Parliamentary Pensions Bill

Bill No. 8/1969

Read the first time on 10th April 1969.

An Act to establish a pension scheme for persons who have served as Members of Parliament and to provide for a gratuity upon their death under certain circumstances, and for matters connected therewith.

Be it enacted by the President with the advice and consent of the Parliament of Singapore, as follows: —

Short title and commencement

1. This Act may be cited as the Parliamentary Pensions Act, 1969, and shall come into operation on such date as the President may, by notification in the Gazette, appoint.

Interpretation

2. In this Act, unless the context otherwise requires —

“Member” means a Member of Parliament and includes any person in receipt of the allowance of a Member of Parliament or the salary of the Prime Minister or of a Minister, Minister of State or Parliamentary Secretary;

“Parliament” includes Legislative Assembly;

“reckonable service” means service, on or after the 1st day of January 1955, in Parliament as a Member of Parliament or as the Prime Minister or as a Minister, Minister of State or Parliamentary Secretary;

“salary”, in relation to a Member, means the allowance payable to him in respect of his service as a Member of Parliament and includes, in addition, the salary payable to him in respect of his service as the Prime Minister or as a Minister, Minister of State or Parliamentary Secretary.

Pensions for Members

3.—(1) Subject to the provisions of this Act, a person who, after the date of the coming into operation of this Act, ceases to be a Member shall be granted a pension under this Act if he has completed ten years’ reckonable service (whether continuously or in two or more separate periods) when he so ceases and has then attained or thereafter attains the age of fifty years.

(2) A pension under subsection (1) of this section shall continue for the life of the person to whom it is payable but, except as provided in section 4 of this Act, shall not be payable in respect of any period during which he is again a Member and is in receipt of a salary in respect of his service as a Member.

(3) For the purpose of calculating the number of completed years of a Member’s reckonable service, all periods of reckonable service shall be aggregated.

Pensions for serving backbenchers who have held office as Prime Minister or Cabinet Minister

4.—(1) Notwithstanding the provisions of subsection (1) of section 3 of this Act, a Member who does not hold the office of Prime Minister, Minister, Minister of State or Parliamentary Secretary shall be granted a pension under this Act computed in the manner provided in section 5 of this Act, in addition to the allowance received by him in respect of his service as a Member of Parliament, if he —

(a)	has previously served as a Prime Minister or a Cabinet Minister for a period of not less than three years (whether continuously or otherwise);
(b)	has completed ten years’ reckonable service (whether continuously or in two or more separate periods); and
(c)	has attained the age of fifty years or upon his attaining that age.

(2) Where a Member who is granted a pension under the provisions of subsection (1) of this section (hereinafter in this Act referred to as a “backbencher”) exercises the option for a full pension or for a reduced pension with gratuity as provided for in section 7 of this Act, the option so exercised shall also apply when the pension is computed anew under the provisions of subsection (3) of this section.

(3) Where a backbencher, having received a pension under the provisions of subsection (1) of this section, ceases to be a Member, the pension then payable to him under this Act, in lieu of the pension under the said subsection, shall be computed anew in the manner provided in section 5 of this Act as if the period during which he received a pension under the said subsection had been continuous with all his reckonable service immediately prior to such period.

Rate of pension

5.—(1) Subject to subsection (3) of this section, the annual amount of pension payable to a Member or backbencher shall be —

(a)	in respect of every completed year of reckonable service, at the rate of one-thirtieth (¹/ ₃₀) of his annual salary; and
(b)	in respect of any remaining uncompleted year of reckonable service, at the rate of one-three hundred and sixtieth (¹/₃₆₀) part of his annual salary for each completed month of reckonable service:

Provided that the annual pension payable to any Member or backbencher shall not exceed two-thirds of his annual salary.

(2) For the purpose of this section, “annual salary” means —

(a)	where there has been no variation in the salary received by a Member throughout his reckonable service, the amount of annual salary received by him; or
(b)	where there have been one or more variations in the salary received by a Member (including a backbencher) during his reckonable service, one-third (¹/ ₃) of the total salary received by him in any thirty-six months (whether this period be continuous or otherwise) of his reckonable service when his salary was at its maximum point or points.

(3) For the purpose of computing the amount of pension payable to a Member or backbencher, there shall be excluded —

(a)	any salary, allowance or other monetary benefits received by him from any source other than his salary within the meaning of this Act;
(b)	any period during which he was a contributor to such scheme or the holder of such office as is referred to in section 6 of this Act.

Period of provident fund contribution to be included in calculation of reckonable service but not amount of pension

6. Where any person, while he is a Member or a backbencher —

(a)	continues to be or becomes a contributor to any scheme for the payment of any provident fund, gratuity or other superannuation benefit which is not provided for in this Act; or
(b)	continues to hold or commences holding any office in respect of which he is entitled to a pension, gratuity or allowance upon the termination of his service under any scheme which is not provided for in this Act,

any period during which he is such a contributor or holds such office shall be taken into account when calculating the length of his reckonable service but not for the purpose of computing the amount of any pension which may be payable to him under this Act.

Commutation of pension

7.—(1) Any person to whom a pension is granted under subsection (1) of section 3 or subsection (1) of section 4 of this Act may, at his option exercisable not later than thirty days after the date when he becomes entitled to such pension, be paid in lieu of the full pension so granted, a reduced pension at the rate of two-thirds (²/ ₃) of the full pension together with a gratuity equal to twelve and one-half (12¹/₂) times the annual value of one-third (¹/₃) of the full pension.

(2) The option for either a full pension or for a reduced pension with gratuity as provided for in subsection (1) of this section, once exercised, shall not be revoked.

(3) Where a person to whom subsection (1) of this section applies fails to exercise the option within the period specified in the said subsection, the President may grant a reduced pension with gratuity as provided for in the said subsection as if such person had exercised the option within such period.

Payment of pensions

8. Pensions under this Act may be paid monthly at the end of each month in which the pension falls due or at such other intervals as the President may determine either generally or in the circumstances of any particular case.

Gratuity payable on death of Member or backbencher under certain circumstances

9.—(1) Where, after the date of the coming into operation of this Act —

(a)	a Member dies either while serving as a Member or within one year from the date when he became entitled to receive a pension under subsection (1) of section 3 of this Act; or
(b)	a backbencher dies while in receipt of a pension under subsection (1) of section 4 of this Act,

there shall be paid to such of his dependants as the President may think fit, or if there are no dependants, to his legal personal representative, a gratuity of an amount equal to his annual salary, from which there shall be deducted any payment or payments of pension which may already have been made.

(2) For the purposes of subsection (1) of this section, “annual salary” shall have the same meaning as in subsection (2) of section 5 of this Act.

Pension or gratuity not to be assignable

10. A pension or gratuity granted under this Act shall not be assignable or transferable, except for the purpose of satisfying —

(a)	a debt due to the Government; or
(b)	an order of any Court for the payment of periodical sums of money towards the maintenance of the wife or former wife or minor child, whether legitimate or not, of the Member or backbencher to whom the pension has been granted,

and shall not be liable to be attached, sequestered or levied upon for or in respect of any debt or claim whatever except a debt due to the Government.

Pensions and gratuities to be paid out of Consolidated Fund

11. There shall be charged on and paid out of the Consolidated Fund all such sums of money as may from time to time be granted by way of pension or gratuity in accordance with this Act.

Regulations

12.—(1) The President may make regulations for or in respect of every purpose which is deemed by him necessary for carrying out or giving effect to this Act.

(2) All regulations made under this Act shall be published in the Gazette and shall be presented to Parliament as soon as may be after publication.

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