At a sitting of the House of Representatives in Belmopan, on May 19^th,  Hon. Ralph Fonseca read a statement, which in part said "So far after much work with the best actuaries available, the experts have determined that the consultation with Belizeans should commence with a system expanded to insure up to $320 per week. The existing proposal suggests contributions for all stay as they are, up to $130 per week earnings. That is, for every 6% paid by the employer, the employee would pay 1% on three existing scales. Thereafter and up to $320 per week the employer would pay 3.5% and the employee 3.5% on five new scales. An employee then earning $130 per week would continue to pay $1.30 and the employer $7.80 per week. For the employee with insurable earnings of say $200 per week, he or she would still pay 1% or $1.30 for the first $130 in earnings plus on the remaining $70, 3.5% or $2.45 for a total of $3.75 per week. The employer will pay the same 6% or $7.80 on the first $130 in earnings plus on the remaining $70, 3.5% or $2.45 for a total of $10.25 per week." According to Minister Fonseca since the inception of Social Security in 1981 the schedule of contributions has not been updated to reflect changes in the level of earnings of the insured population. Minister Fonseca further states that in the last actuarial valuation, it was estimated that three out of every four insured persons were in a wage class over the present $130 per week ceiling.

    If the new rate is implemented, the government will use the extra money to cover increased benefits and not to accumulate additional savings in the fund. Some of the increased benefits proposed are: 1) Increase the present minimum pension from $1,820 to $2,444 per annum; 2) Increase the present maximum pension from $4,056 to $9,984 per annum; 3) Increase the retirement grant from $400 to $800, 4) Increase the invalidity grant from $400 to $800; 5) Increase the survivors grant from $400 to $800; 6) Increase the minimum sickness benefits from $20 to $44 per week and the maximum from $104 to $256 per week; 7) Increase pay sickness benefits from the fourth day of incapacity including public holidays, disregarding Sundays now proposed, by paying the third day including public holidays and Sundays; and pay from day one if period of incapacity is not less than fourteen consecutive days; 8) Increase injury benefits from a minimum of $20 to $44 per week, and the maximum from $104 to $256 per week; 9) Increase pay injury benefit from the fourth day of incapacity, including holidays, disregarding Sundays now proposed, by paying from the third day including public holidays and Sundays; and pay from day one if the period of incapacity is not less than fourteen consecutive days; 10) Increase provision for payment of injury benefits for job related injuries arising out of and during the course of insurable employment now proposed, by paying for injury benefits including those occurring at home as well as to and from work; 11) Increase maternity allowance from a minimum of $20 to $44 week and the maximum from $104 to $256 per week and 12) Increase maternity grants from $100 to $300 per child.

    Businesses and employees contacted about their opinion of the new rate hike expressed concern about the new rate structure. Employees stated that it was already hard enough to stretch their paychecks from week to week to make ends meet. Employers' concerns are that they already pay large amounts to the Board giving six cents for every one cent contributed by employees. Several have expressed that their already struggling businesses will not be able to absorb the extra cost. They feel the extra money they may be required to pay, added to what they are expected to contribute to the new National Health Insurance, will make it difficult to keep their businesses operating. Others have also stated that if this happens it will force them to lay off or reduce staff to part-time workers. Some employers see their only option as cutting services or amenities offered which they feel will negatively impact tourism on the island.