Category: Pension

A total of 8,528 retirees under the Programme Withdrawal (PW) scheme  rceived N36.25 billion in the first quarter of the year, a report by the National Pension Commission (PenCom) has shown.

The retirees’monthly pension, however, amounted to N470.13 million.

On the other hand, the Commission approved 3,264 retirees under the Retiree Life Annuity (RLA).

The retirees got N13.21 billion, while N22.69 billion was okayed for 14 RLA providers (insurance firms) as premium in return for monthly/quarterly annuities of N231.93 million.

The commission stated that it paid death benefits amounting to N13.39 million to the beneficiaries and administrator of 2,574 deceased employees and retirees.

This comprised 1,923 public (Federal and state governments) and 651 private sector employees and retirees.

The report further showed that bloc payment was made to 2,084 retirees whose Retirement Savings Account (RSA) balances were N550,000 or less and considered insufficient to procure PW or RLA of the amount for an expected life span.

The retirees, who are from the public and private sectors, received N519.51 million.

The Commission approved N5.66 million to 9,517 RSA holders under 50, who were disengaged and unable to secure jobs within four months.

Similarly, PenCom approved  the withdrawal of contributions amounting to N1.42 million to 787 contributors.

The commission further stated that a RSA holder might, in addition to the mandatory pension contributions remitted into their RSA by  their employer, contribute more to augment their pension upon retirement.

The report read: “In such a case, 50 per cent of the contributions will be treated as contingent; which means it is available for withdrawal every two years. However, taxes would be deducted on income in line with Section 10 (4) of PRA 2014 while the balance of 50 per cent will be fixed for pension and utilised at date of retirement to augment the contributor’s retirement benefit.

“Also, the categories of employees exempted from the Contributory Pension Scheme may also decide to make voluntary contributions. The timeframe of withdrawal is at the expiration of the contract employment.The contributor can withdraw the funds in his/her voluntary contributions subject to deduction of taxes on income earned and principal when withdrawal is less than five years of contribution. To withdraw voluntary contributions the RSA holder needs to notify the PFA of their intention to withdraw the contribution with necessary documents.The PFA forwards requests to access contribution portion of the RSA balance to the Commission for no-objection.”

 

SHOBOYEDE: Good day, I have a complaint to lodge on my mother’s gratuity. She retired since 2004, but has not been paid her gratuity. She started collecting her monthly pension in 2010 without the arrears. Some people have been collecting money from the old woman, promising to help her get her gratuity, but up till now,  she is yet to receive any kobo, after serving the Federal Government for 35 years at the Military Hospital, Yaba, Lagos as a Health Assistant GL 04. Even the monthly pension is not fully paid. We will appreciate if the Federal Government could do something about it.

PTAD: Pensioner has been contacted and requested to provide her bank statement from January 2004 to date and departmental file as she is a federal pensioner.

SULE: Hello. I am Sule from Jos, Plateau State. My father was a staff member of the Ministry of Defence, Civilian Unit for 16 years before he died in 1995. I have attended various screening and verification. The last was in Jos in 2017. I have submitted the required documents for the payment of gratuity and pension benefits as a Next-of-Kin (NOK), but all to no avail. In 2020, I was called from PTAD to submit some documents, including bank account details, which I did. I hope Omobola will assist me.

PTAD: NOK should provide a copy of verification slip to pull up details.

Princess Modupe: Good day, I am Princess Modupe, a pensioner in Osun State and have a federal share. I did not receive my February 2022 monthly payment and have not been paid till May, this year. Also. I was also not paid my consequential three months’ arrears. Kindly help me.

PTAD: Pensioner is disqualified.

OLOTU: Dear Omobola, my name is Olotu. I do appreciate the time and energy you are expending on pension issues. This is the second time I am writing to you. My uncle Sgt. Saburi’s pension was stopped since August 1999. Do please help him.

PTAD: Pensioner is advised to submit career documents for review.

EYONG: I am Eyong. On June 30, 2021, I drew the attention of PTAD to those who retired from July 31, 2007 and were paid 10 years’ pension in advance. It is presumed that since 2017, they are without pension.

