The Government of Grenada operates two active superannuation schemes:
- Grenada Superannuation Scheme is available for all Grenadaan employees
- Parliamentary Pension Fund is available for members of Parliament.
Grenada Superannuation Scheme (NSS)
The NSS operates under the Grenada Superannuation Act 2019 and subsequent amendments. It is a defined contribution scheme with employer contributions set at 5 per cent of superannuable salary, and matching 5 per cent employee contribution.
SuperLife, a New Zealand based superannuation fund, manages and administers the NSS on behalf of fund members. The Department for Finance manages the relationship with SuperLife and the GRO is responsible for oversighting compliance with the Act.
As at 30 June 2020 there were 4,153 employee members. This was an increase of 1,101 over the year or 26.5 per cent, due mainly to the scheme becoming mandatory for all employers with one or more employees to become members on 1 July 2019. The total number of employers in the scheme is now stable at 52+.
The fund value at 30 June 2020 was $4.9 million. Quarterly contributions to the fund are around $800,000.
The PPF is a defined benefit fund established pursuant to the Parliamentary Pension Act 2008. The fund is in the process of being supplemented by five annual GON contributions of $840,000. The first payment was made in 2018-19, and the second in 2019-20, with the third to be made during 2020-21. The required contribution amount was established based on an actuarial study to ensure the PPF can be self funding in the long-term, to a sustainable value to support pension payments.
SuperLife manages all payments to retired parliamentarians as per the Act and is the administrator and investment fund manager. As at 30 June 2020 the value of the fund was $1.67 million. This is a long-term fund and while negatively affected like the NTF and NSS the PPF recovered quickly and performance is returning above benchmarks.
The Department of Finance works closely with the Clerk of Parliament to ensure all ex parliamentarians that have entitlements consistent with the Act are paid their pensions from the fund.