Prime Minister Sitiveni Rabuka expressed deep concern upon learning that Fijian workers in the Pacific Labor Mobility Scheme are subject to substantial tax deductions when seeking to access their superannuation upon their return to Fiji.

During a meeting with PALM workers in Australia, Rabuka was informed that the tax levied on superannuation withdrawals amounted to 35 percent of their total savings.

This percentage was also confirmed by the Fiji High Commission’s Office in Australia.

Rabuka revealed that the government is actively pursuing an agreement with Australia to facilitate direct deductions into the Fiji National Provident Fund accounts of Fijian workers, thus alleviating this tax burden.

Fijian diplomat and Counselor at Fiji’s High Commission in Canberra Salote Tagivakatini revealed the complexity associated with workers accessing their superannuation benefits.

“The Superannuation can only be done once they departed Australia and their Visa have been cancelled. It’s only when they are out of Australia that they then can apply for the Superannuation but many of our workers can’t access it because they cannot fulfill the ideal requirements.”

Salote Tagivakatini

Tagivakatini acknowledges the strong support from registered employers in the PALM program and labor unions for the establishment of direct FNPF deductions.

She also stated that ongoing discussions are in progress concerning this matter.