B M Monyatsi Inc

06/10/2026

The issues relating to pension funds can be complicated—whether you are an employee looking for clarity regarding your benefits, an employer dealing with compliance obligations, or a fund administrator handling the regulatory requirements.

We provide practical, solution-driven legal assistance across the pension funds landscape, including:

• Member Benefit Disputes.
• Compliance and Regulatory Services.
• Assistance with matters before the Office of the Pension Funds Adjudicator
• Opinion and Advisory Services.

Our goal is to help employees, employers and fund administrators to understand their rights and obligations, navigate regulatory requirements, and address pension fund matters with accuracy and certainty.

Contact us today to discuss how we can help you resolve your disputes efficiently and effectively.

06/10/2026

We provide dispute resolution services to our corporate clients, designed to minimise exposure, strengthen their legal positions, and pursue the most effective route to resolution.

Our services include:

▪ Pre-dispute advice and risk assessment
▪ Litigation
▪ Arbitration
▪ Mediation
▪ Legal opinions and advisory services

Contact us today to discuss how we can help you resolve your disputes efficiently and effectively.

20/07/2026

Employers of fund members are mandated by the Pension Fund Act, 1956 (”PFA”) to deduct member contributions from employees’ salaries and pay them to the fund. Failure to do so can lead to criminal and personal liability for employers. This article looks at the consequences of non-compliance and the personal liability imposed on directors for failing to comply with S13A of the PFA.

Our pension fund practice helps employers, human resource professionals and compliance officers to understand their legal duties towards contributions and compliance, turning complex legal obligations into practical, risk‑reducing actions.

PERSONAL LIABILITY FOR NON COMPLAINCE WITH S13A OF THE PENSION FUND ACT.

In the matter of Engineer Industries Pension Fund, Metal Industries Provident Fund and Installair (Pty) Ltd (in liquidation), Paolo Rinalda Orso, Sandra Martha Orso (1633/2023) [2025] ZAWCHC 8 the court had to decide whether to hold the directors of a company personally liable in terms of S13A(8) and S13A(9) of the Pension Fund Act (“PFA”). There is a prevalent trend of employers failing to pay their contributions and members' contributions to funds as required by the PFA. This non payment is detrimental to members as it has a negative effect on their benefits.

BACKGROUND
Installair (Pty) Ltd (“employer”) was in the process of liquidation. Paolo Rinalda Orso (“second respondent”) and Sandra Martha Orso (“third respondent”) were the directors of the company. The employer had failed to submit contribution schedules containing the member data, which a fund relies on to reconcile payments of contributions, to the Engineering Industries Fund and the Metal Industries Provident Fund (“the Applicants”) The Applicants approached the court in terms of S13A(1), S13A(7), S13A(8), S13A(9) and Regulation 33 to hold the directors of the employer, the second and third respondents, personally liable for outstanding contributions.
The employees/members received salaries that reflected that their contributions towards their pension and provident were deducted. The deductions were made but not paid to the Applicants and the members did not receive their benefits. The first and second respondents argued that the personal liability of the directors only arose after having regard to the circumstances that led to the breach of the employer and directors’ duties and the extent to which the directors were responsible for those circumstances. The respondents also argued that because the third respondent was not involved in the employer's business, she should not be personally liable for the outstanding contributions.

APPLICABLE LAW - S13A PFA
Section 13A of the PFA regulates the processes and timeframes regarding payment of contributions and other benefits.
S13A(1) imposes a statutory obligation on an employer of any member of a fund to pay contributions to the fund that are deducted from a member's salary and to pay contributions that are due by the employer.
S13(2) provides that schedules of the contributions must accompany the contributions when submitted to the fund. If not, the employer has 15 days within which to submit same.
S13A(7) provides that interest will be levied on contributions that are paid after the 7th of the month as set out in S13A(3)(a)(i)
S13A(8) provides for personally liability of compliance with S13A on the following persons:
• S13A(8)(a ) personal liability on the directors of a company,
• S13A(8)(b) personal liability on the members who control a close corporation,
• S13A(8)(c) personal liability on person or people “who controls or is regularly involved in the management of the employers' overall financial affairs.
The Financial Services Laws General Amendment Act, 2013 reintroduced criminal sanctions for non compliance with S13A of the PFA by adding S13A (8), (9), and (10) to allow for liability to those who are in control or regularly involved in the management of the employer’s financial affairs.
The Applicants approached the court because they wanted the schedules for the outstanding months to calculate the contributions that were due to them by the employer and to calculate the interest that was due. The court held that S13A (8) (a) imposed personal liability for the employers’ debts “without the need to pierce the corporate veil.” And found that the respondents were liable.

CONCLUSION
This judgment is significant because it reinforces the principle that employers must adhere to their responsibilities regarding contributions as prescribed by S13A. The judgment holds the employer accountable regardless of the company's financial status, allowing the members to peruse legal action against the employer in their personal capacity. It helps to safeguard the members' benefits and affords them recourse and a chance of receiving what is due to them. Employees of the employer, who are responsible for the financial management of the company, will be encouraged to prioritise compliance with the Act, promote responsibility in handling members contributions and reduce the rampant non compliance with S13A. The judgment is a constructive development for members.

16/06/2026

Employers — are you meeting your pension fund obligations?

In South Africa, employers have a legal duty to ensure pension fund compliance for employees who are members of a fund. This legal and administrative responsibility extends beyond ticking boxes; it safeguards employees’ benefits and financial security at retirement.

