CHAPTER 50
NATIONAL SOCIAL SECURITY FUND ACT

[PRINCIPAL LEGISLATION]

ARRANGEMENT OF SECTIONS

   Section

Title

PART I
PRELIMINARY PROVISIONS

   1.   Short title.

   2.   Interpretation.

PART II
NATIONAL SOCIAL SECURITY FUND

   3.   Constitution of the National Social Security Fund.

   4.   Management and administration of Fund.

   5.   Vesting of existing Fund to the National Social Security Fund.

PART III
INSURED PERSONS AND CONTRIBUTING EMPLOYERS

   6.   Insured persons.

   7.   Insured ministers of religion.

   8.   Certain employees not registrable.

   9.   Continuity of insurance despite loss of qualifications for registration.

   10.   Contribution records of insured persons.

PART IV
REGISTRATION AND CONTRIBUTIONS TO THE FUND

   11.   Registration of employers.

   12.   Statutory contributions by contributing employers.

   13.   Deductions of employee's share.

   14.   Payment of contributions.

   15.   Treating unpaid contributions as paid.

   16.   Refund of contributions paid in error.

   17.   Payment by an insured person.

   18.   Recovery of contributions and penalty.

   19.   Contributions when benefit drawn or during bankruptcy of employee.

   20.   Contributions, etc., inalienable.

PART V
BENEFITS

   21.   Classes of benefits.

   22.   Operation dates in respect of the benefits.

   23.   Conditions for retirement pension.

   24.   Amount of retirement pension.

   25.   Duration of retirement pension.

   26.   Retirement special lump sum.

   27.   Early retirement.

   28.   Conditions for invalidity pension.

   29.   Amount of invalidity pension.

   30.   Duration of invalidity pension.

   31.   Invalidity special lump sum.

   32.   Medical examinations.

   33.   Conditions for survivors pension.

   34.   Amount of survivors pension.

   35.   Duration of survivors pension.

   36.   Survivors special lump sum payment.

   37.   Retirement and invalidity grant.

   38.   Funeral grant.

   39.   Employment injury benefit.

   40.   Types of employment injury benefits.

   41.   Condition for health insurance.

   42.   Medical benefits to be provided.

   43.   Agreements with medical providers.

   44.   Conditions for maternity benefit.

   45.   Types of maternity benefits.

   46.   Disapplication of section 28 of the Employment Act.

   47.   Restriction on double benefit.

   48.   Adjustment of benefits.

   49.   Time and manner of making claims.

   50.   Regulations for benefit provision.

   51.   Repayment of benefit improperly received.

   52.   Benefit to be inalienable.

PART VI
BOARD OF TRUSTEES OF NATIONAL SOCIAL SECURITY FUND

   53.   Establishment of Board of Trustees.

   54.   Management objectives of the Fund.

   55.   Functions of the Board.

   56.   Duties of the Board.

   57.   Powers of the Board.

   58.   Remuneration, allowances and benefits.

   59.   Power to delegate.

   60.   Minister may give directions to the Board.

PART VII
FINANCIAL PROVISIONS

   61.   Fund to vest in Board.

   62.   Investment of moneys in the Fund.

   63.   Utilisation of Fund for acquisition of assets.

   64.   Board's liability to insured persons guaranteed.

   65.   Refund of excess contributions.

   66.   Financial resources.

   67.   Annual and supplementary budget.

   68.   Power to borrow.

   69.   Accounts and audit.

   70.   Fund account.

   71.   Accounts of the Fund.

PART VIII
LEGAL PROCEEDINGS, OFFENCES AND PENALTIES

   72.   Criminal proceedings.

   73.   Joinder in cases of non-payment of contributions.

   74.   Legal proceedings.

   75.   Priority for payment of contributions.

   76.   Protection of contributions.

   77.   Protection against attachment.

   78.   Liability for acts of association of persons.

   79.   Certificates as evidence.

PART IX
DETERMINATION OF CLAIMS TO BENEFIT AND LIABILITY FOR CONTRIBUTIONS

   80.   Responsibility of Director-General.

   81.   Determination of claims to benefit.

   82.   Determination of questions as to liability for contributions.

   83.   Establishment of Social Security Appeals Tribunal.

   84.   Establishment of Medical Appeals Tribunal.

   85.   Expenses of Medical Boards and Tribunals.

PART X
GENERAL PROVISIONS

   86.   Deemed to be in the employ of the first-mentioned person.

   87.   Inspectors.

   88.   Liability of members.

   89.   Regulations.

   90.   Tax exemption.

   91.   Establishment of supplementary retirement fund.

   92.   Reciprocal agreements.

   93.   [Repeal of Cap. 564 and Act No. 2 of 1975.]

