NATION

Real Estate Agents Hint Closure

The Fiji National Provident Fund (FNPF) has revealed that some real estate companies, including some of the bigger agents, have told FNPF they may have to close their businesses if
25 Feb 2018 11:00
Real Estate Agents Hint Closure

The Fiji National Provident Fund (FNPF) has revealed that some real estate companies, including some of the bigger agents, have told FNPF they may have to close their businesses if they have to pay the contributions of employees on a commission basis dated back to 2011.

The workers, many of whom are in the real estate business, who had been paid on a commission basis have not had their superannuation contributions deducted by the companies since 2011.

FNPF has asked all defaulters to pay up

This was revealed by FNPF’s Manager Employers Peni Gonelevu after the conclusion of consultations carried out by the Real Estate Agents Licencing Board (REALB) in Nadi.

Mr Gonelevu said the law was in place even for those earning on a commission basis and those that have contracts drawn up with companies.

“We are now waiting on submissions to be filed to us by the Real Estate Agents Association of Fiji on what they were going to do or how they were going to pay,” Mr Gonelevu said.

“The complaint was raised by people in the industry.

“Those who are receiving money on commission basis have to pay FNPF contributions and that is and has been in the law.”

Mr Gonelevu said investigations by FNPF have revealed that some companies have two books when paying workers – one for those receiving normal pay and one for those on commission.”

When asked how much was being owed Mr Gonelevu replied “Some of these real estate companies just told me they may have to close down.

“Right now we are waiting on the submissions from REAAF.”

“The agents will suffer because they have to pay which means eight per cent from the employee’s side and 10 per cent from the employers.”

“The law has been clear on this and has been there but it’s just that they did not read it properly.”

Mr Gonelevu said this was a warning to companies who have been paying workers on commission basis or on contract.

REALB acting CEO Virisila Tuimanu confirmed that some companies may pay a substantial amount but it was for REAAF to draw up their submissions.

Edited by Naisa Koroi

 Feedback:  charles.chambers@fijisun.com.fj

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