These obligations arise from the Pension Funds Act (“PFA”) and oversight by the Financial Sector Conduct Authority (“FSCA”).

⚖️ Member Contributions – employers are obliged to pay the member contributions and employer contributions to the fund timeously every month by making payment into the fund’s bank account.

⚖️ Payment Schedules – employers are obligated to submit payment schedules to the Fund timeously monthly. The schedules must record the minimum information required by the FSCA Conduct Standard 1 of 2022.

⚖️ Employers should facilitate communication and bridge any gaps between the fund and employees regarding employee member contributions and benefits to ensure that employees are aware of and understand the benefits which they are entitled to. These include statements from the fund and understanding their contributions.

⚖️ Employers are mandated to maintain accurate records of contributions and schedules.

⚖️ Employers who fail to comply with these legal and administrative duties can be held liable in terms of the PFA and face criminal sanctions.

Our pension fund practice helps employers, Human Resource professionals and compliance officers to understand their legal duties regarding contributions, record-keeping and facilitating communication with employees, turning complex legal obligations into practical, risk‑reducing actions.

20/01/2026

The Government Employees Pension Fund (GEPF) stands as Africa’s largest pension fund — safeguarding the retirement security of over 1.2 million members and pensioners.

Here are a few important points about the GEPF:


Fund Law
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07/01/2026

We are back at the office. As we enter this new year, we are excited about the opportunities ahead to set bold goals, collaborate, and drive meaningful impact. 2025 taught us agility and adaptability — qualities we believe will define success in 2026.

Here’s to building stronger partnerships, achieving ambitious goals, and creating value together. Wishing our clients and colleagues a year filled with growth, prosperity, and breakthroughs.

02/12/2025

21/10/2025

Section 13A of the Pension Fund Act: Enforcement and Employer Liability.

The rate of non-compliance with section 13A of the Pension Fund Act, 1956, duty to pay members' contributions to the fund administrator, remains extremely high. The Financial Services Conduct Authority released a press statement dated 25 September 2025 setting out the names of defaulting employers that have contravened section 13A. There is a 50% increase in non-compliant employers regarding contributions and late payment interest since December 2023, which is driven by the inclusion of two of the largest retirement funds in the industry – the Auto Workers Provident Fund and the Motor Industry Provident Fund.

Legislation

Section 13A(9)(a) requires the fund to ask the employer to identify of the responsible person, those who will be personally liable for compliance. Section 13A (8) describes these individuals based on the employer's legal status:

“(a) If an employer is a company, every director who is regularly involved in the management of the company’s overall financial affairs;

(b) if an employer is a close corporation registered under the Close Corporations Act, 1984 (Act 69 of 1984), every member who controls or is regularly involved in the management of the close corporation’s overall financial affairs; and

(c) In respect of any other employer of any legal status or description that has not already been referred to in paragraphs (a) and (b), every person in accordance with whose directions or instructions the governing body or structure of the employer acts or who controls or who is regularly involved in the management of the employer’s overall financial affairs.”

The persons listed above, who contravene or fail to comply with section 13A, are guilty of an offence and liable on conviction to a fine not exceeding 10 years, or to both such fine and such imprisonment.

The Conduct Standard 1 of 2022 requires the principal officer of a fund to inform the board of continued non-compliance and lay a criminal charge with the South African Police Services against the person who will be personally liable for the non-compliance with section 13A.

Conclusion

Non-compliance has severe consequences: members’ benefit values on termination of employment are diminished, while employers face late payment interest and both civil and criminal action, reinforcing the importance of employers fulfilling their obligations under section 13A.

17/07/2025

Our director has volunteered to speak at the Lady Liberty SA workshop, an organization that provides basic legal knowledge and services to marginalised women who often lack access to legal services.

The law and its process can be complicated and overwhelming for people without legal training. By sharing legal education and resources, we help individuals know and understand their rights and how to ensure that these rights are implemented and enforced.
Saturday, 19 July 2025.

JusticeWellnessDay

11/04/2025

On 8 and 9 April 2025, we attended the Pension Lawyers Association (PLA) Conference. This annual event brings together leaders and stakeholders in the retirement industry including attorneys, trustees, administrators, and asset managers. Some delegates travelled from neighbouring Zimbabwe and Lesotho. This facilitated cross border dialogue and collaboration of ideas and solutions to regional challenges.

The speakers at the conference, who are industry leaders, discussed the latest statutory and regulatory developments, as well as judgments that have set precedents. They provided insights into the significance and future implications of these developments.

The topics covered at the conference included:

💡 Trustee's fiduciary duties and climate change,
📚 Financial Services Tribunal and the Adjudicators latest determinations,
💡 S37C death benefits distribution and beneficiaries,
⚖️ Pension interest on divorce under the two-pot system,
💡 Arrear contributions and late payment interest of contributions which is a constant challenge for Funds.

There was a fascinating discussion on Cybersecurity and funds informed by the Hawarden v ENS Inc. matter, which made many law firms review our cybersecurity competencies.

There were also insightful presentations from the Office of the Pension Fund Adjudicator and the Prudential Authority also shared the great work they are doing.

The PLA Conference is essential for pension fund practitioners to stay informed about changes in the legal landscape, which is essential for compliance and risk management. Overall, the PLA Conference is a critical platform for learning, collaboration, and staying informed about important issues in the pension fund industry and to connect with colleagues across the ecosystem.

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Choose B M Monyatsi Inc. to navigate your legal challenges with experience, knowledge, and reliability.