Former Prime Minister, Voreqe Bainimarama told High Court Judge Justice Daniel Goundar in a special court hearing this morning that his pension should have been calculated based on his full salary, not the 20 percent reduced rate implemented during the COVID-19 pandemic.
Taking the stand in his pension and gratuity case, Bainimarama states that the temporary pay cut introduced in 2020 was not reversed and that it was unfair for his retirement benefits to be calculated based on the suspended amount.
Defence lawyer, Devanesh Sharma confirmed that the salaries of the Prime Minister, Ministers and Assistant Ministers were cut by 20 percent from 27th March 2020 to 31st December 2020.
When asked why the salary was not reinstated afterward, Bainimarama says it was not the right time due to the ongoing impact of COVID-19.
Before the reduction, Bainimarama’s salary was $328,750.
He says Parliament had endorsed the determination as the agenda was to assist people during the hard times of COVID-19.
State Counsel, Ofa Solimailangi asked whether Bainimarama had written to the Secretary General of Parliament to request a salary reinstatement, as he/she determines how salaries will be made.
He could not recall doing so.
He also mentioned that there was no motion passed to extend the determination.
The State witnesses didn’t attend today’s hearing as they were at work.
Bainimarama has sued the government for miscalculating his pension and gratuity entitlements.
He claims that his pension should have been $246,562.50 annually, but was instead reduced to $184,921.87.
He also alleges that the gratuity payment was reduced and should have been $770,507.87, but he was paid $433,296.75.
The former Prime Minister is seeking the remaining gratuity balance with a 13.5 percent annual interest.
The defence counsel has clarified that they are leaving the interest rate to the court.
The continuation of the hearing is adjourned to the 16th of August.
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