The new Ministry of Health, Labor and Welfare to be created in January will share responsibility along with the new pension fund administration in handling the nation's 144 trillion yen public pension fund, ministry officials said.
Officials of the Health and Welfare Ministry outlined the new ministry's oversight responsibility as the government prepares to transfer the management of the pension fund for public and private-sector employees from the Finance Ministry to the new ministry, to be created through a merger of the present health and labor ministries.
While the Pension Management Fund, expected to be created by the Ministry of Health, Labor and Welfare next year, will be responsible for the management of the pension fund, the ministry will assume "trustee responsibility" on behalf of pension beneficiaries, ministry officials said.
The Ministry of Health, Labor and Welfare plans to consult with the independent pension fund advisory panel to be set up in the ministry before putting the rule into force, ministry officials said.
The Pension Management Fund Law stipulates that the fund-governing board is required to manage pension funds properly and prudently.
Health and labor ministry officials will also be subject to this law, although they will not be required to take responsibility for actions of private fund managers, such as life insurers and trust banks, that will actually manage the savings for the new fund, ministry officials said.