Cayman Islands announce Pension Law
The government of the Cayman Islands has announced changes to the National Pensions Law to allow a temporary 1-year suspension period of pension contributions for Caymanians and a temporary 2-year suspension period for non-Caymanians.
The amendments are effective since April 26, 2010.
The newly-introduced changes will affect private sector employers, employees, and self-employed individuals.
According to Cayman Pensions Minister Rolston Anglin, “In the current economic climate, pension contributions place a considerable financial burden on employers, employees and self-employed persons.” He said that, as some businesses are facing closure, the relief might enable them to survive in these tough economic conditions.
Businesses must be in compliance with the National Pensions Law in order to participate in the suspension. Another participatory condition is that pension plan membership must be maintained, which means that all employers and employees, regardless of when they are employed, must be members of a registered pension plan.