Bargaining Council: HBSI Exemptions, Pension Fund 2-Pot System Explained & SETA Administration
Extension of Services Seta Administration until January 2027
The Minister of Higher Education and Training, Mr Buti Manamela, has approved the extension of Mr Lehlogonolo Masoga's appointment as Administrator of the Services SETA.
The Administrator's tenure has been extended for an additional period of five months, effective from 19 August 2026 to 19 January 2027. During this extended term, the Administrator will continue to exercise the powers and perform the duties as outlined in Government Notice No. 6520. All other provisions of the original appointment remain unchanged.
The extension was officially published in Government Gazette No. 55214 on 18 August 2026, under Government Notice No. 7837 GG55214 18-8 HigherEducationTraining.pdf
Process Period: Exemption from Membership of the HBSI for the 2027 Calendar Year: September to December
The four-month timeframe for processing applications for exemptions from membership of the HBSI Pension Fund is September to December each year. Both applications and any appeals must be addressed within this timeframe.
Should an exemption not be applied for or approved during this period, an establishment will be obligated to contribute to the HBSI Fund on behalf of its employees, and enforcement actions may ensue in the case of non-compliance.
Establishments are urged to finalise and submit their applications for the 2027 calendar year at their earliest convenience.
Current exemptions (for 2026) will automatically terminate on 31 December 2026, and charges will be raised in accordance with the Collective Agreement if the application is not received for processing within the timeframe and/or if an exemption is not granted.
The Exemption Application Form can be downloaded from the website, or you may request an application form via email at exemption@hcsbc.co.za.
HBSI Pension Fund: The Two-Pot System
The Council has received a request from the Administrators of the HBSI Pension Fund, Verso, to recirculate the information concerning the two-pot system. Verso have indicated specifically that they receive a lot of queries from members who resign because they do not understand that they are not paid the full amount in their Fund account because the “retirement pot” portion must remain until early retirement at 55 years of age. Please kindly circulate the information to your employees.The links to the documents are included below, or the documents may be accessed via the Council’s website – www.hcsbc.co.za
Please consult the Council’s WEBSITE for the contact details of Agents in your area.
For more information, contact: www.hcsbc.co.za
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