Long service benefits should not be taxed: SIPEU

SOLOMON Islands Public Employees Union (SIPEU), during its courtesy call to the Prime Minister on January 15, 2018 raised their concern to Prime Minister Rick Hounipwela that retiring public servants in the country should not have their long service benefit taxed after serving the government for 20 to 30 years.

Solomon Islands Public Employees Union (SIPEU) President (Ag) Mr Stephen Maesiola said that retiring public servants working for the government deserve to receive their long service benefit in full for serving the government with loyalty.

This should be seen as acknowledgement in complementing public servants for a work well done for so many years with the government.

Maesiola expressed to Prime Minister Hou that retiring public servants express their disappointment when seeing their benefits being almost halved because of tax.

Most have been working for the government most of their life but receive only a small portion of their benefit after being heavily taxed.

SIPEU strong believes that there are better ways to complement hard working public servants working in the government when discharging them from their duties and roles.

SIPEU therefore calls on the government to endorse this proposal to enable public servant that retire from the government receive their benefits without deduction or tax.

The same sentiment was also raised to the Permanent Secretary of Public Service during the opening of the National Council meeting held on November 2, 2017.


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