Home » Business » CNP Arrears in Social Contributions Climbs to 232.9 Billion FCFA, Putting Retirement of Employees at Risk

CNP Arrears in Social Contributions Climbs to 232.9 Billion FCFA, Putting Retirement of Employees at Risk

(Business in Cameroon) – According to data from the Technical Commission for the Rehabilitation of Public and Parapublic Sector Enterprises (CTR), as of December 31, 2022, the National Social Security Fund (CNPS), Cameroon’s public pension fund, claims to companies and other project management units, arrears in social contributions totaling 232.9 billion FCFA. On this envelope of arrears “of social security contributions payable, continuously increasing over the last three financial years», underlines the CTR in its latest report on the situation of public companies and establishments, “51.2% (compared to 45.8% in 2021) is owed by companies and projects in the State portfolio ».

In other words, at the end of 2022, companies and other projects falling within the portfolio of the State of Cameroon accumulate arrears in social contributions of just over 119 billion FCFA. This jeopardizes the retirement of many employees of these debtor entities. However, in practice, some of these employers actually deduct social security contributions from their employees’ salaries, without paying them back to the public pension fund. A withholding of rights which, over the years, thickens the envelope of arrears of social contributions claimed by the CNPS, despite the multiplication of initiatives aimed at recovering them.

Indeed, while they barely exceeded 60 billion FCFA in 2016, the arrears of social contributions claimed by the CNPS from local companies amounted to 201 billion FCFA at the end of August 2020. They peaked at 217 billion FCFA at the end of August 2020. first half of 2021, and reach nearly 233 billion FCFA at the end of 2022, according to official figures. Clearly, despite the methods of repression of insolvent employers such as forced recovery with sealing, or the withdrawal or refusal of passports, arrears of social security contributions owed by companies have almost quadrupled in Cameroon in 6 years.

According to CNPS data, around 7,000 out of 30,000 active companies are up to date with the payment of their employees’ social security contributions. Consequently, it is said within the public pension fund, “we have almost 16,000 social insurance people who we cannot support due to the fact that their employers are heavily indebted to the CNPS. (…) The situation has deteriorated so much that only a quarter of companies are in compliance ».

Brice R. Mbodiam

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2024-01-25 22:07:48
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