November 3rd marked the 33rd anniversary of the passage of the Social Security Act 1980 on November 3rd 1980, and it has been our tradition to celebrate this anniversary by holding a week of activities which is known as Social Security Week. Anniversaries are a good time to pause and do some reflection on the past, to do an analysis of the present, and as well as to do some forward thinking as to where we would like to be at some future date. I therefore propose to do a bit of all three in this brief address.
The Social Security Act was passed in the Anguilla House of Assembly after being piloted by then Chief Minister, the Honourable Ronald Webster. Mr. Webster believed that Anguilla should not be left behind while other Caribbean countries introduced Social Security systems during the 1960’s and 1970’s. He believed that Anguilla was neither too small, as others had suggested, nor possessed too under-developed an economy, to have a Social Security system of its own. He withstood opposition even from within his own government, and criticism from others in Anguilla who viewed the introduction of social security as the introduction of taxation by another name. However, he was resolute in his belief and in his determination, and the Act was accordingly passed in the House of Assembly. The machinery was then quickly put into place to make the Act functional, with a Board being appointed, an office set up, Regulations passed into law, island-wide registration commenced, and an appointed Day set for the implementation of the Social Security System on January 1, 1982. And the rest, as they say, is history. Today, the Social Security Building is named in Mr. Webster’s honour, but this is but a small act of recognition for his foresight and determination to introduce, for Anguilla, a social security system to meet the needs of present and future generations. A greater recognition will be the admiration and gratitude we all hold in our hearts for him and his unmatched contribution to the wellbeing of Anguillians past, present and future.
In the years since that date over 31 years ago, the Social Security System has taken deep roots and has grown substantially whilst producing much good fruit. The people of Anguilla have come to recognize the value of the social security system, both as a repository of national savings, and a provider of benefits to individual workers, their dependents, and their survivors. Those benefits include Old Age, Disability, Survivors, Sickness, Maternity and Funeral, and more recently, Old Age Non-Contributory Pension to persons over 68 who meet qualifying conditions including satisfying a means test. The System has also had, for all but the first four years of its existence, a Social Security Development Fund which has funded many socially desirable projects in sports, education, health, and youth and community development. One of the projects funded this year is a Public Assistance Programme which has provided food vouchers for a number of persons who have been economically challenged in these tough times. All of these elements have helped to solidify the Anguilla Social Security System as one which has performed well, and has meet and continues to meet the expectations of its founder and those it was created to serve. Many of those who have paid contributions over the System’s existence have received and continue to receive Social Security benefits, and many say, as one lady who, along with her children receive benefits after her husband’s death, told me just yesterday, “Thank God for Social Security!”
Today, the System is financially strong, with reserves in excess of EC$300 million, and an actuarial Fund Ratio of about 20, which indicates that it will not reach equilibrium until about 2033. Whether this projection will prove to be accurate however will depend on how quickly we have an economic recovery in Anguilla, with accompanying increases in employment and wage growth. The Board and Management of the Social Security System will continue to work hard to ensure that contributions are collected, surpluses properly invested, the benefits remain relevant, and that the System remains strong and sustainable into the future. Employers must continue to pay contributions on behalf of their workers, and the workers must be vigilant to ensure that monies are accurately paid in to the Fund on their behalf. And the Government and all other stakeholders must ensure that the fund is managed with effective corporate governance to ensure its continued viability.
In conclusion, I am drawn to the picture of Vallon Hodge-Richardson running the New York Marathon on Sunday November 3rd, coincidentally the 33rd anniversary of the passage of the Social Security Act, to raise money for the Anguilla Tennis Academy. Vallon is to be commended for completing that run, equivalent to running from the tip of West End to Windward Point and then back to the Valley in almost freezing conditions which must have been very strange to him, but completing the run nonetheless. That picture is a great reminder to us that the Social Security System is like a marathon rather than a sprint, with tough economic conditions and other challenges to contend with. We cannot look back at the successes of the past years and believe that we can now relax on our laurels, because the wellbeing of many future generations depends on our effective stewardship today.
I wish to extend my sincere gratitude, and that of the Board, Management and Staff of the Social Security Office, to all those who have played some part in the development of social security in Anguilla, particularly to employers and employees for their support over the years. Most of all though, I say thanks to Almighty God for His faithfulness in bringing us this far in this, our journey as we seek to “improve the quality of life for all”.
(Published without editing by The Anguillian newspaper.)
