total
amount paid by the Government to the Central Provident Fund on account
of the person with respect to his period of reckonable service as
a future Member, and the total amount payable by the Government
to that Fund on account of the person with respect to that same
period of service if the person had been eligible for a pension
under this Act.
13/95.
(5B)
Any reference in subsection (5A) to
the total amount paid or payable by the Government to the Central
Provident Fund in respect of any person shall not include reference
to any amount thereof which is recoverable from the person’s
salary pursuant to the Central Provident Fund Act or any regulations
made thereunder.
13/95.
Cap. 36.
(5C)
For the purposes of this section, in
determining the commuted pension gratuity which might have been
granted to a Member under section 7 (4) —(a)
he shall be deemed to be eligible for
the grant of a pension under section 3 or 4 notwithstanding the
fact that he has less than the minimum number of years of reckonable
service as required by those sections or the fact that he had not
attained the age of 50 years; and
(b)
in the case of a Member who dies before
attaining the age of 50 years, the commuted pension gratuity ascertained
in accordance with section 7 (4) and this section shall be discounted
at the prescribed discount rate in respect of each year or part
thereof falling between the date he would have attained the age
of 50 years had he not died and the date of his death (both dates
inclusive).
13/95.
(6)
No gratuity paid under this section
shall be subject to estate duty under the Estate Duty Act.
Cap. 96.
13/95.
Pension and gratuity granted on incapacity
or death of former Member.
11.
—(1)
This
section shall apply in relation to any person —(a)
who has ceased to be a Member;
(b)
who would, had he attained the age
of 50 years, be eligible for the grant of a pension under section
3 or 4; and
(c)
who has not been granted any pension
or gratuity under this Act.
(2)
If a person to whom this section applies
dies before attaining the age of 50 years, there may be paid to
such of his dependants as the President may think fit or, if there
are no dependants, to his legal personal representatives a gratuity
as follows:(a)
the commuted pension gratuity that
might have been granted to the person under section 7 (4) on his
attaining the age of 50 years had he not died, from which gratuity
there shall be a discount at the prescribed discount rate in respect
of each year or part thereof falling between the date he would have attained
the age of 50 years had he not died and the date of his death (both dates
inclusive); or
(b)
an amount equal to his annual salary
as defined in section 3(4),
whichever is the greater.
13/95.
(3)
If the President is satisfied that
any person to whom this section applies is physically or mentally
incapacitated so as to be unable to continue in any employment before
he has attained the age of 50 years, the person may, at his option,
be granted either of the following with effect from the date he
so satisfies the President that he is so physically or mentally
incapacitated, notwithstanding the fact that he has not attained
the age of 50 years:(a)
a full pension under section 3 or 4
without any gratuity; or
(b)
the commuted pension gratuity that
might have been granted to the person under section 7 (4) on his
attaining the age of 50 years.
13/95.