Section 45 PRA 2O14 gives PTAD the duty to pay them. On the June 14, 2021, PTAD replied that it does not fall under their responsibility. I want to believe that PTAD either deliberated lied that they do not know that to be their duty or ignorant of their functions under Section 45 PRA 2014, which says that they shall carry out the functions of the relevant pension boards or offices in the public services. (a) To make budgetary estimate for pensioners and those exempted under Section 5 (1) (b) PTAD was created to take care of those who had pension and gratuity under the Defined Benefit Scheme (DBS), but were not exempted from the Contributory Pension Scheme (CPS).

Any time the PRA 2014 wants to refer to those who have pension to collect under DBS the word “Upon Retirement” is used. Oxford Dictionary says upon means something that will, which is known to take place in future and when that happens, then the other one follows. At the commencement of this Act, those who served over 15 years before the take off of the CPS know that they will be entitled to pension when they retire, but they will become pensioners upon retirement and it is only then they will be among the pensioners.

The Oxford Dictionary says the word existing means found or use. PTAD should understand those two words upon an existing. It is upon retirement that PTAD will say you are qualified to be a pensioner and use him as such. It is high time PTAD did something for those categories of pensioners who have pension under DBS and CPS and were paid for 10 years. Because at the end of the 10 years, they have a right to pension.

Section 49 states that PTAD will cease to exist after the death of the last pensioner. It is only those who retired under the DBS that receive pension after retirement while the government pays those under the CPS while they are serving.

The same PTAD is paying those who served the Federal Government and state, and the Federal Government is paying them the federal share.

If Section 117 (4) says PTAD should apply the same rules and regulation used to pay those on DBS and they are paid for only 10 years and stopped, what crime did they commit that they should be paid for only 10 years.

PTAD should know that they are created for helping those not exempted from CPS, but have pension with the DBS since the government has a duty to pay them  after retirement. We are looking forward to hearing from the Director-General of PTAD about these categories of pensioners. Thank you

PTAD: The cut-off date for pensioners under the Defined Benefit Scheme (DBS) is June 25, 2007 and not July 31, 2007. The pensioner should refer to the PRA 2014 for proper guidance.

THE major objectives of the Pension Reform Act 2014 (PRA 2014) are to ensure that every worker receives his or her retirement benefit promptly.

From when the employee opens a Retirement Savings Account (RSA) and his/her pension contributions are remitted by the employer to when the employee retires, retirement benefits administration is the last phase of the processes and activity put in place for achieving this objective.

According to the National Pension Commission (PenCom), for a retiree to receive retirement benefits under the Contributory Pension Scheme (CPS), such a person must have attained 50 years or the mandatory retirement age, generally 60 years in the public sector.

It could also be retirement from service on attainment of a maximum allowable length of service, generally 35 years in the public sector – in this case whichever is earlier.

In the case of academic staff in the professorial cadre, retirement age is 70, while non-academic staff of tertiary institutions is 65 years.

The other factors for accessing benefits include health, temporary access to 25 per cent of RSA balance, voluntary contribution and deceased or death benefits.

However, a retiree can access his or her retirement benefits upon consolidation of his or her RSA.

The components of a RSA at retirement consist of accrued pension rights or pre-act benefits, if any for employees that were in employment before the commencement of the CPS,  employer/employee  pension contributions, returs on  investment and fixed portion of voluntary contributions, if any. Meanwhile, the RSA holder is entitled to a lump sum upon retirement provided that the amount left can procure a Programmed Withdrawal (PW) or Retiree Life Annuity (RLA).

The PW and RLA are the two modes or choices the RSA holder has for accessing retirement benefits after the lumpsum payment. However, where the amount cannot procure PW or RLA or the amount left cannot provide a monthly pension payment, that is up to one third of the minimum wage at the time, the RSA holder can withdraw all the money, this situation is called enbloc payment.

Programmed Withdrawal (PW)

Programmed Withdrawal (PW) is a product offered by a Pension Fund Administrator (PFA) calculated over an expected life span for periodic pension payments which could either be on a monthly or quarterly basis. A retiree who chooses PW is expected to receive at least 50 per cent of final salary as pension payments.

There is an opportunity for growth in the retiree’s pension payments because the balance in his/her RSA is invested and he/she bears the profit or loss from investments. PW also provides for periodic pension enhancements resulting from returns of investments made by the PFA. Retirees with a minimum of five per cent growth in their RSAs, from the date of initial programming or their last enhancement date are entitled to receive enhanced pensions.

At death his/her remaining RSA balance with accrued interest is given to the legal beneficiary named by the retiree upon completion of the requirements of accessing death benefits. A retiree can move from PW to RLA.

