NIC Economic Relief Programme Extended Until September 30

Prime Minister Allen Chastanet has announced the extension of the NIC Economic Relief Programme for three more months until September 30th.

The announcement was made in a post on his official Facebook page:

We know that there have been some challenges with the Economic Relief Programme and we want to assure everyone that the Government of Saint Lucia and the National Insurance Corporation is committed to ensuring that these issues are worked out so we can continue to provide a level of relief to Saint Lucians in these unprecedented times.

We must remember that the NIC decided to establish an Economic Relief Programme (ERP) to help its contributors who are negatively impacted by the COVID-19 pandemic to cushion the effects of the crisis. We have seen over the last three months many businesses closed, thousands of persons laid off while others have suffered significant loss of income.

The programme provides for the payment of a monthly sum equivalent to fifty percent (50%) of the insurable earnings of an affected insured person subject to a minimum of Five Hundred Dollars ($500.00) and a maximum of One Thousand Five Hundred ($1,500.00) for a period of up to three (3) months, in the first instance i.e. April to June 2020. These amounts are subject to deductions for financial assistance or any income received from the employer. As at June 25, 2020, the Corporation has paid the sum of $12,129,332.29 (12.12 million dollars) to 15,096 insured persons affected, at an average of $803.48.

While the programme was for an initial period of three months, it was always the intention of the NIC to consider extending the programme once the qualifying conditions were met.

The National Insurance Board considered the ongoing adverse impact of the COVID-19 pandemic on the business sector including the hotel sector which employs a significant percentage of its contributors.

Having satisfied itself that a sufficiently large number of its contributors would require some relief over the next three month, the NIC examined the affordability of the programme.

It would be recalled that the NIC’s decision to implement such a programme was rooted in sound financial and actuarial analysis and foremost in the mind of the Corporation was the need to ensure that the long term financial sustainability of the NIC was not compromised.

It would also be recalled that the NIC considered a number of scenarios and that the worst-case scenario for a 3-month period, if claims were received from 60% of contributors, was $80.2 million.

I am pleased inform you that the NIC has reported that the overall cost for a 6 months programme will remain within the cost originally forecasted as the worst case scenario for the initial 3 months.

What this means is that with a 3 month extension, the depletion of the Fund will not exceed the seven months previously reported by the NIC.

Given those two key factors – the business impact and the cost of the programme – and taking into account its mandate to provide income support to its contributors, the Board of the NIC decided to extend the Economic Relief Programme by three month to September 2020.

As a government we are pleased to support this extension and the requisite regulations have been enacted to give effect to it and provide some kind of relief for Saint Lucians.

9 COMMENTS

  1. That is great news. Thanks to NIC and the government of st.lucia. Now let’s get up to date on payments. We’re in July and I have only received money for April.

  2. All these talk about NIC good to hear but it’s talk talk and more talk.You telling me NIC so busy that they cannot process a payment in one month, 4 months and still people waiting.If is man power you’ll need there are enough unemply peopl in this country that can do better than the nonsense NIC saying about process.

  3. This is exactly what dishonest and unscrupulous politicians do. Just before an election they come bearing gifts. The people cries for help for their first four years in power were completely ignored. These same politicians, now elections are around the corner, think that they can fool the people with these insincere deeds. Don’t be fooled by these wolves in lamb’s clothing. Vote them out. When SLP gets into power and they behave likewise, vote them out. It’s time for the electorate to show these corrupt politicians who is BOSS.

  4. Up to now i cant recieve one payment from nic. And when to pay my paycheck deducting early. Call credit union nothing. Half of the work place getting half not getting. I need my money.

  5. Juke bois and UWP is bragging so much about that money ok… Question isn’t that money hard working citizens were contributing to the NIS/NIC ? So wats the hype . many ppl paid NIS and never got a dime either death or travel . so why’s the hype . government is just giving me my money back . also government invest our NIS funds but we don’t get interest . and not many ppl receiving money . so wats your point Juke bois and other UWP zelev .

  6. what about those persons who last worked right before the Corona and lost their jobs and also those who have been unemployed before the Corona, this has stretched those citizens to the max, so is government even considering giving those individuals a little incentive, cause everyone is in a struggle. and those are worse off cause in addition to been unemployed for a length of time. and have contributed to NIC previously. they now have to deal with Corona making it impossible to land a job. Government please consider along with NIC a relief for those persons as well.

  7. I have received nothing!!!!! Atfer 2 months of filing nothing!!!! Both my husband and I have lost our jobs. My son and his gf the same. IT CAN NEVER BE WORSE UNDER ANOTHER GOVT. I am tired and frustrated. never thought that allen chastanet and co were so corrupt and wicked

  8. Quick question!can any non NIC contributor confirm if they indeed got any monies from NIS as previously promised from the gov’t?

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