He also called on workers of the private sector to save their money in any retirement or pension plan.
“There should be some safe way that will allow workers to have a safe retirement plan,” Guerrero said.
Retirement Fund Administrator Mark Aguon said the government’s retirement program “is also a very vital part of our economy.”
The value of the Retirement Fund’s investment portfolio as of Nov. 2007 was $473.81 million, but this went down to $418.75 million in July 2008.
The Legislature is now considering the possibility of floating a pension obligation bond for the Retirement Fund.
Saipan Mayor Juan B. Tudela on Friday emphasized the importance of saving money for the retirement of workers in the private and public sectors.
“Public and private sector employees, employees of tax-exempt organizations, and self-employed individuals can benefit from increased awareness of the need to save for retirement and the availability of tax-advantaged retirement savings vehicles to assist them in saving for retirement,” the mayor said.
Tudela signed the proclamation designating Oct. 19 to 25 as National Save for Retirement Week.
The mayor at the same time commended legislators for coming up with retirement programs similar to the U.S. retirement program — the defined benefit and defined contribution plans.
“I applaud all the past and present administrators, as well as the members of the [Retirement Fund] board for their untiring efforts to keep our retirement program ongoing by providing annuities, pensions, and health protection coverage to all its members although they are no longer contributing directly to the program,” he said.
