| (a) | Further to the provision of clause 4 above the following provisions will also be applicable to the CIRBF related exemptions. |
| (b) | The criteria for determining exemptions from the CIRBF are as follows: |
| i. | Total contributions to the private fund must be at least equal to those required in terms of the CIRBF; |
| ii. | Contribution holidays are to be specifically excluded from proposed rules of a Defined Benefit Fund; |
| iii. | Overall benefit package must, on the whole, not be less favourable than the benefits provided by the CIRBF; |
| iv. | The comparative percentage of employer net contributions paid out on withdrawal ; |
| v. | In the case of Defined Contribution Funds, the percentage of the employers' and employees' salary actually credited to the fund, after deduction of administration fees and the cost of insured benefits; |
| vi. | There must be no waiting period for membership of the fund; |
| vii. | The right to transfer actuarial reserve to the CIRBF on withdrawal; |
| viii. | Provision must be made for death and disability insurance; |
| ix. | In the case of defined benefit funds, the basis on which the pension is calculated. |
| (c) | CIRBF representatives must be invited by the applicant and given the opportunity to address management and the workforce prior to exemption being considered. |
| (d) | The majority of the affected employees must support the application for exemption and the remainder will be required to follow the majority decision. |
Exemption will only be given in respect of all employees in order to avoid selective membership to the possible disadvantage of the CIRBF.
| (e) | Where the majority of affected employees are members of a trade union which is a signatory to the CIRBF Collective Agreement, the trade union must support the application. |
| (f) | The exemption can be withdrawn by the Committee or IAB should circumstances warrant it. |
| (g) | Benefits may not be reduced without a fresh exemption application to this effect being made and granted. |
| (h) | The application is to be submitted by the Office to the CIRBF Fund Administrators for comparison. The Committee or IAB may approach an independent actuary to evaluate a complex application if and when required. |