Retiree Life Annuity

On the other hand, Retiree Life Annuity (RLA) is a product offered by retiree life insurance

company for periodic payments of pension either monthly or quarterly. A retiree who chooses RLA is expected to receive at least 50 percent of final salary as pension payments.

Besides, the amount received by the annuitant under RLA is fixed as the insurance company bears the profit or loss of investments. There is no option for pension enhancement under RLA.

In the event of his or her death, his pension contributions are guaranteed for 10 years only.This means that the retiree’s legal beneficiary is only entitled to the monthly annuity for the outstanding period if death occurs within the 10 years. However, if a retiree dies after 10 years of retirement, there will be no payment to his/her legal beneficiary. A retiree under RLA cannot move to PW, but can move to another insurance company after two years.

THE Lagos State Government has paid over N42 billion as Accrued Pension Rights to 11,349 retirees in the Mainstream, Local Government, State Universal Basic Board (SUBEB), Teaching Service Commission (TESCOM) and other parastatals of the state government from May 2019 till date, the Commissioner for Establishments, Training and Pensions, Mrs. Ajibola Ponnle, has said.

She spoke during the presentation of bond certificates of N1.5 billion to another set of 487 retirees alongside their monthly contributions at the 95th Retirement Bond Certificate Presentation to retirees of the Lagos State Public Service in Lagos.

Mrs Ponnle, who said the cash had been credited into the Retirement Savings Accounts (RSAs of the beneficiaries, advised them to embrace the joy and challenges of their new life. ‘’Please practise a healthy lifestyle and be prudent,’’ she said.

She noted that the Governor, Babajide Sanwo-Olu was mindful of the welfare of retirees, adding that the prompt payment of pensions under the Defined Benefits and the Contributory Pension schemes (CPS) is a priority for the administration.

She also said they review their policies to maintain their role as the leader in pension benefits payment in the country.

“At present, we are working on various reforms that would have significant impact on the welfare of retirees in the state,’’ she added.

The Director-General, Lagos State Pension Commission (LASPEC), Babalola Obilana, said though the state government has implemented the CPS since its inception in line with the provisions of the Lagos State Pension Reform Law of March 19, 2007 amended, they had not forgotten the officers on the Defined Benefit Scheme (DBS).

He said the employee and employer’s contributions were remitted promptly into the former RSAs in spite of the economic challenges.

He said: “Lagos State is a high flyer and has received several awards for exceptional performance in the payment of retirement obligations. Recently, the National Pension Commission released the status of implementation of the CPS, which showed that Lagos is leading the pack in the pension industry.

“LASPEC is fervently working towards the immediate payment of pension entitlements at retirement from the Public Service. We are reviewing our business processes to ensure optimal service delivery to our retirees.“The Commission has noted with concern, various individuals and associations fraudulently parading as agents of the state with claims to fast-track the payment of retirement benefits at a fee. Please note that the LASPEC is the only entity endorsed by the state government to process the payment of retirement benefits. Also, note that no officer in LASPEC will ask you for money to process your payments.”

Obilana said they have, however, observed that some pensioners have transferred their RSAs to PFAs or ASPs not regulated by the state government. He noted that LASPEC has limited control over these institutions and would be unable to mediate on their behalf, if unfavourable situations arose.

EMMANUEL: Good day, my name is Emmanuel. Can you help us intervene in retirees’ affairs with Premium Pension? Their desk officers seem not to be updated with the new regulations on retirement benefits. I was told the regulations haven’t been sent to them from PenCom. They claim that they are yet to be given the go-ahead to verify this year’s retirees. They are not advising the retirees on the documents to present as specified in the new regulation. Does it mean this year’s retirees can’t verify? Also, I will like to know if those under the Programme Withdrawal enjoys life pension payment or if annuity gives life pension payment?

ADESHINA: I was enlisted into the Nigeria Police Force (NPF) in 2016. Since then, I haven’t received my pension. I have made several complaints to no avail. I transferred my RSA to NPF Pension Limited from Trustfund Pensions Limited and my balance in the later has been transferred to the former. However, no remittance from my employer has been made. Kindly assist me.

OJEBOLA:  I retired on November 13, 2013. I submitted my documents to LASPEC on September 23, 2021. My PFA is Stanbic IBTC Pension. I am tired of repeated calls and this hotline never goes. My pension benefits are long overdue since November 13 2013. My repeated calls at LASPEC, Alausa are not yielding any results. Kindly find out the cause of the delay. I will be elated by your prompt response.

