HISTORIC PENSION REFORMS PASSED: GOVERNMENT AUXILIARY EMPLOYEES TO BENEFIT FROM NEW CONTRIBUTORY PENSION SCHEME

BASSETERRE, Saint Kitts, April 30, 2025 (SKNIS) – In a landmark move that marks a new chapter in social justice, the National Assembly of Saint Kitts and Nevis today, Wednesday, April 30, 2025, passed the Pensions (Amendment) Bill, 2025. The legislation, described by Prime Minister and Minister of Finance, the Honourable Dr. Terrance Drew, as a “historic statement of who we are as a people,” introduces a structured, fair, and sustainable contributory pension system for Government Auxiliary Employees (GAEs) and other public service workers.

Prime Minister Dr. Drew hailed it as a major step in creating a more inclusive and equitable society, especially for workers who have long been overlooked in the national pension framework.

“This Bill tells every government auxiliary employee, every street or office cleaner, every crossing guard, that we see you, we value you, and we will honour your contributions when your working days are over,” said Dr. Drew. “This is not about pity. This is about people who have worked, and they must get what they deserve.”

The honourable prime minister stated that amendments to the Act replace an outdated pension system that dates back to 1947. Previously, the non-contributory structure placed the entire burden of pension payments on the government, while leaving thousands without retirement security.

“It was unpredictable and unequal. It placed an unbearable burden on the public purse while denying thousands of hard-working men and women, especially our GAEs, the security of knowing that after a lifetime of service, they would have something to fall back on. Today, we say no more,” Dr. Drew emphasised.

With the passage of the Bill, all eligible employees will now contribute to a pension fund throughout their careers, ensuring they receive fair benefits upon retirement. This includes GAEs, many of whom were previously excluded from pension benefits.

Framing the legislation as part of the government’s broader vision for national development, Prime Minister Drew emphasised its alignment with the Federation’s commitment to becoming a sustainable island state.

“This Bill ushers in a new era. It brings certainty. It brings equity. And it brings peace of mind. Most importantly, it ensures that workers do not retire in poverty, but rather with dignity and peace of mind,” he said.

Prime Minister Dr. Drew said the passage of the Pensions (Amendment) Bill, 2025, represents not just policy reform, but a bold commitment to justice, sustainability, and national unity. It corrects historical imbalances and affirms that every citizen’s contribution to the nation’s development will be honoured.

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