National pension premiums uncollected after a two-year grace period totaled 1.04 trillion yen in fiscal 2005, topping 1 trillion yen for the first time, Kyodo News learned Thursday.

The uncollectible sum of premiums in the year to March 31 spells an increase of 64 billion yen over the previous year, according to data compiled by the Social Insurance Agency.

The sum does not include nonpayments by members of the system who are permitted to defer payments for financial and other reasons.

The growth in uncollectible premiums reflects an increase in nonregular employees who have moved to the national pension system from employee pension programs as a result of corporate restructuring but are unable to make payments, analysts said.

National pension premiums collected would have totaled some 3 trillion yen in fiscal 2005 if all members had paid them on time. But the hollowing-out of the national pension system continues.

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