Companies and municipalities that fail to make pension fund contributions not only break the law but are toying with the lives and future well-being of their employees.
This is the view of trade union federation Cosatu, which has raised alarm over the sharp rise in employers defaulting on pension fund contributions.
The Financial Sector Conduct Authority FSCA has reported that the number of defaulters who violated Section 13A of the Pension Funds Act has doubled to 15,521 from March 2025, up from 7,700 in 2024, affecting nearly 600,000 workers.