24 May 2012

Many Tonga businesss operators worried by new superannuation charges

8:07 pm on 24 May 2012

There are concerns among business owners in Tonga about the new superannuation payments they will need to make from the beginning of July.

Private sector workers will pay five percent of their wages into the National Retirement Benefit Fund and employers will be required to contribute an additional five percent.

There is an opportunity for businesses to opt out of the payment regime for up to a year but the Chamber of Commmerce's Aloma Johansson says given the state of the economy most employers will find the extra payment difficult.

"That has been the immediate reaction from a majority - not all, there are some that are on board and are quite happy to do that but there are many also that find it as an extra cost to doing their business, facilitating their business."