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<title>Social Security Programs Throughout the World: Africa, 2015 - Tanzania</title>
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<h1>Social Security Programs Throughout the World: Africa, 2015</h1>
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<h1>Tanzania</h1>
<div class="exchangeRate">Exchange rate: <abbr class="spell">US</abbr>$1.00&nbsp;= 1,730&nbsp;shillings.</div>
<h2>Old Age, Disability, and Survivors</h2>
<h3>Regulatory Framework</h3>
<p><span class="h4">First laws:</span> 1964 (provident fund) and 1997 (social insurance), implemented in 1998.</p>
<p><span class="h4">Current laws:</span> 2008 (establishment of the regulatory authority), 2012 (social security), and 2014 (harmonization of rules)</p>
<p><span class="h4">Type of program:</span> Social insurance system.</p>
<p><span class="h5">Note:</span> The 2014 Social Security Schemes Rules harmonized five mandatory pension schemes (including the public sector). The information given applies to all schemes unless otherwise stated.</p>
<h3>Coverage</h3>
<p>Employed and self-employed persons.</p>
<p>Voluntary coverage is available.</p>
<h3>Source of Funds</h3>
<p><span class="h4">Insured person:</span> 10% of gross salary.</p>
<p>The insured person's contributions also finance cash maternity benefits, medical benefits, funeral grants, and work injury benefits.</p>
<p><span class="h4">Self-employed person:</span> May voluntarily contribute an amount negotiated with the scheme to which the person is affiliated.</p>
<p>The self-employed person's contributions also finance cash maternity benefits, medical benefits, funeral grants, and work injury benefits.</p>
<p><span class="h4">Employer:</span> 10% of gross payroll. The employer may contribute at a higher rate up to 20%.</p>
<p>The employer's contributions also finance cash maternity benefits, medical benefits, funeral grants, and work injury benefits.</p>
<p><span class="h4">Government:</span> None; contributes as an employer.</p>
<h3>Qualifying Conditions</h3>
<p><span class="h4">Old-age pension:</span> Age&nbsp;60 with at least 180&nbsp;months of contributions.</p>
<p>Employment must cease.</p>
<p>Early pension:&nbsp;Age&nbsp;55 with at least 180&nbsp;months of contributions.</p>
<p>Deferred pension: A deferred pension is possible. There is no maximum age.</p>
<p><span class="h4">Old-age grant:</span> Age&nbsp;60 with less than 180&nbsp;months of contributions.</p>
<p>Employment must cease.</p>
<p><span class="h4">Disability pension:</span> Must be assessed with at least a&nbsp;66.7% loss of earning capacity and have at least 180&nbsp;months of contributions or 36&nbsp;months of contributions, including at least 12&nbsp;months in the 36&nbsp;months immediately before the disability began.</p>
<p>A medical board of doctors appointed by the Ministry of Health assesses the disability. A medical examination by a medical board may be required.</p>
<p><span class="h4">Disability grant:</span> Paid if the insured is assessed with at least a 66.7% loss of earning capacity but has less than 180&nbsp;months of contributions.</p>
<p><span class="h4">Survivor pension:</span> The deceased received or was entitled to receive an <span class="nobr">old-age</span> or disability pension.</p>
<p>Eligible survivors include a <span class="nobr">widow(er)</span> and children younger than age&nbsp;18 (age&nbsp;21 if a <span class="nobr">full-time</span> student, no limit if disabled). If there is no surviving spouse or child, the deceased's parents may be eligible.</p>
<p>The <span class="nobr">widow(er)'s</span> pension ceases on remarriage.</p>
<p><span class="h4">Survivor grant:</span> The deceased was not entitled to receive an <span class="nobr">old-age</span> or disability pension at the time of death.</p>
<p>Eligible survivors include a <span class="nobr">widow(er)</span> and children younger than age&nbsp;18 (age&nbsp;21 if a <span class="nobr">full-time</span> student, no limit if disabled). If there is no surviving spouse or child, parents of the deceased may be eligible.</p>
<p><span class="h4">Funeral grant:</span> The insured had at least one month of contributions and was employed at the time of death. The grant is paid to the person who pays for the funeral.</p>
<h3>Old-Age Benefits</h3>
