In Kiribati, both public and private sector workers are entitled to certain mandatory employee benefits.

Kiribati Provident Fund (KPF) Membership

All permanent, contract, and temporary employees in Kiribati are required to be members of the Kiribati Provident Fund (KPF). Employers are required to deduct 7.5% of the employee's salary bi-weekly and contribute a matching 7.5%. Employees can access their KPF contributions upon retirement, emigration, or unemployment under specific conditions.

Public Healthcare

Public hospitals and health facilities in Kiribati provide free healthcare to all citizens, including employed individuals. This coverage encompasses preventive and primary care, hospitalization, medications, rehabilitation, mental health services, lab tests, medical imaging, and dental care.

In Kiribati, many employers go beyond the mandatory benefits outlined by the Kiribati National Provident Fund (KNPF) to offer additional perks that attract and retain talent. These optional benefits span across various areas such as health and wellness, financial security, work-life balance, and other miscellaneous benefits.

Health and Wellness

• Private health insurance: This optional benefit helps employees cover medical expenses not covered by the national healthcare system.
• Wellness programs: Employers may offer gym memberships, on-site fitness facilities, or health screenings to promote employee well-being.

Financial Security

• Life insurance: This benefit provides financial security for the employee's family in the event of death.
• Disability insurance: This benefit replaces a portion of an employee's income if they are unable to work due to illness or injury.
• Pension plans: Some employers offer private pension plans to supplement the KNPF contributions.

Work-Life Balance

• Flexible work arrangements: These could include compressed workweeks, remote work options, or flexible start and end times.
• Paid time off: Employers may offer additional paid vacation days, sick leave, or personal leave days beyond the statutory minimum.
• Childcare assistance: This could involve on-site daycare facilities, subsidies for childcare costs, or backup childcare options.

Other Benefits

• Meal allowances or subsidized meals: This benefit can help with employee's lunch expenses.
• Transportation allowances or company vehicles: This can ease employee commutes, especially if public transportation is limited.
• Continuing education or professional development opportunities: Employers may offer financial assistance or time off for employees to pursue relevant courses or certifications.
• Employee discounts: Some companies offer discounts on their products or services to their employees.

In Kiribati, there is no universal health insurance requirement for all employees. However, there are certain considerations that employers and employees should be aware of.

Workmen's Compensation Insurance

Employers in Kiribati are obligated to provide Workmen's Compensation Insurance for their employees. This insurance covers work-related injuries and illnesses, including medical expenses and compensation for lost wages.

Public Sector Employees

The government's National Conditions of Service document outlines benefits for public sector employees. However, health insurance is not explicitly mentioned in this document.

World Bank Project Requirements

The World Bank, in its Kiribati Health Systems Strengthening Project, underscores the significance of health insurance, particularly in the context of COVID-19. This project mandates contractors to provide health insurance for contracted workers, including coverage for COVID-19 and access to medical care. The specific requirements are detailed in the World Bank's Labor Management Procedures document.

While there is no blanket health insurance requirement for employees in Kiribati, the provision of Workmen's Compensation Insurance does offer some coverage for work-related injuries and illnesses. The importance of health insurance is increasingly being recognized, especially in the face of public health emergencies.

In Kiribati, employees have two main retirement income options.

Universal Old-Age Pension

This government program provides a basic monthly stipend to all citizens who reach the retirement age. As of 2018, the benefit is A$50 (around $37 USD) per month for those aged 65 to 69, and A$60 (around $44 USD) per month for those aged 70 or older.

Kiribati Retirement Benefit Fund (KRBF)

This voluntary, contributory provident fund scheme allows members to save for retirement. Both employers and employees contribute a percentage of the employee's salary to the fund. Employees are eligible to access their accumulated contributions and accrued interest upon reaching retirement age (50 years old) or under specific circumstances like permanent emigration or unemployment.

KRBF Benefits and Eligibility

• Early Withdrawal: Available at age 45 if permanently retired or with evidence of retirement plans.
• Partial Withdrawal: Permitted at age 45 while still employed, with limitations on subsequent withdrawals.
• Disability Benefit: Provides a lump sum payout if a member is deemed unfit to work by two independent medical professionals.

Additional Considerations

The KRBF offers a loan program for members with viable business plans, but approval rests with the Ministry of Commerce. Private pension plans may be offered by some employers, but they are not widespread.