Section 19: Adjustment contribution

19. Adjustment contribution (1) Where a contributor reckons, at the relevant date, a non-contributory period in his contributory service, he shall, by notice in writing so as to reach the Board on or before the date of his retirement, declare whether he elects— (a) to pay the adjustment contribution; or (b) not to pay the adjustment contribution. (2) Where a contributor has made a declaration under subsection (1) (a), the adjustment contribution required to be paid by him shall be deducted— (a) from any gratuity payable to him; (b) where the gratuity payable is insufficient to satisfy the adjustment contribution, from any pension payable to him to the extent the adjustment contribution exceeds the gratuity; (c) where no gratuity is payable or where the gratuity has already been paid— (i) from the pension payable to him; or (ii) if the contributor has died, from the pension accruing to the surviving spouse or children in such manner as the Board may direct. (3) Subject to subsection (4), where a contributor fails to make the declaration required to be made under subsection (1), he shall be deemed to have elected not to pay the adjustment contribution. (4) Where a contributor dies without having made the declaration required to be made under subsection (1), he shall be deemed to have elected to pay the adjustment contribution if the pension accruing to his surviving spouse or children would thereby be enhanced. [S. 19 amended by Act 28 of 1993.]