Labour Ministry Eyes Digital Benefits Platform

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By: Aminata Sesay

The Ministry of Employment, Labour and Social Security is exploring a digital platform to strengthen compliance with end-of-service benefits provisions under Section 25 of the Employment Act 2023, while addressing concerns raised by employers and workers over the implementation of the law.

The proposal was discussed on Tuesday, 27 October 2026, when the Minister of Employment, Labour and Social Security, Umaru Napoleon Koroma, met representatives of the Labour Congress, the Employers’ Federation, the Ministry and Smart Systems (SL) Ltd in Freetown.

The engagement followed a directive issued by the Minister two weeks earlier for a notice on the implementation of the legal provision to be circulated. Subsequent feedback from employers and workers prompted requests for clarification and discussions on practical ways to ensure effective implementation.

Koroma emphasised the importance of consultation and collaboration in implementing the law, noting that the process must protect workers’ entitlements while taking into account the legitimate concerns of employers. He also stressed that employers and employees depend on each other, making cooperation essential to business sustainability and economic growth.

During the meeting, Mahmoud A. Idris, Executive Chairman of Smart Systems (SL) Ltd, presented and demonstrated a proposed digital End-of-Service Benefits Platform designed to improve the administration, monitoring and accountability of employers’ benefit obligations.

The proposed system would bring employers, employees, trustees, fund managers and the Ministry onto a single digital platform. Its features include registering relevant parties, calculating benefit liabilities, tracking funds and generating compliance reports.

According to the presentation, the system would automatically calculate employers’ end-of-service benefit obligations using employee and salary records, reducing the risk of errors associated with manual calculations.

The platform would also include a recognition ledger for recording accrued liabilities, approval procedures to strengthen accountability, and investment management tools to track returns on funds set aside for workers’ benefits.

In addition, the system is expected to help the Ministry monitor employers’ obligations, contributions, investment returns and funding shortfalls. These reports could enable the Ministry to identify gaps between the benefits employers owe their workers and the funds available to meet those obligations.

Idris explained that the platform would support progressive compliance monitoring, recognizing that employers might need time to meet the applicable funding requirements. A phased implementation approach was discussed, including a proposed benchmark of at least 7.5 per cent of liabilities by 2029, with progress measured against relevant compliance targets.

However, stakeholders raised concerns about existing practices that could complicate implementation. These included employers paying end-of-service benefits annually at employees’ requests, granting loans to workers in anticipation of future benefits, and the risk of funds being withdrawn or diverted after they had been deposited.

Participants highlighted the need for clear guidelines and adequate safeguards to ensure that funds intended for workers’ end-of-service benefits are properly managed, protected and accounted for.

Koroma reaffirmed the Ministry’s commitment to enforcing the Employment Act 2023 while engaging employers, workers and other stakeholders to address practical challenges associated with its implementation.

He also acknowledged that discussions on the issue had begun before his tenure, stressing the importance of building on previous efforts rather than starting afresh.

The proposed digital platform forms part of broader efforts to strengthen labour administration and improve compliance with employment legislation. If implemented effectively, it could provide the Ministry with a more systematic way to monitor employers’ obligations, identify compliance gaps and improve accountability in the management of workers’ end-of-service benefits.

Further consultations and implementation arrangements will determine how the proposed platform is adopted and how the concerns raised by employers and workers are addressed.

 

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