KINGSTON, Jamaica— Sagicor Life Jamaica has allocated $40 million towards increasing the pension payment of retirees who have been negatively impacted by the COVID-19 pandemic.

According to a statement from Sagicor, the company gave up a portion of its pension fund investment fees to improve the retirement benefits of pensioners who retired between April and July this year and would have experienced a decrease in their portfolios due to the decline in asset values.

The company said some pensioners have received the increase as a one-time, lump sum payment, while others will receive it in their monthly pension, effective November 1, depending on the value of their allocation.

“Since the pandemic, stock markets worldwide have declined considerably, with the Jamaican stock market decreasing by some 28 per cent since the start of the year. This decline impacted the returns on pension plans based on their individual asset mix, which in turn affected the investment income applied to each member’s account,” the statement read.

Executive Vice President at Sagicor Life, Willard Brown, said the move, which gives a boost to some of the affected retirees accounts, was made out of recognition of the challenges being faced due the current unprecedented circumstances.

“We have been paying attention to the concerns of all our stakeholders who have been impacted by the pandemic and are cognisant that some pensioners retiring at this time would have experienced the negative effects resulting in the decrease in their pensions. At Sagicor, we believe wholeheartedly in doing the best we can to give support during this difficult time and want to ensure the best possible outcomes for our pensioners,” he said.

 “We know that persons who are retiring during this time may have limited options in recovering this reduction in their retirement income, and so we hope that providing this boost as they transition from employment, will help to make a difference in the quality of their retirement journey,” he added.