IBITAYO:  My name is Ibitayo. I received a call from Stanbic IBTC on June 1, this year after my earlier complaint in The Nation on May 25, 2022, saying that I could take more than 25 per cent of my pension. This is after eight months of about 20 visits to their offices. Stanbic IBTC Pension betrayed my trust by hiding vital information from me. I was in in their office on June 1, 2022 and was told there is a new policy that allows me take my whole pension if my monthly payment is less than N10,000. They informed me that I didn’t have to fill any form for the new payment scheme, and that I would be communicated in due course. Once bitten twice shy, they say. PenCom, please help me. Thank you.

ABUBAKAR: Hello, my name is Abubakar. The President’s approval of outstanding pension stated something about 2014, but my father died in 2013. Will his death benefit also be paid? And, please, what is the consolation and how long does it take on the average. Thank you

DR SAHABI:  Hello, I write to complain that the pension of my husband, Dr Sahabi, who died in 2013, is yet to be paid. His PFA is Pal Pension. He worked at FMC. Thank you.

INSPECTOR MADUFOR: Good day, I retired in 2017. Kindly advise me on the action to take for my pension to be paid.

THE NATION: The newspaper will intervene. Therefore, EMMANUEL, ADESHINA, OJEBOLA, IBITAYO, ABUBAKAR and DR SAHABI should look out for the newspaper next week for responses from PenCom.

 

ANNONYMOUS: I am a police officer. I want to know if Pencom has a branch office in Ibadan, Oyo State. I would like to make verification.

PENCOM: Please be advised that PenCom does not have an office in Ibadan. However, our nearest office in Lagos is at 88A, Oduduwa Crescent, Ikeja GRA.

ANNONYMOUS: I retired in June 2016 from Federal Polytechnic, Bida. I was paid my benefits in July 2017 through my PFA, Premium Pension. I then transferred to Leadway for annuity. I am being owed 24 months. The Federal Government recently said it had released money to pay the 2.5 per cent, out of the 10 per cent it is owing. When and how will this money be paid?

PENCOM: Please be advised that if the amount payable is less than N100,000, it will be paid directly into your bank account. However, for payments above N100,000, you are advised to purchase a second annuity from a Retiree Life Annuity (RLA) provider.

UWEM: Good day, my uncle, Mr. Godwin, was a teacher at Poly Staff School, Ibadan for many years. He was compulsorily retired five years ago without gratuity. At present, he is languishing in hunger. He has turned a street beggar and his children roam the streets of Ibadan in search of what to eat. Every effort to meet the Provost of Ibadan Polytechnic proved abortive. Please, sir, how can you help to assist the elderly man and his suffering children?

PENCOM: Please provide your uncle’s PFA and RSA PIN details to enable the commission investigate further.

ANONYMOUS: Good day, I will like to know how long it takes to get PenCom’s approval for payment of accrued rights for someone who died in active service.

PENCOM: Please note that the payment of accrued rights of deceased employees of treasury-funded Ministries, Departments and Agencies (MDAs) are subject to release of funds by the Federal Government.

 

OTUSAJO: I am Otusajo, a Lagos State pensioner with federal share. After series of complaints, PTAD wrote on August 7, 2021, saying that my arrears had been computed but not checked and audited.

  Its officials pleaded that I give them time, but up till now, which is eight months after, nothing was heard from them.

  I have 77 months’ pension arrears (from June 2002 to July 2008 and February to May 2010) to claim.Thanks.

PTAD: Dear Mr. Otusajo, please note that we are awaiting re-computation.

AYOOLA: Compliment of the season to you and your family. Please assist me as regards my pension allowance.  I didn’t see my pension for last October, November and December.

Kindly correct the anomalies. I retired in 2000. I attended the verification at Osogbo. The arrears of harmonisation were paid to me three times this year.

Please do everything that is within your power for me.

In addition to my previous complaints, despite my appeal to PTAD to pay my pension arrears, instead PTAD removed my name from the pay roll with one circular letter, which others I am in the same category with are still enjoying.

I am an old man and I use the money to buy drugs  monthly. But due to financial constraints, this has stopped.

Please find solution to my issues. Thank you.

PTAD: Mr. Ayoola should please provide detailed bank statement from the period of complaint till date.

