Real Estate Companies to Pay FNPF Deductions to their Agents
February 1, 2018 5:03 am
Real Estate agents have been directed to pay 10 percent FNPF contributions to all their staff and agents effective immediately.
However, this has not been received well as the Real Estate Association claims many agents will face financial difficulties especially if they have to back-date the payment to 2011.
Legislation was passed in 2011 which required all agents to make FNPF contributions to all their staff.
President of the Real Estate Association Vyas Deo Sharma claims their agents are being paid hefty commissions and making FNPF contributions will be an added cost.
“They are heavily paid. They are paid 50 per cent of the commission. Now on top of that we have received a circular from the real estate board that FNPF is asking us to pay 10 per cent contribution.”
Sharma claims the real Estate Act 2006 which was passed in 2011 was done without any consultation with the Real Estate companies and they only found out about it last week when the circular came out.
Meanwhile Fiji National Provident General Manager, Member Services Alipate Waqairawai says FNPF contributions depend on the contract type.
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Deductions of contribution is dependent upon the type of contract. There is one that is called contract of service and a contract for service.
Many real estate agents are employed on a temporary basis.