Pension
In Sierra Leone, the compulsory social insurance scheme, implemented by the National Social Security and Insurance Trust (NASSIT), provides retirement pensions to insured employees. The retirement age for employees is 60 years with at least 180 months of contributions.
The monthly pension amount is calculated as 30% of the employee's average monthly salary in the best 60 months, plus 2% for every additional year of contributions beyond 180 months. The maximum payable pension is 80% of the average monthly salary of the employee, and the minimum is 50%. Retired employees are also paid a lump sum equal to 12 months of the employee's pension as a retirement gratuity.
Employees who have reached the age of 60 years but have not paid sufficient contributions to the fund to qualify for a pension are eligible for a retirement grant equal to 1.5% of their average monthly earnings for every 12 months of paid contributions.
Dependents/Survivors Benefits
The National Social Security and Insurance Trust of Sierra Leone provides benefits to the widow/widower and dependent children of a deceased insured person. The beneficiary must have received (or been entitled to receive) an old-age or disability pension at the time of death or have contributed for a minimum of 60 months to the fund, out of which 12 months’ contributions had been paid in the last 36 months before death.
A widow or widower is entitled to 40% of the benefits until death or remarriage. Dependent children are entitled to 60% of the benefits until the age of 18 years, or until 23 years of age if they are enrolled in full-time education. In addition to the pension, a lump-sum amount equal to 12 months' pension is also paid to eligible survivors.
In case of death caused by an occupational injury or occupational disease, employers must pay a lump sum of 42 months of the deceased employee's earnings to survivors.
Invalidity Benefits
The National Social Security and Insurance Trust (NASSIT) in Sierra Leone provides disability pensions to insured employees under 60 years of age who are permanently, totally incapable of further employment and have paid contributions for at least 60 months, of which 12 months' contributions are made during the 36 months preceding the commencement of the disability.
The disability pension is paid as 30% of the employee's average monthly salary for the first 180 months of contributions, plus 2% for each additional year of contributions beyond 180 months. The remaining years before reaching the retirement age are counted as six-month periods. The disability pension cannot be less than 50% of the minimum wage in the country. After reaching the age of 60 years, a disability pension is converted to an old-age pension. If an employee has made less than 60 months of contributions before becoming disabled, a lump-sum grant is paid equal to 1.5% of their average monthly earnings for every 12 months of paid contributions.
In the case of disability due to a work injury or occupational disease, employers are responsible for paying benefits to the affected employee and covering medical treatment, hospitalization, and transportation. A daily allowance is paid in cases of temporary disability for a maximum of 96 months. In case of permanent disability, a lump-sum amount is granted, depending on the degree of disability.