MP John Hart requests a question hour regarding the revision of the LAP law
“The well-being of our workers must be a priority. Since 2011, there has been a law to regulate pensions for the private sector. After 15 years, it is time to open a debate in the Parliament of Aruba with the government regarding this law,” declared AVP Member of Parliament, John Hart.
According to the evaluation by the Social and Economic Council (SER) in 2017, the general pension law urgently needs a government body to exercise control. “We see court cases where employers deduct the pension contribution from workers’ salaries but do not deposit it into a fund,” Hart lamented.
A pension is a right for which workers pay premiums over many years, with the hope that at an advanced age they can count on financial security and a dignified life. Precisely for that reason, it is of great importance that the legislation protecting these rights is not only well-regulated on paper, but that it also functions in practice. The signs that have reached me recently indicate that there are deficiencies in the execution and supervision of the National Ordinance on General Pensions (LAP). Workers do not always know if their premiums are being paid, and employers experience a lack of clarity. It is time to bring order.
“This has my attention from within the Parliament of Aruba. The motion I presented on August 25, 2025, which urged the government to bring order to the existing situation and to appoint a supervisor without further delay, was a clear expression of Parliament’s desire to achieve an effective supervisory system. Now that a considerable amount of time has passed, it is time to conduct an evaluation and ask the government for an explanation,” Hart affirmed.
Many fundamental matters like this have not received due attention during the last years of governance, but it is time for concrete steps to be taken to strengthen financial sustainability and social protection for Aruban workers. Additionally, the Committee on Economic Affairs and the Primary Sector sat down with the Insurance Association of Aruba (IAA) to discuss the private sector pension system to gain better clarity on the current situation. For its part, the government has initiated a social dialogue, and it was announced that the Social Insurance Bank (SVB) will act as the supervisor and that revisions will be made to the current law.
At this moment, there are thousands and thousands of employees who are insured under the General Pension Law (LAP) introduced in 2011. This law was introduced during the First Mike Eman Cabinet because many employees in the private sector did not have a right to a pension alongside the old-age pension (AOV). The LAP was introduced to ensure that employers and employees close a pension insurance for the employee. The government, for its part, started a dialogue together with SVB, APFA (the civil service pension fund), insurance companies, unions, and commercial trade unions to evaluate the law.
Hart: “Supervision is important, but there must also be more communication and awareness to inform workers and employers of their rights and obligations under the pension law. As a representative of the people, I have the responsibility to monitor the government’s policy. In this context, I have addressed several questions to the Prime Minister on this matter, asking to open the debate on the general pension system for the private sector and the legislation that protects these rights.”