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Charles Jr announces hike in pension benefits
Minister of Labour and Social Security Pearnel Charles Jr makes his contribution to the 2025/26 Sectoral Debate in the House of Representatives on Tuesday, May 13. Seated beside him is minister of state in the ministry, Norman Dunn. (Photo: JIS)
News
May 14, 2025

Charles Jr announces hike in pension benefits

Increases in pension benefits under the National Insurance Scheme (NIS), an expansion of the Programme of Advancement Through Health and Education (PATH), and fine-tuning of the announced $1-billion Solidarity Programme that will benefit the most vulnerable Jamaicans were outlined in Parliament on Tuesday.

Minister of Labour and Social Security Pearnel Charles Jr made the announcements and provided updates, in a wide-ranging contribution to the 2025/26 Sectoral Debate.

He told the House that the value of assets held by the National Insurance Fund (NIF) has grown 17 per cent from $194 billion in March 2024 to $227 billion in March 2025. In light of the performance of the NIF, and based on the recent actuarial review, all NIS pensioners will receive an increase in pension benefits.

Effective April 1, 2025, old age widows, widowers, and invalidity pensions will be increased as follows:

• From $4,200 per week to $4,620 per week

• From $3,500 to $3,850 per week; and

• From $3,000 to $3,300 per week.

The grant paid will be increased from $60,000 to $65,000 while the special child and orphan pension will increase from $6,000 to $6,600 per week and the grant from $75,000 to $80,000.

Sugar workers’ pension will move from $3,000 to $3,300 per week and the funeral grant from $150,000 to $160,000.

Charles Jr, said the maternity grant, which is pegged to the national minimum wage, will see domestic workers receiving a grant of $16,000, effective June 1.

Meanwhile, he said the Technical PATH Review Committee composed of local experts working in tandem with international partners to guide the development of a more inclusive and relevant approach to the identification of beneficiaries was close to completing its work.

“Through partnership with the World Bank, we’re now completing a comprehensive assessment of PATH,” he said.

He shared that while his ministry awaits a final report, in the interim, families, whose benefits were interrupted will resume receiving their benefits within the next three payment cycles. This, potentially, will affect several thousand families.

The labour minister also said steps are being taken to remove the digital barrier, remarking that “technology for us means it must enable, not impede service delivery”.

He shared that his ministry has implemented an accelerated strategy to transition PATH applications from provisionally-approved status within the last 12 months, to registered status. This means thousands of households that have been waiting will now be transitioned with urgency. Already, more than 600 families have been identified and transitioned and will start receiving PATH benefits by June this year.

Charles Jr said the current financial year will see a significant increase in the value of tertiary bursaries and post-secondary grants offered to students in PATH households. The funding under this component of PATH has been increased by over 54 per cent from $479 million in the 2024/25 financial year to $740 million in the 2025/26 financial year.

“This is going to significantly improve the lives of thousands of families across Jamaica,” he said.

Providing an update on the $1-billion Solidarity Grant initiative that will see beneficiaries receiving a one-off payment of $20,000, he said it was being fine-tuned.

Those who will benefit are youth not engaged in education or employment; elderly people in need and are not on social pension or receiving a pension; people with disabilities who are facing hardship; medically indigent individuals; low income informal workers in need; and micro businesses affected by disaster.

Charles Jr said the ministry will utilise the same platform that was used to deliver benefits under the CARE programme during the COVID-19 pandemic.

To identify beneficiaries, Members of Parliament will work directly with the solidarity team to identify at least 300 eligible beneficiaries each. Solidarity liaison officers will conduct targeted outreach and support through orientation sessions and by working closely with NGOs, community leaders, service clubs and churches to ensure inclusion of those most in need.

Additionally, individuals will have the opportunity to apply independently through the Solidarity digital platform.

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