UMARU: I have not received my arrears. Others have got theirs. My bank is Unity Bank, Minna. I have already done the ‘I am Alive’ exercise.

PTAD: Please note that pensioner is on over payment based on the recent computation by CSPD.

IRIOGBE: Good day, my phone has been inundated for some time now, with requests from some colleagues who want to know if PTAD has stopped the on-line verification of Federal Government pensioners. They are worried that after some pensioners were chosen to do same, they are yet to be asked to do theirs and this has caused a lot of worries to them, fearing if this will eventually lead to removing their names from payroll.  They are not tired of phoning me, having known that I have done my own late last year.

PTAD:: This is just the Pilot Phase of the ‘I Am Alive’ confirmation and as such, only a few pensioners were selected to try out the application.

MURITALA: Dear Omobola, thanks so much for the wonderful job you are doing . I am Muritala. I have been complaining concerning the non-payment. My last monthly payment was September 2020. I submitted my documents three times without positive response. Many retired people died of hunger or sickness due to the non-payment of their monthly payment. The Director-General of PTAD should do something. Thanks.

 PTAD: Pensioner should make him/herself available for verification in our head office or lagos office. if he has been verified, should send verification slip to complaints@ptad.gov.ng

OBUBA: I am Obuba from Abia State. My complaint is the non- payment of gratuity since August 2008. l retired on SGL l6 from Federal Service and Abia State government Civil Service.

PTAD: Kindly provide your bank statement from retirement till date.

IRIOGBE: Good day, my phone has been inundated for some time now, with requests from some colleagues who want to know if PTAD has stopped the on-line verification of the Federal Government pensioners.

They are worried that after some pensioners were chosen to do same, they are yet to be asked to do theirs and this has caused a lot of worries to them, fearing that if this will eventually lead to removal of their names from the payroll. They are not tired of calling me, having known that I have done mine late last year.

PTAD: This is just  the Pilot Phase of the ‘I Am Alive’ confirmation and as such, only a few pensioners were selected to try out the application.

OYIBO: Good day, Madam, I am Mr. Oyibo. I was born in 1968 and I was employed on December 9, 1991. I retired from the National Youth Service Corps (NYSC) in January 2005.

I did the 2019 verification  in Calabar. Based on my calculation, I am being owed over seven years’ arrears. I have not been paid once.

PTAD, try and pay me my pension.

PTAD: Mr Oyibo’s pension arrears are being computed.

MABAWONKU: My name is Mabawonku, a federal/state pensioner.

I worked with the Nigeria Educational Research and Devevelopment Cent             re from September 14, 1982 to July 6, 1993.

Then I joined Lagos State Civil Service on July 15, 1993 and retired on January 26, 2008 as a director. They paid their  share of gratuity and pension in 2010, but that of the Federal share has not been paid up till today, despite several demands in writing. 

I am owed gratuity plus six months’ pension arrears from January to July 1993.

I did verification at PTAD at TBS. Lagos on April 23, 2019, submitted bank statements from 2008 to date as requested by the PTAD through the Zonal Office, Lagos, including the one showing the gratuity paid by Lagos State sent on September 11, 2017.

My original pension file has been retrieved from NERDC by PTAD since November 2017. With all the conditions met, since 2019, the gratuity and pension arrears have not been paid. Kindly help me.

PTAD: Mr. Mabawonkwu should  please provide the bank statement from period of complaint till date.

IGBINOVIA: I am a staff of one of  the Federal tertiary institutions. My RSA contributions for January 2020 to August 2020 have not been credited to my account. I am told the fund was yet to come from PENCOM. My PFA is Stanbic-IBTC Pension. Kindly help.

AKERA: Hello, my name is Akera. I went for my pre-retirement exercise scheduled on July 8, 2019 at Lafia town, Nassarawa State and was registered. I retired on July 6, 2020 from the Federal Ministry of Education. Unfortunately, I went to process my entitlement at Stanbic Ibtc office in Makurdi, Benue State, where I discovered another Pin was created without my knowledge. Since two years of my retirement, I have not been paid anything because of the dual pins. I have done many capturing, applications as regards this issue to no avail. I have health challenges with financial problems. Please, help me.

DEBORAH: Good day, my name is Deborah, next of kin to the late Ogunmokun who retired from a primary school in Iwo, Osun State in 2016. We obtained his bond from the state government January 2022, having submitted the Letter of Administration, death certificate and other necessary documents to his PFA, First Guarantee Pension Ltd. Since January we are yet to get my husband entitlement while other relatives who have similar cases have been settled. Please, help me out of this problem.

