WAMCO’s pension contributions still pending as nonpayment nears two years

Waste Management Corporation (WAMCO) states the failure to deposit pension contributions—deducted from employees’ salaries—to the Pension Fund has not been resolved, although discussions are ongoing with relevant authorities to address the matter.

According to WAMCO, the company is currently working alongside the Finance Ministry and Maldives Pension Administration Office (MPAO) to rectify the situation. The failure to deposit these funds has at times prompted protests from some employees of the corporation.

WAMCO’s spokesperson told Sun that while employees’ salaries are being disbursed on schedule, the company continues to face significant challenges in depositing payments to the Pension Fund.

“Salaries have been paid regularly. Discussions are underway to resolve the Pension Fund issue. WAMCO, the Pension Office, and Finance Ministry are collaborating to find a solution,” the spokesperson said.

WAMCO previously attributed the issue to financial constraints arising from delays in receiving payments for its services. The corporation noted that a substantial amount remains outstanding from the Malé City Council, and efforts are underway to recover these funds through Finance Ministry.

Statistics from the Pension Office show that WAMCO last made a contribution to the Pension Fund in October 2024. In the 19 months preceding that payment, the corporation failed to deposit pension contributions. The failure to deposit these funds into pension accounts despite the seven percent deduction from employees’ salaries remains a major concern among staff.

Under the Maldives Pension Act, employers are required to contribute seven percent of pensionable wages, in addition to a seven percent deduction from employees’ salaries, resulting in a total monthly remittance of 14 percent to the Pension Fund. WAMCO acknowledged that the amounts deducted from salaries constitute a fundamental employee entitlement and emphasized that resolving the backlog—caused by ongoing revenue challenges—remains a top priority for the corporation.