Definition of LASF Benefits
The Local Authorities Superannuation Fund (LASF) scheme is called a "defined benefit scheme", where all benefits payable to LASF members or their survivors are based on a definite formula prescribed by the LASF Act.
The benefits offered by LASF are derived from the following categories of employment termination:
1) Dismissal,Discharge or Resignation
2) Death Benefits
3) Retirement Due to Retrenchment
4) Retirement Due to Ill Health
5) Retirement Due to Age
From the above six categories, only 3 - 5 attract "full retirement or pension benefits" per se, whilst categories 1, 2 & 6 attract what are called "other benefits". Full retirement/pension benefits are payable to individual members who meet any of the condititons laid out below:
- Individual members who have attained the retirement age of 55 and completed ten years of service or more;
- Individual members retired on medical grounds after serving ten years, provided that they were initially admitted to the Fund in a good state of health and that bad health was not brought on by the individual member's own fault; and
- Individual members retired after having completed at least ten years of service and their employment is terminated through no fault of their own, such as through staff reductions or abolition of office or post (retrenchment) in order to facilitate improvement in the efficiency of the organisation;
Accordin to the Act, a retirement/pension benefit means an annual sum payable out of the Fund during the lifetime of a member (this sum is known as annuity) at the rate of one hundred and sixtieth of the retiring pensionable emoluments of the member for each comleted month of his continuous service, of which either one-third or two-thirds may, at the option of the member, be commuted at the date of his retirement for an appropriate lump sum.