IRUKE: My name is Iruke from Kubwa. Please is it true that there is digital verification going on now, if true which category of pensioners is affected?

UBULA: My name is Ubula. I thank you for my complaints published in your column in The Nation editions of 27/4/2022 and 25/5/2022. I wish to add to my earlier complaints which is on the question of the 7.5 per cent and 10 per cent increase approved by President Muhammadu Buhari. Will it be paid? Looking forward to your candid response please.

JOE: My name is Joe, the next of kin to the late Daniel who worked with National Lottery Regulatory Commission (NLRC) as a contract staff as Deputy Director heading Warri office. His contract expired in 2013 and he died in 2020. I have submitted all documents to Stanbic IBTC for his RSA contribution and others to be paid but I have not heard from them. The last time I was there, I was told that National Pension Commission had not approved. Please, I need an urgent response from the commission. Thank you.

ADEKUNLE: Good day, I was given your number to seek for your assistance on my late dad’s benefits being processed by Leadway Pensure. He worked at Federal Polytechnic, Offa, and died in service. I have submitted all the necessary documents since 2018, but up till date I have not been able to get his entitlement. This is why I need your assistance.

THADDEUS: Good day, I retired last year from NSCDC and also submitted all the requirements. But, up till date, I have not received any payment. Thank you.

YAKASAI: Good day and thanks for all the assistance you are rendering to humanity. My compliants is death benefit of my brother who died on 24/5/2016, in active service while working at HOCSF office. His pension  manager is Sigma Pension Ltd. All necessary documentation has been done but, up to till date, no payment has been made to his next of kin.

When we contacted PENCOM office in Kano, they said he was in Batch 109. This was since last year. Kindly find out what the issue is and why PENCOM had not approved payment to his next of kin for six years? The family is suffering too much. Looking forward to hearing from you.

THE NATION: The newspaper will intervene. Therefore, IGBINOVIA, AKERA, DEBORAH, IRUKE, UBULA, JOE, ADEKUNLE, THADDEUS and YAKASAI should look out for the newspaper next week for responses from PENCOM.

ANNONYMOUS: I retired in June 2016 from Federal Polytechnic, Bida. I was paid my benefits in July 2017 through my PFA, Premium Pension. I then transferred to Leadway for Annuity. The Federal Government recently said it has released money to pay 2.5% it is owing out of its 10%. When and how will this money be paid. I am being owed 24 months.

PENCOM: Please, be advised that if the amount payable is less than N100,000 it will be paid directly into your bank account. However, for payments above N100,000 you are advised to purchase a second annuity from a Retiree Life Annuity (RLA) provider.

GIMBA: Good day, my complaint is about the non-release of my pension since October 2020 till date.

PENCOM: You are advised to kindly forward your details such as your Retirement Savings Account (RSA) Pin, Pension Fund Administrator (PFA), full name as well as other valid information to enable us investigate further. Please, be advised that retirees of Federal Government Tertiary-Funded Ministries, Departments And Agencies are required to undergo a verification and enrolment process prior to retirement. if you are yet to undergo this process, kindly visit http://www.pencom.gov.ng to initiate the process and then proceed to your PFA for physical verification and enrolment. In addition, please be informed that the commission has paid the benefits of retirees who retired from January to December 2020.

Noor Takaful Insurance Limited has continued to pay cashback on amount tagged surplus to policyholders who did not make claims on their insurance.

This time, policyholders who did not make claims in the 2020 financial year have got N109.8 million as surplus.

The surplus payment, which comes as a result of the Win-Win insurance model operated by Noor Takaful, thrives on the pool of funds provided by the participants.

The Chairman, Muhtar Bakare, who spoke during the surplus distribution in Lagos, said of the N109.8 million paid, that the general takaful participants got N74.1 million while their family takaful counterparts received N35.7 million.

He described the distribution as an affirmation of offering modern financial services to Nigerians who were excluded from the formal economy, adding that this would help them achieve reasonable economic stability in their lives and businesses.

Bakare assured the participants that the company remains committed to proactively taking steps, including raising adequate capital, prudent underwriting and putting in appropriate covenants required to cover their risks.

He said: “We have all the resources we need and the corporate governance structure to ensure that we continue to meet all our obligations as they fall due.