<p><span class="h4">Old-age pension:</span> The monthly pension is calculated by multiplying the accrual rate of 1/580 by the number of contribution months times the insured's Annual Pensionable Emoluments (APE) divided by 12. If the insured person chooses to receive part of the pension as a lump sum, the pension is calculated using 75% of APE. The lump sum is calculated by multiplying the accrual rate of 1/580 by the number of contribution months by 25% of the APE multiplied by a commutation factor of 12.5.</p>
<p>APE is the insured person's average annual earnings in the best three of the last 10&nbsp;years before retirement.</p>
<p>The above rules apply to all persons first contributing to one of the five schemes on or after July&nbsp;1, 2014, and all existing members of the National Social Security Fund, the PPF Pensions Fund, and the GEPF Retirement Benefits Fund who retire on or after July&nbsp;1, 2014. Different rules apply to insured persons who were members of the LAPF Pensions Fund and the Public Service Pensions Fund on June&nbsp;30, 2014.</p>
<p>The minimum pension is 40% of the legal monthly minimum wage according to eight sectors.</p>
<p>The legal monthly minimum wage ranges from 100,000&nbsp;shillings to 350,000&nbsp;shillings, according to eight industry sectors.</p>
<p>The maximum pension is 72.5% of the insured's monthly earnings used to calculate the pension.</p>
<p>Early pension: The pension is reduced by 3.6% of the insured's earnings used to calculate the pension for each <span class="nobr">12-month</span> period the pension is taken before age&nbsp;60. The pension must at least equal the minimum pension.</p>
<p>Deferred pension: Calculated in the same way as the <span class="nobr">old-age</span> pension.</p>
<p>The insured receives credit for previous contributions made to the National Provident Fund.</p>
<p>Benefit adjustment: The benefits are reviewed periodically and may be adjusted according to the actuarial valuation of the schemes' funds.</p>
<p><span class="h4">Old-age grant:</span> The grant is the average of the last 60&nbsp;months of contributions before retirement multiplied by the number of months of contributions.</p>
<h3>Permanent Disability Benefits</h3>
<p><span class="h4">Disability pension:</span> The pension and lump sum are calculated in the same way as the <span class="nobr">old-age</span> pension.</p>
<p>The minimum pension is 40% of the legal monthly minimum wage.</p>
<p>The legal monthly minimum wage ranges from 100,000&nbsp;shillings to 350,000&nbsp;shillings, according to eight sectors.</p>
<p>The maximum pension is 72.5% of the insured's average monthly covered earnings.</p>
<p>The disability pension may be replaced by an <span class="nobr">old-age</span> pension at age&nbsp;60 if the value of the <span class="nobr">old-age</span> pension equals or exceeds the disability pension.</p>
<p><span class="h4">Disability grant:</span> A lump sum is paid.</p>
<p>Benefit adjustment: The benefits are reviewed periodically and may be adjusted according to the actuarial valuation of the schemes' funds.</p>
<h3>Survivor Benefits</h3>
<p><span class="h4">Spouse's pension:</span> 100% of the <span class="nobr">old-age</span> or disability pension the deceased received or was entitled to receive is paid to a <span class="nobr">widow(er)</span> without dependent children; 40% if an orphan's benefit is also paid. If there is more than one widow, the pension is split equally. The survivor may choose to receive part of the pension as a lump sum. The lump sum is calculated by multiplying 25% of the insured's Annual Pensionable Emoluments (APE) by a commutation factor of 12.5.</p>
<p>APE is the insured person's average annual earnings in the best three of the last 10&nbsp;years before retirement.</p>
<p>The <span class="nobr">widow(er)'s</span> pension is paid for two years if the <span class="nobr">widow(er)</span> is younger than age&nbsp;45 or does not have a dependent child younger than age&nbsp;15 at the time of the insured's death.</p>
<p>The minimum pension is 40% of the legal monthly minimum wage according to eight sectors.</p>
<p>The legal monthly minimum wage ranges from 100,000&nbsp;shillings to 350,000&nbsp;shillings, according to eight industry sectors.</p>
<p>The maximum pension is 72.5% of the insured's average monthly covered earnings.</p>
<p><span class="h4">Orphan's pension:</span> 60% of the <span class="nobr">old-age</span> or disability pension the deceased received or was entitled to receive is split equally among eligible children; 100% for full orphans.</p>
<p><span class="h4">Parent's pension:</span> If there are no other eligible survivors, 100% of the <span class="nobr">old-age</span> or disability pension the deceased received or was entitled to receive is paid.</p>
