Watch: Mandatory social security strategy to cover more than 15 million self-employed – Noticias

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Watch: Mandatory social security strategy to cover more than 15 million self-employed – Noticias

7:40 CAT | 13 May 2021

File photo: Noticias

About 15 to 17 million self-employed workers are expected to be covered by the National Mandatory Social Security Strategy (ENSSO) launched in Maputo.

Speaking at a press conference on Wednesday, Jeremias Timana, secretary general of the National Confederation of Independent and Free Trade Unions in Mozambique (CONSILMO), said that the campaign aims to include self-employed workers in the contributory social security system.

The groups to be included in the mandatory social security contribution system include, among others, informal workers, top-level sportspeople and artists. According to Timana, the informal sector has the most people facing difficulty supporting their families.

Decree No. 14/2015 of 16 July sets the contribution rate at seven per cent of the remuneration chosen by the worker, which must not be less than the minimum wage of the respective activity sector.

The CONSILMO general secretary says that the self-employed statute is identical to the requirements for those employed by someone else, which makes implementation difficult, taking into account the different conditions characterising the two classes of workers.

“Normally, informal workers do not have an employer, and income is uncertain and irregular. Given that, mandatory monthly payment does not encourage enrolment, as informal workers hardly have the capacity to accumulate and manage money,” Timana says.

He pointed out as advantages of enrolment the increase of social protection, the long-term guarantee of the social welfare and the sustainability of the national social security system, thereby reducing precariousness among poor families.

Watch the TVM report below.