“It is pertinent to note that in 2021, we paid over N1.9 billion in claims, with a Claims Ratio of 22 per cent which is one of the best, if not the best, in the entire insurance industry,” he added.

The Vice Chairman, Noor Takaful Insurance Limited, Aminu Tukur, stated that the surplus distribution comes as the redemption of its pledge to policyholders, noting that, Takaful insurance has become highly receptive among Nigerians over the last few years.

Tukur assured stakeholders that the company would continue to provide innovation and leadership in the Takaful Insurance industry while maintaining the highest ethical and professional standards.

In her remarks, the managing director, Lotus Capital Limited, Hajara Adeola, stated that, Takaful insurance, a non-interest finance,  remains the best alternative insurance for the generality of Nigerians as it helps to promote financial inclusion.

“The tenets of non-interest finance should attract anyone and should not offend anyone. It means being fair, avoiding ambiguity in the contract, avoiding gambling and many other businesses that are considered harmful to the society,” Adeola said.

In his goodwill message, the senior pastor, The Covenant Nation, Poju Oyemade, commended the management of the insurer for keeping to their promises by giving out surplus payments to participants.

The National Pension Commission (PenCom) has warned employers under the Contributory Pension Scheme (CPS) not to choose or force a Pension Fund Administrator (PFA) on an employee.

It however commended employers for their roles in the scheme.

PenCom Director-General Mrs. Aisha Dahir-Umar, in a statement, said though the employers were critical to the success of the CPS, they must note that there are sanctions for shirking their responsibilities.

She said: “It is not the employer’s responsibility to choose or force a PFA on an employee. Similarly, employers who fail to make the remittances of their employees’ pension contributions within the stipulated time must pay such contributions with an interest penalty.”

The PenCom boss said the birth of the CPS was to solve the challenges of the Defined Benefit Scheme (DBS), which was unfunded and left retirees without any income in their old age.

“The CPS, therefore, brought hope for a sustainable retirement plan that provides timely and adequate income for retirees. As the name suggests, the CPS is a contributory scheme under which both the employer and the employee contribute toward the payment of the employee’s retirement benefits. The PRA 2014 defines the roles and responsibilities of the employer and the employee under the CPS. The CPS applies to everyone who works in the Public Service of the Federation, the Federal Capital Territory, states or local governments and the private sector.

“For employers in the private sector, their employees must enroll in the CPS as long as they have three or more employees, irrespective of the nature of the employment – contract, permanent or casual employment. Therefore, employers must understand their responsibilities to employees under the CPS.

Contribute for their employees

The employer is mandated by the PRA 2014 to contribute a minimum of 10 per cent of the employee’s total monthly emoluments to the Retirement Savings Account (RSA) of the employee. On the other hand, the employee must contribute 8 percent of his monthly emoluments. However, an employer is at liberty if he wishes to bear responsibility for contributions. In addition, the employer may agree to payment of additional benefits.

Deduct employee’s contributions

It is the responsibility of the employer to deduct the employee’s pension at source after paying salaries.

Remit Pension Contributions

Section 11 (3) of the PRA 2014 requires an employer to deduct the employee’s monthly contribution and remit along with his contributions to the RSA of the employee no later than seven working days after salaries have been paid. A schedule must accompany the remittance of pension contributions, which is paid to the Pension Fund Custodian (PFC) of the designated Pension Fund Administrator (PFA).

Procure a group life policy for his employees

The employer bears the costs of procuring a group life policy for his employees, which is separate from the pension contributions paid by the employer to each employee’s RSA. The value of the group life policy is three times the total yearly emoluments of the employee, and the premium shall be paid no later than the commencement date of the cover.

Open a nominal account for employees yet to open RSA

The employer should open a nominal account with any PFA for an employee who did not open an RSA and remit his portion of pension contributions to the nominal RSA. Once the employee opens an RSA and gives the employer the details, the employer must instruct the PFA to transfer the balance in the nominal RSA to the employee’s RSA.

AJIA: Good day, I retired as a Nursing Sister in 1994 from UPTH University of Port Harcourt Teaching Hospital (UPTH).

I have forwarded the required documents after verification by the head of Pensions UPTH to Abuja.

I also sent a letter through DHL to the Executive Secretary, Pension Transitional Arrangement Directorate (PTAD).

Later, I received a call that I should be expecting a mobile capturing at Owo, Ondo State in October. But till date no one has come to me.