   94.   Savings.

   95.   [Omitted.]

SCHEDULES

CHAPTER 50
THE NATIONAL SOCIAL SECURITY FUND ACT

An Act to establish the National Social Security Fund and to provide for its constitution, administration and other matters related to the Fund.

[1st July, 1998]
[G.N. No. 335 of 1998]

Acts Nos.
33 of 1973
2 of 1975
28 of 1997
8 of 1998
G.Ns. Nos.
590 of 1998
286 of 2000

PART I
PRELIMINARY PROVISIONS (ss 1-2)

1.   Short title

   This Act may be cited as the National Social Security Fund Act.

2.   Interpretation G.N. No. 590 of 1998">

   In this Act, unless the context otherwise requires–

   "benefit" means a benefit payable under this Act;

   "Board" means the Board of Trustees of the National Social Security Fund;

   "child" includes a step child, a child born out of wedlock and an adopted child; in relation to insured person;

   "commuting accident" means accident occurring to the insured person and involving his employer's means of transport;

   "contract of service" has the meaning ascribed to that expression in the Employment Ordinance;

   "contributing employer" means–

   (a)   every person, corporate or unincorporate body of persons having a contract of service or apprenticeship with an employee; and

   (b)   every government department employing employees not covered under the Government schemes;

   "contributing employment" means employment in respect of an insured person;

   "contribution period" means where wages are paid an employee–

   (a)   at intervals of more than a fortnight, the month during which the wages are paid; or

   (b)   at intervals of more than a week but not more than a fortnight, the fortnight ending with the last day of the week in which the wages are paid; or

   (c)   daily, the day on which the wages are paid:

   Provided that where wages are paid in advance to an employee the contributions period shall be deemed to be the appropriate period to which the wages relate and, if the wages relate to more than such period, each such period shall be deemed to be a contribution period;

   "dependant" means a member of the family of an insured person who was wholly or in part dependent upon his earnings at the time of his death, or would but for the illness of the insured person have been so dependent:

   Provided that a person shall not be deemed to be a partial dependant of another person unless he was dependant partially on assistance from that other person from the provision of the ordinary necessaries of life suitable for person of his station;

   "Director-General" means the Director-General of the Fund appointed under this Act;

   "employee" means any person who–

   (a)   is employed in Mainland Tanzania under any contract of service or apprenticeship with an employer, whether by way of manual labour, clerical work or otherwise and howsoever paid; or

   (b)   is permanently resident in Mainland Tanzania and is employed outside Mainland Tanzania under a contract of service with an employer in Mainland Tanzania by whom he is paid;

   "employee's share" means that portion of a statutory contribution declared by the First Schedule to this Act to be the employee's share of such contribution;

   "existing fund" means the National Provident Fund;

   "Fund" means the National Social Security Fund established by section 3;

   "insured person" means a person insured under this Act;

   "minimum wage" means the amount determined annually by the Minimum Wage Board as the average gross monthly earnings for persons employed locally in Tanzania;

   "Minister" means the Minister responsible for labour matters;

   "pensionable age" means the age of sixty years;

   "special lump sum" means an amount equal to the insured person's last monthly contribution times the number of months of contributions paid to the Fund;

   "Trustee" means a member of the Board and includes a chairman of the Board;

   "wages" means remuneration in money paid to an employee under his contract of service or apprenticeship, as the case may be, and whether agreed to be paid at fixed or determinable intervals of time–

   (a)   in respect of normal periods of work to be performed by the employee; or

   (b)   where payment is calculated in relation to set tasks or journeys completed by the employee; or

   (c)   where payment is calculated in relation to the volume of work done, in respect of the volume completed by the employee,

and includes any allowance paid by the employer to the employee either directly or by implication in respect of living and any payment of wages in lieu of notice of termination of employment;

   "widow or widower" includes a spouse and any person whom the deceased member had been living with as a wife or husband for at least two years.

PART II
NATIONAL SOCIAL SECURITY FUND (ss 3-5)

3.   Constitution of National Social Security Fund

   (1) There is established a Fund to be known as the National Social Security Fund into which shall be paid all contributions and other moneys required by this Act.

   (2) There may from time to time be paid out of the Fund benefits and other payments, including payments in respect of the expenses of the Board, as are authorised by this Act.

4.   Management and administration of Fund

   (1) The management and the administration of Fund shall vest in the Board.

   (2) There shall be a Director-General appointed by the President to be the Chief Executive Officer of the Board to oversee the daily operations of the Fund.