<p><span class="h4">Survivor grant:</span> A lump sum&nbsp;of 12&nbsp;months of the <span class="nobr">old-age</span> or disability grant the deceased received or was entitled to receive is paid.</p>
<p><span class="h4">Funeral grant:</span> A lump sum of 150,000&nbsp;shillings to 600,000&nbsp;shillings is paid, depending on the amount of monthly contributions.</p>
<p>Benefit adjustment: The benefits are reviewed periodically and may be adjusted according to the actuarial valuation of the schemes' funds.</p>
<h3>Administrative Organization</h3>
<p>Ministry of Labour and Employment (http://www.kazi.go.tz) provides general supervision.</p>
<p>Social Security Regulatory Authority (http://www.ssra.go.tz) regulates and supervises the performance of all social security programs.</p>
<p>National Social Security Fund (http://www.nssf.or.tz), PPF Pensions Fund (http://www.ppftz.org), GEPF Retirement Benefits Fund (http://www.gepf.or.tz/), LAPF Pensions Fund (http://www.lapftz.org/), and Public Service Pensions Fund (http://www.pspf-tz.org/ ) administer the programs.</p>
<h2>Sickness and Maternity</h2>
<h3>Regulatory Framework</h3>
<p><span class="h4">First and current law:</span>&nbsp;1972 (social insurance); 1997 (social insurance), implemented in 2005; 2003 (national health policy); 2004 (employment); and 2009 (health).</p>
<p><span class="h4">Type of program:</span> Social insurance and employer-liability system.</p>
<h3>Coverage</h3>
<p><span class="h4">Cash sickness benefits (employer liability):</span> Employed persons.</p>
<p><span class="h4">Cash maternity benefits (social insurance):</span> All employed and self-employed persons.</p>
<p>Voluntary coverage is available.</p>
<p><span class="h4">Medical benefits (social insurance):</span> Employed and self-employed persons.</p>
<h3>Source of Funds</h3>
<p><span class="h4">Insured person</span></p>
<p><span class="h5">Employer liability program:</span> None.</p>
<p><span class="h5">Social insurance program:</span> See source of funds under Old Age, Disability, and Survivors.</p>
<p><span class="h4">Self-employed person</span></p>
<p><span class="h5">Employer liability program:</span> Not applicable.</p>
<p><span class="h5">Social insurance program:</span> See source of funds under Old Age, Disability, and Survivors.</p>
<p><span class="h4">Employer</span></p>
<p><span class="h5">Employer liability program:</span> The total cost.</p>
<p><span class="h5">Social insurance program:</span> See source of funds under Old Age, Disability, and Survivors.</p>
<p><span class="h4">Government</span></p>
<p><span class="h5">Employer liability program:</span> None.</p>
<p><span class="h5">Social insurance program:</span> See source of funds under Old Age, Disability, and Survivors.</p>
<h3>Qualifying Conditions</h3>
<p><span class="h4">Cash sickness benefits (employer liability):</span> Must have been employed with the same employer for at least six months in the <span class="nobr">12-month</span> period before the sickness began or be employed on a seasonal basis by the same employer. Must have a medical certificate, and must not be entitled to receive paid sick leave from any other sources.</p>
<p><span class="h4">Cash maternity benefits (social insurance):</span> Must have at least 36&nbsp;months of contributions including at least 12&nbsp;months in the 36&nbsp;months immediately before the expected date of childbirth. Cash maternity benefits are paid to an insured woman only once in each three-year period.</p>
<p><span class="h4">Cash paternity benefits (employer liability):</span> Must have been employed with the same employer for at least six months in the <span class="nobr">12-month</span> period before the birth or be employed on a seasonal basis by the same employer. Must be the father of the child and take the leave within seven days of the birth.</p>
<p><span class="h4">Medical benefits (social insurance):</span> Must have at least three months of contributions immediately before the medical problem began.</p>
<h3>Sickness and Maternity Benefits</h3>
<p><span class="h4">Sickness benefit (employer liability):</span> Up to 126&nbsp;days are paid within a three year period. 100% of the employee's earnings is paid for the first 63&nbsp;days; 50% thereafter.</p>
<p><span class="h4">Maternity benefit (social insurance):</span> 100% of the insured woman's average daily wage in the six months before the 20th week of pregnancy is paid for up to 12&nbsp;weeks in one or two parts: four weeks before and eight weeks after childbirth (four weeks after childbirth for a stillborn child). Maternity care is provided from the 24th week of pregnancy and ceases two days after childbirth; seven days after childbirth for a caesarean section; up to 12&nbsp;weeks if prolonged care is necessary.</p>
