Union accuses social insurance fund of ignoring workers
The employees’ union has accused the social insurance scheme of prioritising engagements with government institutions over consultations with workers and employers whose contributions it intends to manage.
In a statement issued on Wednesday, the National Employees’ Union of South Sudan (NEUSS) said the National Social Insurance Fund (NSIF) had failed to engage meaningfully with employees and employers through the Ministry of Labour.
The accusation comes as NSIF has recently engaged several government institutions, including the Ministry of Interior, the National Security Service and commercial banks, to seek cooperation in implementing the social insurance scheme.
However, the union warned that the fund’s alleged failure to consult workers and employers could undermine public confidence in the scheme.
“Workers are not merely sources of revenue; they are the owners of the part of personal income they contribute. Trust must be earned through credible governance, reliable systems, accountability and meaningful representation, not manufactured through compulsion, public relations or attempts to discredit workers’ representatives or workers Unions,” read in part the statement.
The union said workers should not be treated merely as sources of revenue, adding that their contributions require transparent management, accountability and meaningful representation.
NEUSS also questioned the legal basis for compulsory deductions from employees’ salaries, citing Section 51(2)(c) of the Labour Act, 2017, which it says requires employee agreement for certain deductions relating to pension and other schemes.
The union called for clarification of the legal provisions governing social insurance contributions, particularly the distinction between deductions authorised by law and those requiring employees’ consent.
It further called for the cancellation of Ministry of Labour Circular No. 5/2026, which authorised NSIF to begin collecting contributions from employees.
NEUSS instead called for the reinstatement of Circular No. 3/2010 as an interim arrangement.
It also urged the authorities to ensure the proper constitution of the NSIF Board and establish transparent and accountable administrative systems through consultations with workers and employers.
“Our position remains clear: cancel Ministry of Labour Circular No. 5/2026, reinstate Circular No. 3/2010 as an interim arrangement, properly constitute the NSIF Board, and establish credible, transparent and accountable administrative systems through meaningful engagement with workers and employers. Anything short of inclusive, accountable, transparent and credible governance and management of an insurance fund is nothing short of a daylight robbery,” the union said.
NEUSS maintained that public confidence in the scheme would depend on credible governance and meaningful engagement with contributors.
The union said social insurance should protect workers’ interests rather than become a source of conflict over salary deductions.
NEUSS is currently involved in an ongoing case at the Court of Appeal, alongside oil sector workers, against the Ministry of Labour over the implementation of NSIF.
NSIF has not publicly responded to the union’s latest accusations.
Last week, NEUSS called on employers to suspend the registration of workers and remittance of social insurance contributions to NSIF pending a court determination or a mutually agreed resolution.
