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Pensioners say 'no' to State's FNPF stand

February 28, 2026 5:02 pm

The FNPF Pensioners Committee has called out Cabinet’s decision not to reinstate Fiji National Provident Fund pensions backdated to 2012.
The Committee says the decision as unjust and unacceptable.

In a formal response dated February 27, 2026, Committee Chair Ross McDonald says the group does not accept the position conveyed by Finance Minister Esrom Immanuel through the media.

The Committee is seeking an urgent meeting with the Minister and Prime Minister Sitiveni Rabuka to discuss the matter.

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The group represents about 1,400 pensioners affected by the 2012 changes. It argues that life pensions were unlawfully reduced and that contracts entered into with the Fund were broken.

The Committee maintains that the issue is not closed and says many of those affected are elderly and in declining health.

In its response, the Committee disputes claims that full restitution would undermine FNPF’s financial stability. It claims a Pension Buffer Fund established in 1975 could meet pension liabilities and asks why those funds cannot be used.

Cabinet earlier ruled out reinstating pensions backdated to 2012, describing the move as unconstitutional and financially burdensome. The decision followed advice from the Finance Ministry, FNPF and the Office of the Solicitor-General.

Government said the 2012 changes were introduced under the FNPF Act 2011 and the FNPF Transition Act 2011 after assessments found pension payouts exceeded members accumulated savings. It said restoring pensions to 2012 levels would cost an estimated $582 million, including $372 million in back payments and $210 million in future liabilities.

Cabinet also cited Section 173(3) of the 2013 Constitution, which it said prevents retrospective changes to the legal effect of the 2012 reforms. It warned that using Fund resources for back payments would affect member balances and that funding the cost through the National Budget would strain taxpayers.

However, the Coalition Government confirmed that from August 1, 2024, affected pensioners began receiving reinstated payments on a prospective basis. The measure is funded by taxpayers at an estimated cost of $57 million over time.

The Pensioners’ Committee says the matter remains unresolved and has called for renewed dialogue.

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