<p><span class="h4">Paternity benefit (employer liability):</span> 100% of the employee's earnings is paid for up to three days in a three year period irrespective of the number of children fathered.</p>
<h3>Workers' Medical Benefits</h3>
<p><span class="h4">Medical benefits:</span> Benefits include preventive and curative care, essential drugs, laboratory tests, medical imaging, hospitalization, major and minor surgery, physical therapy, and some optical and dental services.</p>
<p>Government programs provide free care for immunizations, tuberculosis, <abbr class="spell">HIV</abbr>/<abbr>AIDS</abbr>, leprosy, cancer, epidemics, mental illness, and diabetes mellitus.</p>
<h3>Dependents' Medical Benefits</h3>
<p>Medical benefits for dependents are the same as those for the insured.</p>
<p>Eligible dependents include the spouse and up to four of the insured's children younger than age&nbsp;18 (age&nbsp;21 if a <span class="nobr">full-time</span> student).</p>
<h3>Administrative Organization</h3>
<p>Ministry of Labour and Employment (http://www.kazi.go.tz) provides general supervision.</p>
<p>Social Security Regulatory Authority (http://www.ssra.go.tz) regulates and supervises the performance of all social security programs.</p>
<p>National Social Security Fund (http://www.nssf.or.tz)administers the social insurance program.</p>
<h2>Work Injury</h2>
<h3>Regulatory Framework</h3>
<p><span class="h4">First law:</span> 1948.</p>
<p><span class="h4">Current law:</span> 2008 (workmen's compensation), implemented in 2015.</p>
<p><span class="h4">Type of program:</span> Social insurance system.</p>
<h3>Coverage</h3>
<p>Employed and self-employed persons.</p>
<h3>Source of Funds</h3>
<p><span class="h4">Insured person:</span> See source of funds under Old Age, Disability, and Survivors.</p>
<p><span class="h4">Self-employed person:</span> See source of funds under Old Age, Disability, and Survivors.</p>
<p><span class="h4">Employer:</span> 1% of payroll for the private sector; 0.5% for the public sector.</p>
<p><span class="h4">Government:</span> None; contributes as an employer.</p>
<h3>Qualifying Conditions</h3>
<p><span class="h4">Work injury benefits:</span> Must be registered with the National Social Security Fund and assessed with a work injury or an occupational disease by a medical board.</p>
<h3>Temporary Disability Benefits</h3>
<p>60% of the insured's average daily wage is paid for up to 26&nbsp;weeks.</p>
<p>The insured's average daily wage is based on the insured's earnings in the six months before the month the disability began.</p>
<h3>Permanent Disability Benefits</h3>
<p><span class="h4">Permanent disability benefit:</span> If the insured is assessed with a total disability, 70% of the insured's average monthly earnings is paid for up to seven years.</p>
<p>Partial disability: If the assessed degree of disability is less than 30%, a lump sum is paid.</p>
<p>The maximum partial disability benefit is 84&nbsp;times the insured's average monthly earnings, according to the assessed degree of disability.</p>
<p>Constant-attendance allowance: If the insured requires the constant attendance of others to perform daily functions, 25% of the permanent disability benefit is paid.</p>
<h3>Workers' Medical Benefits</h3>
<p>Benefits include medical, hospital, and nursing care; prostheses; and the cost of medicine, appliances, and transportation up to a maximum.</p>
<h3>Survivor Benefits</h3>
<p><span class="h4">Death benefit:</span> A lump sum of 60% of the deceased's average insurable monthly earnings is paid.</p>
<h3>Administrative Organization</h3>
<p>Ministry of Labour and Employment (http://www.kazi.go.tz) provides general supervision.</p>
<p>Social Security Regulatory Authority (http://www.ssra.go.tz) regulates and supervises the performance of all social security programs.</p>
<p>National Social Security Fund (http://www.nssf.or.tz) administers the program.</p>
<h2>Unemployment</h2>
<h3>Regulatory Framework</h3>
<p>According to the 2004 Employment Act, the employer must provide severance pay for its employees with at least 12&nbsp;months of continuous service. At least seven days' average daily earnings is paid for each year of continuous employment with the same employer, up to 10&nbsp;years.</p>
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