Please note that I was last paid on September 30, 2020.

PTAD: Kindly scan and send your service documents, medical certificate, bank statement and BVN slip to complaints@ptad.gov.ng for further processing.

AZUMI: Good day, I received message concerning, ‘I am alive’ screening. The message stated that I am selected. But on going to a cafe to update my record, it didn’t open. It will write ‘You are not selected. Please what do I do!

PTAD: Please ensure that the location of the device you are using is turned on and the pensioner number you inputed is the one stated on your PTAD verification acknowledgement slip.

ANNONYMOUS: My name is Umaru. I have not received my arrears up till date. Though others have got theirs. Thank you.

PTAD: Kindly state the period of the arrears you are requesting for, so we would be able to investigate and take further action.

POLYCARP: My name is Polycarp. I have been receiving my pension without problems. But in 2016, I was not paid in full. I was paid only two months leaving the arrears. I complained but up till no response. Kindly help me.

PTAD: Kindly provide us with the hardcopy of your Bank Statement from January 2016 till date and attach a complaint letter addresed to the Executive Secretary.

GEORGE: I received a text message indicating that have been selected for the “I am Alive” pilot scheme. But when I logged into the website and supplied my particulars, the computer responded that I was not selected for the scheme. Please help clarity the issue.

PTAD: Please note that the pensioner number you quoted is wrong. Use the one stated on your PTAD verification acknowledgement slip.

CHIDI: My name is Chidi. My mother, Mrs. Augustina has not been paid any dime as pension for over 15 years. Although it is a long story, which is partly not the fault of PTAD.

But PTAD has taken over payment of pensioners, including my mother’s as well as her group in the Nigerian Railway Corporation (NRC), Enugu District to be precise.

I would like to know when the pensioners (Mrs. Augustina inclusive) in NRC, Enugu District that were part of the mass retrenchment in 2005 by the former president Obasanjo administration, start receiving their monthly pension like others?

Many of her colleagues are dead and others incapacitated due to hunger, hardship, trauma, and sickness. That Mrs Augustina is still alive is only by the grace of God. More so, this is against the backdrop of the legal dynamics between her group and NRC, Enugu District, with excruciating pains and available financial support won the case.

Please Mrs. Augustina (my mother) wants to know what is delaying them from receiving their pension.

PTAD: If the pensioner has been verified by PTAD, advise her to scan and send her pensioner verification acknowledgement slip to complaints@ptad.gov.ng. Pensioner should also provide her contact phone number to enable us contact her and advise her further.

ANNONYMOUS: I am Iriogbe and a retiree. By virtue of Decree 42 of 1992, NIPOST is a Federal Government parastatal. The Decree has not been revoked. Thus it becomes embarrassing that NIPOST continues to pay its retirees and officers’ salaries paid to Federal Government’s ministries as against salaries being enjoyed by other Federal parastatals.

The government should, therefore, make enough funds available to enable NIPOST pay the backlog of arrears to its retirees and staff. We are tired of the delay in implementing the parastatal status of NIPOST

PTAD: Kindly write the Executive Secretary.

ALABI: Dear Omobola, my name is Alabi. I wish to refer to The Nation of June 2, 2021 where I was requested to forward my bank statements from the time I retired up to the month of June 2021.

Let me say that the documents were forwarded with a covering letter on June 19, last year via email. Since then, I have not got any response from PTAD to confirm the receipt of the documents and take action thereafter. I would appreciate it if I could be informed on the action taken on the matter  to put my mind at rest in view of my old age. God bless you all at PTAD.

PTAD: Kindly check the inbox or junk email of the email address you used and refer to our response in The Nation dated July 2, 2021, requesting that you forward the hardcopy of your bank statement with an attached complaint letter.

RAPHAEL: I am Raphael, retired from Jos Steel Rolling Company in 1993 on grade level 12/1. Thank God for this platform.

I want to say that PTAD has been underpaying me. Several complaints lodged during verifications but no solution.

My arrears are over 20 years. Help reach PTAD to take action on my issue.

PTAD: Pensioner should please avail us with his account number or pensioner number to enable us review his complaint.

DINNEYA: Good day, sir. I am a  JAMB pensioner. PTAD stopped paying me my pension since October. I did clearance in March, this year, yet my pension has not been paid.  My family and I are dying of hunger. My landlord has given me quite notice because I cannot pay rent. Help me on my pension before die in pains.