The Public Accounts Committee of the Parliament has undertaken measures to address the issues concerning double pensions.

This decision was made during a meeting on Tuesday, subsequent to a proposal put forward by the Deputy Speaker of Parliament and Dhiggaru MP, Ahmed Nazim.

At the heart of the matter is the conflict between the provisions of the Civil Service Act and the Pension Act, which has significantly contributed to the increasing burden of state expenditure on pensions.

The Public Accounts Committee underscored that the principal challenge within the pension system lies in the payment of double pensions, where individuals receive multiple pension benefits.

According to the Civil Service Act, pensions may continue until a specific law regulating retirement pensions is established; however, authorities do not recognise the Pensions Act as the definitive legal framework in this regard.

Moreover, the overlap between these two laws, compounded by subsequent legislation that incorporates pensions under the Civil Service Act, has further aggravated the issue of double pensions.

In light of these challenges, Nazim suggested that the Public Accounts Committee should act as an intermediary, facilitating dialogue between the Civil Service Commission and the Pension Office in order to resolve the inconsistencies between the two legislative frameworks. He further proposed that adjustments be made to the pension system for civil service employees, ensuring that their current pension entitlements remain intact and are not reduced.

Hanimaadhoo MP, Abdul Ghafoor Moosa, raised concerns about the sustainability of granting double pensions to multiple institutions. He pointed out that the state currently expends over MVR 2 billion annually on pensions, stressing the necessity of establishing a cap as part of the pension reform process.

He also advocated for the repeal of pension-related provisions across various laws, proposing that all matters concerning pensions be consolidated under the Pensions Act, thereby ensuring greater clarity and uniformity in pension administration.

The committee has resolved to commence work on addressing the pension issue starting next week, with plans to convene meetings with the Civil Service Commission, the Pension Office, and other relevant agencies.