The Contract Cleaning National Provident Fund (“CCNPF”) was established in terms of the amendments to the Sectoral Determination 1: South Africa, contract cleaning sector published under Government Notice No R.1196 of 16 November 2001 (“the Sectoral Determination”). The Sectoral Determination requires any employee who is employed as a “Cleaner” in the contract cleaning sector, to become a member of the CCNPF from the date of employment.
The CCNPF is governed by its rules and regulations. The CCNPF is managed by Trustees and administered by NBC Holdings (Pty) Ltd.
Objective of the CCNPF:
The objective of the CCNPF is to provide retirement and other benefits for employees of the employers.
Membership of the CCNPF
All contract cleaning companies are compelled to participate in the Fund.
CCNPF is a defined contribution provident fund
The rules of a defined contribution fund set out that a certain contribution will be paid to the fund each month, but it does not set out what the final benefit amount will be when you retire. When you retire from a defined contribution fund, your retirement benefit is equal to your fund credit, which is made up of the net monthly contributions paid into the fund for retirement savings, plus any amounts transferred in from another fund, plus the investment returns on these amounts.
In a defined contribution fund, the member carries the full investment risk during the build-up of their fund credit.