FAQ's

This responsibility is left to the appointed Trustees of the Scheme to verify the assets and agree on the ones to be transferred to Postal Corporation of Kenya Pension Scheme on basis provided by the Actuary in consultation with the Sponsor.

The Law allows that 2/3 of the Trustees be appointed by the Sponsor and 1/3 by members. The Sponsor is not bound to accept member’s nominees and may accept or reject a nominated Trustee if there is reason to do so. Member representation in the PCK Staff Retirement Benefits Scheme (SRBS) is at least one-half (50%).

The assets represent benefits owed to members by the Scheme and have no relationship to the member’s contributions. Member leaving benefits are based on a given formula since the Scheme is a Defined Benefit Plan.

The law requires that all Schemes and Funds must register with Retirement Benefits Authority and the members become contributors immediately. The Retirement Benefits are computed from the member’s date of 1st appointment to include service under EAP&T, KP&TC and PCK whichever is applicable.

The Trustees annually provide Audited Accounts which explain in detail the financial position of both the Scheme and the Fund. The Accounts are explained by the Trustees and the Auditor in detail and copies distributed to Members. Extra copies are left with the Human Resources and Regional Postal Managers for display on Staff Notice Boards.

Contributions are different from Assets. The assets are determined by the Actuary based on Scheme’s share of assets from Telposta Pension Scheme.

It is not possible to determine the monthly income from Property Assets until all the properties are received. However, all rents collected in respect of the properties will be transferred to Postal Corporation of Kenya Pension Scheme and added to the Kshs. 894 million

KPTC did not operate a Pension Scheme for its employees nor was it setting a side funds for retirement benefits. This is why the Actuary valued Postal Corporation of Kenya Scheme’s share at Kshs. 894 million out of the assets held by TelPosta Pension Scheme from KPTC.

Pension/Provident Fund investment income is meant to strengthen the Scheme and Fund so that Trustees may be able to pay benefits of leaving members and Pensioners on retirement.

AVCs will appear in members pay slips. The funds will be invested and paid to leaving members together with interest as determined by the Trustees.

It is paid in one Lumpsum and has no annuities.

PCK management decided on 1st August, 2004 as the cut -off date. The Sponsor has the mandate to determine the cut-off date in accordance with the Trust Deed and Rules

A member resigning after one (1) year service with effect from 14th June 2007 will qualify for benefits in accordance with the provision of the Trust Deed and Rules in force at the time of leaving. Benefits are non-assignable and therefore cannot be used to pay debts.

The period of 5 years is based on legislation and can only be changed by Parliament and Sponsor driven.

No, since pensioners are not on Sponsor’s payroll

The law demands that Trustees operate independent of the Sponsor in their Transactions. The Trustees are allowed to blow the whistle to Retirement Benefits Authority in case of any interference by Sponsor.

The Trustees made arrangements with the Sponsor to pay arrears in 30 monthly installments of Kshs. 5 million. The amount is now fully paid-NOTHING OUTSTANDING

During KPTC service members were not contributing. The Corporation operated a Non-contributory Scheme paid from Sponsor Funds.

The balances on pay slips commenced from 1.7.1999. However, member’s statements being prepared by the Trustees will indicate total contributions plus interest and bonuses since date of commencement of contributions.