Pension and Medical Benefits Approved for Traditional Leaders in KwaZulu-Natal
Traditional leaders (Amakhosi) in KwaZulu-Natal will soon receive pension and medical benefits after the Financial Sector Conduct Authority (FSCA) approved the Amakhosi Pension Fund. This initiative aims to support amakhosi and izinduna after their retirement, recognizing their vital role in the province.
The Amakhosi Legacy Plan
Thulasizwe Buthelezi, KwaZulu-Natal co-operative governance and traditional affairs (Cogta) MEC, confirmed the approval of the fund, an initiative developed by his department in partnership with Standard Bank. The plan, known as the Amakhosi Legacy Plan, includes both a pension fund and comprehensive medical cover for traditional leaders.
- Provides a structured savings mechanism accessible upon retirement.
- Incorporates comprehensive medical cover for essential healthcare services.
- Reflects the department's commitment to the wellbeing of traditional leaders.
Recognizing the Service of Traditional Leaders
Buthelezi emphasized the importance of creating the fund to thank traditional leaders for their years of service within the democratic framework. He stated that their financial security had previously been overlooked despite their crucial leadership role. "Amakhosi perform a crucial leadership role as part of our democratic dispensation but their financial security was never catered for. Hence the introduction of the plan," said Buthelezi.
Rollout and Eligibility
The FSCA has approved the fund, and the department is awaiting final agreement from Cogta minister Velenkosini Hlabisa. The launch is scheduled for November 1st. Eligibility will extend to all amakhosi and izinduna on the Cogta payroll system, with no specific additional criteria required. Payout timelines are not yet determined, but all qualified individuals have been enrolled.
Expert Perspective
Dr. Gugu Mazibuko, a cultural expert and senior lecturer at UKZN, hailed the initiative as a progressive and long-overdue step. She emphasized the crucial role of traditional leaders in bridging formal structures and grassroots realities, stating they deserve recognition and just rewards for their dedicated service. "It’s only fair that there is a safety net for them, a reservoir of support they can draw from when they retire or face medical challenges," said Dr. Mazibuko.
Joint Contribution Scheme
The pension fund will operate as a joint contribution scheme, with both the KwaZulu-Natal Cogta and the traditional leaders contributing. This shared investment aims to secure their financial future. Izinduna are already included in the plan and will receive similar benefits to amakhosi.
