“Winter is coming” for delinquent employers who don’t take advantage of the upcoming amnesty to settle their outstanding National Insurance payments.
Some 4,000 employers are fraudulently not making NIS contributions - and after the amnesty ends in December, the State will go after delinquent companies, Minister in the Ministry of Finance Brian Manning warned yesterday.
He was speaking in the Senate while piloting the National Insurance (Amendment) Bill 2022. It provides for an amnesty from July 31 to December 31, 2020, implementing a waiver of penalties/interest on non-payment of NIS contributions. It also stipulates significantly higher fines for the provision of false information and increases the statutory limitation for the commencement of summary proceedings and other related matters
The amnesty is open to companies registered with the NIB prior to June 2022 and those registered during the waiver period. It will place NIB on a better footing to execute its mandate and benefit citizens with its range of services, Manning said.
He said the waiver will allow companies to “do the right thing” and could assist where companies couldn’t make payments during the pandemic.
“This (amnesty) is reflective of a Government that’s aware of difficulties faced by small/medium enterprises - a Government that cares.”
He said NIS non-payment deprives people - especially in low-income groups - of access to much-needed benefits, while enriching the coffers of employers who’ve avoided making payments.
“This Government is working to address this issue through introduction of this bill and when the waiver period is over, penalties will be so adjusted to deter the willingness to breach.
“I say to those who have been willfully withholding their NIS contributions, that they should get their house in order and pay now because winter is coming,” Manning added.
On Independent Senator Anthony Vieira’s queries, Manning said Government introduced a method of detecting delinquent companies and it was estimated that 4,000 employers are fraudulently not making contributions.
He didn’t have information on how much is owed but promised to provide it ahead. Concurring with Vieira’s concern for NIB to get serious with enforcement, Manning said, “That’s exactly what I’m saying - we’ve improved detection and are much better at this point at seeing which employers aren’t in compliance with the law.
“And absolutely - after the amnesty period - we’re going to go after these delinquent employers.”
Detailing clauses including big fines for false information, Manning emphasised, “As I said, winter is coming.”
Heat for Govt says Mark
Opposition Senator Wade Mark, who called for the bill to be withdrawn, said it wasn’t winter that was coming, but heat was coming for Government.
“If I break the law I’ll get charged, but they’re bringing an amendment to reward a confederacy of wrong-doers, law breakers ... people who supposed to be in jail for not honouring obligations to workers.. any employer who fails to submit payments which were deducted from workers’ salaries is guilty of embezzlement...fraud!”
Saying the bill was pro-employer, Mark said in another country, there might have been action on the streets.
“But I don’t know why our people so? How can a Government come with this?!”
Calling for more details, he added, “We want to know the names of the companies (owing), are they PNM’s financiers? Give us a list of the beneficiaries of this waiver and the sum of (owed)!”
Listing the bill’s provision, he said, “These kinds of things were happening under Marie Antoinette (of France) - you know what happen to Marie Antoinette?! You playing with fire! You provoking the population with these measures. I’m not a lawyer, I’m a bush lawyer but I think I understand what I’m reading.”
Amid Mark’s yelling, Senate President Christine Kangaloo warned him about his language becoming “increasingly inflammatory” and urged him to “dial it back.”
