Highlights
Interim settlements for medical costs. To qualify for interim payment of medical costs, employees’ medical costs will have to total least 12.5% of salary.
Stricter governance requirements. Governance reforms for defined benefit (DB) plans include the following:
- Employers will no longer inform employees about underfunded pension plans by “board posting at the workplace.”
- Employers with multiple pension providers will need to inform other pension providers within seven days if the lead pension provider changes.
- Pension providers will no longer be allowed to offer principal secured products with different interest rates to employers and employees, absent a solid reason for doing so.
- Employers and pension providers should provide requested information to lead pension providers within three months after the fiscal year-end.
Africa
