By Elvin Bailey

It is our custom to share our performance - by quarter - with the general public. We do so by showing the performance during the quarter alongside the previous quarters of the year and the corresponding quarter of the preceding year. Therefore, by the time the 4th quarter performance is published, a snapshot of the entire year is possible. Social Security presents now the report of the final quarter for 2008, but warn that these figures are unaudited and subject to further refinement. I wish to point out certain highlights.

In Anno Domino 2008, there were 78 new businesses that opened up, 62 of them for the first time. While it is certain that these new and restarted businesses absorbed some of these new workers, it is also fair to assume that some persons found work in existing businesses. Unfortunately, an unusually high 40 businesses ended their operations. 

In 2008, 1,556 persons registered with Social Security as first time employees and another 261 registered their self employment with us. We saw registration of 275 new businesses, 53 restarts for a fairly robust sector, but sadly we also witnessed closure of 89 business places. 

In 2008, employees and their employers gave us $69.99 million to manage, $18.72 million in the 4th quarter. Meanwhile, $0.97million was entrusted to us by the self employed persons. Thus, the working people of this country paid $70.96 million into Social Security for 2008. Meanwhile, we registered 214 deaths amongst our insured persons, measured by the payment of funeral grants. These deaths were mostly among men, 64% for men to 36% for men. The largest number of deaths by age recorded was 9 persons who died at age 50, 8 of whom were men, followed by persons aged 85 with 8 deaths, 7 of whom were men.  The age cohort 75 – 79 saw the largest group of deaths at 24. As such, by the end of the year, there were 2,836 age pensioners and 641 persons were receiving the assistance pension of $250.00 per month.

We processed 13,403 claims for benefit assistance in 2008.  These contained 10,346 for sickness or 77.2% of all claims received. We paid 550 maternity grants (and 534 maternity allowances), meaning that 550 women were pregnant and delivered – unless some of them had twins or triplets.

In 2008, we paid 1,059 employment insurance benefits (540 injuries, 278 medical expenses, 25 travel expenses, 1 burial grant, 1 constant care allowance and ended with 51 pensioners under this branch of our coverage). This section cost Social Security $0.29 million

Further, we paid $23.69 million in long-term benefits (age pension, assistance pension, survivors pension, invalidity pension and age grants; with $18 million - 76% - going to age pension). Short term benefits (sickness, maternities and funeral) accounted for $9.4 million. Our total payment to insured persons, therefore, was $33.38 million or 47 cents of every dollar that you deposited within the Fund. Fortunately, we earned $55.97 million for investment income. 

Having witnessed the performance, what trends did we notice? And were they consistent with the Actuarial projections?  

Sickness claims continue to grow. We note that such claims have increased from less than 5,000 in 2001 to over 10,000 in 2008.  
The question is whether such growth is in proportion to the growth in membership. Also, payment for these claims has grown from just over $2 million in 2001 to $6.5million in 2008. And as can be expected, documented time away from work as a result of illness alone (excluding for employment injuries and maternity leave) has increased, from 50,110 in 2001 to 110, 612 in 2008. For each parameter, the plotted trend is the same as that shown for sickness claims. To give this perspective, 2008 had 250 working days in it. Sickness is costing the country in terms of time, money and production.
 
Only 33% of these claims in 2008 were made by men; but of the employment related claims, 60.3% were made by men. Men’s jobs are making them suffer injury, but generally men do not visit a doctor and two-thirds more men are dying than women (and dying younger than women folk. Can I state it any clearer? MEN CHECK YOUR HEALTH!!!

Funeral grant payments were very consistent each quarter of 2008 – 53, 53, 54 and 54.

Maternity claims have not yet cracked the 600 barrier per year. Indeed, the highest number of such payments in this millennium was recorded in 2001 at 582.

Contribution collections continue to increase, but the rate at which it is increasing continues to diminish. Benefit payments continue to increase, and the rate at which it is increasing each year is increasing. Assets accrued attained the $910 million mark in 2008, and the best age pension has reached 58% of wage replacement or $3,770 per month. (A few persons have actually qualified for this).

The trends that were predicted for our Fund by the Actuary are coming to pass. But have no fear, help is at hand to reform the system!