27 Jul 2018

Nauru announces superannuation scheme

1:12 pm on 27 July 2018

Nauru is introducing a compulsory superannuation scheme for all citizens, funded by a nation-wide increase in salaries.

Nauru Super will be rolled out to all employers of 5 or more staff from January 2019.

The government said from the 1st of July, all government employees, including those of state-owned-enterprises, started paying 5 per cent of their wages towards the fund.

But this was funded by a 5 per cent increase in wages and the government said employers will match employees' contributions.

Members can access funds when they formally retire at or after the minimum retirement age of 55.

The fund would be managed by the New Zealand-based superannuation company SuperLife.

The fund would be in addition to the existing pension payments for those over 60 and 70 years.