Performance Appraisal And Service Delivery In Pension Funds In Tanzania: A Case Of Public Service Pension Fund In Dar Es Salaam

ABSTRACT

The study was prompted by the poor delivery of services by the pension funds in

Tanzania. Thus, the study has attempted to assess the role of performance appraisal in

influencing service delivery by the pension funds. The general objective of this study

was to assess the impact of ineffective performance appraisal on service delivery by the

pension funds in Tanzania.

Both primary and secondary data were collected in this study. Questionnaires,

Interviews and Focus Group Discussion were used in getting the primary data and

documentary reviews were used in getting the secondary data. A total of 71 respondents

were used in the process of data collection, the data collected were analyzed through

Statistical Package for Social Science (SPSS) programme. In this analysis, data was

cross-tabulated to produce percentages and frequencies of responses.

Based on the study, it was found out that, poor service delivered by the PSPF to the

pensioners is caused by the supervisors and head of departments to lack formal and

structured performance appraisal of their subordinates and poor policy and legal

framework of the PSPF which ignores the dependant group aged between 22-30 years

in survivors’ pension. And in old age benefits ignore people to be given pension who

have contributed to the fund less than 15 years.

The study recommends that, for the PSPF to be efficient and effective directors or

managers, supervisors and heads of departments must conduct effective performance

appraisal of their subordinates. Education through awareness and orientation must be

given to the pensioners so as to be aware on the use and function of their contributions.

Also, the policy and legal framework of PSPF should be reframed especially in

survivors’ pension and old age benefits.