SPF announces reforms in death pension

Muscat: In compliance with the recently issued Social Protection Law outlined in Royal Decree No. (52/2023), the Social Protection Fund (SPF) of Oman has introduced modifications to the distribution of death pensions. Article (160) of the Transitional Provisions ensures the continued disbursement of pensions to eligible recipients, with a noteworthy adjustment in eligibility criteria for elderly beneficiaries aged 60 and above, including fathers, mothers, sisters, and daughters.

The amendment signifies a reduction in eligibility for those entitled to benefit from the death pension, specifically for individuals aged 60 and above. As a result, the redistributed pension shares, formerly equivalent to RO 115, will be allocated based on stipulated categories and controls detailed in Articles (112) and (113) of the law.

For instance, consider a scenario where a mother was previously entitled to a share of her deceased son's pension, in alignment with the former retirement systems. The pension shares, which originally amounted to RO 548, were distributed among various beneficiaries, including the son, daughter, and widow, in addition to the mother.

However, under the revised Social Protection Law, the mother is deemed ineligible for the pension share, leading to a necessary redistribution of the amount. During this transitional stage, while entitlements are not revoked, the protection share undergoes a reduction, subsequently increasing the protection share for other eligible beneficiaries. In this case, the mother's entitlement, which was initially RO 115, is now redistributed. The adjusted calculation involves deducting RO 115 from the mother's share of RO 137. Consequently, the son, daughter, and widow will now receive equal amounts, with each entitled to RO 38.3.

Moreover, an additional allowance of RO 175.3 will be granted to one of them, stemming from the reduced pension benefit for the elderly. The mother's revised entitlement under the Social Protection Law stands at RO 115 as a benefit for the elderly, along with RO 22 as her share of the pension. This adjustment reflects the fund's commitment to aligning pension allocations with the evolving legal framework, ensuring fair and equitable distribution among eligible recipients in Oman's social protection system.