5.   Vesting of existing Fund to the National Social Security Fund

   (1) The existing fund shall be transferred to the National Social Security Fund and shall be vested in the Board which shall, subject to provisions of this Act have the sole management and control of it.

   (2) The funds of the National Social Security Fund shall constitute of–

   (a)   the existing fund vested in the Board under subsection (1);

   (b)   the assets of the existing fund;

   (c)   the combined contributions of eligible employers and the insured persons paid into the Fund at the dates set out in the First Schedule;

   (d)   income and capital appreciation derived from the holding of that assets of the Fund in any form; and

   (e)   such other sums or assets as may accrue or be granted to the Fund.

PART III
INSURED PERSONS AND CONTRIBUTING EMPLOYERS (ss 6-10)

6.   Insured persons

   (1) Every person who is a member of the existing Fund shall be an insured person under this Act.

   (2) Every person who is self employed or who is employed in the private sector, other than in a body which is a parastatal organisation under the Parastatal Organisations Pension Fund Act *, shall be registered as an insured person.

   (3) Every non-pensionable employee in the Government service and parastatal organisation shall be registered as an insured person.

   (4) The Minister may by order in the Gazette, provide for the conditions and procedure under which any person who is not eligible to become an insured person may so become.

   (5)    The Minister may by order in the Gazette

   (a)   declare any employees or category of employees to be registrable as insured person;

   (b)   declare any employer or category of employers to be contributing employers.

   (6) Where the Minister–

   (a)   makes an order under paragraph (a) of subsection (5) every person who on the commencement of the order is, or who subsequently becomes an employee to whom the order relates shall be registered under this Act and upon such registration shall become an insured person;

   (b)   makes an order under paragraph (b) of subsection (5) every person who on the commencement of the order is, or who subsequently becomes an employer to whom the order relates shall become a contributing employer and shall register as such.

   (7)    Notwithstanding any other category which may be declared under subsection (5) the Minister may declare categories of employees or of employers by reference to the number of employees in the service of an employer and may exclude from such number any category of employees.

   (8) Where an order is made under paragraph (a) of subsection (5) the Minister may by the same or a subsequent order appoint a date upon which sections 11, 12 and 14 of this Act shall apply in respect of the insured persons registered under that order.

   (9) For the purposes of this section–

   "Private Company" means a company which restricts the right to transfer its shares, limits the number of its members to fifty and prohibits any invitation to the public to subscribe for any shares or debentures of the company;

   "Private Sector" means any corporate or unincorporate body whose fifty or more of its shares are not owned by the government.

7.   Insured ministers of religion

   (1) A religious organisation, which desires to make contributions under this Act in respect of any minister of religion, may apply to the Board in writing in that behalf.

   (2) If the Board approves the application, it shall with effect from that date as it shall appoint, declare this section to apply to the organisation and minister and, from the appointed date, this Act shall apply to the organisation in relation to the minister as if it were a contributing employer, and that minister shall be registrable as an insured person.

   (3) For the purposes of this section–

   "minister of religion" includes any clerk in holy orders, pastor, missionary, kadhi, imam, sheikh or other person acting in any of those or similar capacities who is engaged in ministering to the spiritual needs of others; and

   "religions organisation" includes any person or body from whom a minister of religion receives his stipend.

8.   Certain employees not registrable

   (1) Notwithstanding the foregoing provisions of this Part, no person shall be registered as an insured person when he is a temporary employee unless the Minister by order published in the Gazette have declared temporary employees generally or temporary employees of a category to which he belongs to be registrable as insured person under this Act.

   (2) Where the Minister makes an order under subsection (1) he may by the same or a subsequent order appoint a date upon which sections 11, 12, and 14, shall come into operation in respect of those insured persons who are registered in pursuance of that order.

9.   Continuity of insurance despite loss qualifications for registration

   A person registered as an insured person shall not cease to be insured by reason of the fact that, since registration–

   (a)   he has ceased to be an employee or to be a person to whom the orders made under paragraph (a) of subsection (5) of section 6 or paragraph (b) or subsection (1) of section 8 relates; or

   (b)   he has become a temporary employee.

10.   Contribution records of insured persons

   The Board shall establish and maintain for each insured person record of all contributions made to the Fund in respect of the person for purposes of calculating the insured person's benefits as provided in this Act.

PART IV
REGISTRATION AND CONTRIBUTIONS TO THE FUND (ss 11-20)

11.   Registration of employers

   (1) Subject to the provisions of this Act, every contributing employer shall, unless such employer has been registered under the existing Fund, within one month, register under this section in the prescribed manner.

   (2)   The period of one month mentioned in subsection (1) shall, in every case, begin upon the commencement of this Act or the date when the person concerned becomes a contributing employer.

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