South Africa Financial Sector Conduct Authority publishes list of 6,064 employers in arrears on retirement fund contributions

The South Africa Financial Sector Conduct Authority has published Communication 12 of 2026 naming 6,064 employers reported as having breached section 13A of the Pension Funds Act by failing to pay retirement fund contributions. The list is the fifth in a series that began in June 2022 and is intended to increase transparency and prompt employers and retirement funds to resolve outstanding contributions. The employers named were selected from reported cases based on the severity and duration of the arrears. Reported non-compliance has expanded sharply. Cases reported to the Financial Sector Conduct Authority rose from 23 funds and 5,430 employers in April 2023 to 75 funds and 16,556 employers as at 28 February 2026. Estimated arrears now total R8.33 billion, affecting about 590,000 retirement fund members, up R1.04 billion from R7.29 billion as at 31 March 2025. Late payment interest accounts for 43.5% of total arrears and increased by 21.5%, compared with a 9% rise in the capital portion, indicating that unpaid contributions are remaining outstanding for longer. Entities participating in bargaining council funds account for 76.9% of total arrears and those in local government funds for 21.5%, with municipalities in North West and Free State accounting for 79.4% of municipal arrears. Since the first publication of defaulting employers, reported recoveries have reached R1.01 billion, or about 12.1% of estimated arrears, and more than 200 employer records have moved into a more favorable compliance position since the previous publication in September 2025. The Financial Sector Conduct Authority said it will continue working with the Auditor-General, National Treasury, the National Prosecuting Authority and the Directorate for Priority Crime Investigation to strengthen enforcement and accountability for non-compliance.