The Retirement Benefits (Transitional) Regulations

Legal Notice 122 of 2000

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Citation
Legal Notice 122 of 2000
Primary work
Retirement Benefits Act
Date
Language
English
Type
Legal Notice
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LAWS OF KENYA

RETIREMENT BENEFITS ACT

THE RETIREMENT BENEFITS (TRANSITIONAL) REGULATIONS

LEGAL NOTICE 122 OF 2000

  • Published in Kenya Gazette Vol. CII—No. 64 on 13 October 2000
  • Commenced on 13 October 2000
  1. [Revised by 24th Annual Supplement (Legal Notice 221 of 2023) on 31 December 2022]

1. Citation

These Regulations may be cited as The Retirement Benefits (Transitional) Regulations.

2. Application

These Regulations shall apply to existing schemes.

3. Interpretation

In these Regulations:—"defined benefit scheme" means a scheme other than a defined contribution scheme;"defined contribution scheme" means a scheme in which members’ and employers’ retirement benefits are fixed either as a percentage of pensionable earnings or as a shilling amount, and a member’s retirement benefits has a value equal to those contributions, net of expenses including premiums paid for insurance of death disability risks, accumulated in a individual account with investment return and any surpluses or deficits as determined by the trustees of the scheme;"existing scheme" means a scheme which existed prior to the coming into force of these Regulations;"pooled fund" means a fund established by a limited liability company other than an approved issuer for purposes of pooling scheme funds for collective investment.

4. Amendment of the scheme rules to comply with the Act

All existing schemes shall within three hundred and sixty five days from the date of publication of these Regulations amend their scheme rules to comply with the provisions of the Act and the regulations made thereunder.

5. Actuarial Valuation

(1)Every defined benefits scheme shall within seven hundred and thirty days from the days from the date of publication of these Regulations cause to be prepared in respect of the scheme fund an actuarial valuation and submit the report thereof to the Authority:Provided that defined benefits schemes which have caused to be prepared an actuarial valuation in respect of the scheme fund within three years prior to the date of publication of these Regulations and submitted the actuarial valuation report thereof to the Authority, shall not be required to comply with this regulation.
(2)The actuarial valuation under paragraph (1) shall be prepared in the prescribed form.

6. Viability of a scheme

(1)Every defined contribution scheme shall, within three hundred and sixty five days from the date of publication of these Regulations, submit to the Authority a report and certificate signed by an actuary certifying the financial soundness of the scheme.
(2)The actuarial review referred to in paragraph (1) shall be prepared in the prescribed form.

7. Owed contributions to be deducted

Any contribution or loan owed to a scheme by a member shall become a first charge upon any retirement benefit payable to such member, his nominee or personal representative under the scheme rules, and shall be deducted therefrom and appropriate adjustment made in respect thereof.

8. Appointment of trustees

Every scheme shall cause to be appointed trustees in accordance with section 26(2) of the Act and the regulations made thereunder, and submit to the Authority within three hundred and sixty five days from the date of publication of these Regulations a certified copy of the instrument of appointment.

9. Appointment of manager and custodian

Existing schemes or the pooled funds shall within three hundred and sixty days from the date of publication of these Regulations engage the services of a manager and custodian under written instruments and submit to the Authority duly signed copies of such instruments together with certificates signed by the appointed managers and custodians certifying that:—
(a)in the case of a manager, it has commenced the management of scheme funds;
(b)in the case of a custodian, it has received custody of scheme funds.

10. Transfer of funds

The transfer of funds from a scheme established under a written law within the meaning of section 33(1) of the Act shall not commence until the expiry of the transitional period provided for in section 57 of the Act.

11. Submission of plan of compliance

(1)Without prejudice to regulations (4), (5), (6), (8), (9) and (10) every scheme shall within three hundred and sixty five days from the date of publication of these Regulations present to the Authority a plan of compliance with the Act and the regulations made thereunder indicating:—
(a)the extent to which the scheme is not within the provisions of the Act and the regulations made thereunder;
(b)the proposed manner of bringing the scheme into compliance with the provisions of the Act and the regulations made thereunder;
(c)the approved period within which the proposal in sub-paragraph (b) may be effected.
(2)The proposal made by a scheme under paragraph (1)(c) shall not be effected unless approved in writing by the Authority.
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History of this document

31 December 2022 this version
13 October 2000
Commenced
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