Tag: Abel Afolayan

  • Minimum Wage: Retirees demand increase in monthly pensions

    Following the agreement on a new minimum wage of N30, 000, pensioners have also urged federal and state governments to consider a national minimum pension for them.

    National President of the Nigeria Union of Pensioners (NUP), Dr. Abel Afolayan, said this became necessary because of the ridiculous amount being paid to retirees.

    Afolayan, in a statement made available to reporters in Ado Ekiti on Thursday by NUP Chairman in Ekiti State, Elder Ayo Kumapayi, said pensioners should not be left out in wage increase to tackle post-retirement poverty.

    According to him, the request of the senior citizens was in line with the provisions of section 173(3) and 210(3) of the 1999 Constitution of the federal Republic of Nigeria as amended which unanimously states that pension shall be reviewed every five years or together with any Federal Civil Service salary reviews.

    He said: “Despite our efforts and submissions nothing has been done in compliance with the constitutional provisions.

    “This is the reason why the union has been very vocal and unrelenting in restating its position on the call and demand for a new minimum pension alongside the ongoing negotiation for a new minimum wage which by all indications will soon be approved for implementation.”

    Afolayan whatever is finally approved as the national minimum wage  should equally apply to pensioners as national minimum pension.

    Read Also: Buhari, Atiku clash over N30,000 minimum wage

    The NUP boss expressed regret that many pensioners still earn as low as four thousand naira per month which he said is nothing to write home about considering the present economic situation in the country.

    He said: “It is unacceptable and inhumane for pensioners to earn less than #30,000 having spent most of their valuable years to serve their father land.”

    Afolayan urged state governments should take a cue from the federal government and ensure that they pay whatever is finally approved by the Federal Government.

    Also the NUP president expressed disappointment over the non-payment of the balance of the twelve months areas of the 33% pension increases in 2010.

    To this end he said the union had given government and the Pension Transition Administration Directorate (PTAD) twenty one days ultimatum to pay or it would picket the agency’s office.

    Afolayan said pensioners have been patient enough and could no longer wait as majority of the pensioners have died without benefiting.

  • Nigerian Pensioners set to establish own hospital, TV and radio station

    The Nigeria Union of Pensioners is to establish an hospital to take care of the health need of pensioners and their family in the country, National President of the Union, Dr. Abel Afolayan has said.

    Dr. Afolayan spoke just as the Executive Secretary of the Pension Transitional Arrangement Directorate (PTAD), Barrsiter Sharon Ikeazor announced that the Directorate was in talks with the National Health Insurance Scheme to capture pensioners in the health insurance scheme.

    Retired workers are automatically removed from the health insurance scheme, but PTAD is of the view that the pensioners need the Scheme more when they retire in view of their fray nature.

    The NUP President who spoke in Abuja said when established, the hospital will provide comprehensive health coverage for members of the union and their families as well as other unions and Nigerians.

    He said the union is also planning to establish a radio and television station to serve as a tool of easily reaching out to its members and serve as a pressure tool to constantly engage the government and enlighten members if the public on pension matters.

    He sought the assistance of development partners and other stakeholders in actualizing the projects which he said will be of immense benefit to members of the union and their families.

    He appeal to the government and security agents in the country to do everything humanly possible to ensure the safe return of the school girls adopted by insurgents from the Government Science School, Dapchi, Yobe state.

    Executive Secretary of PTAD, Barrister Sharon Ikeazor said one of her priority in the agency is to ensure that pensioners get the desired attention, especially in the area of health coverage, pointing out that it was out place for retirees to be removed from the National Health Insurance Scheme.

    She also disclosed that the agency is working hard to clear the balance of the 33 percent pension arrears before the end of the year, while computing the data of pensioners who have so far been verified for inclusion into the pension data base.

    She said plans are under way to establish an office in Damaturu, the Yobe state capital to take care of the need of pensioners  in the north east in line with the current administration’s determine to ensure the welfare of pensioners across the country.

  • FG illegally denying us gratuity – Contributory pensioners

    FG illegally denying us gratuity – Contributory pensioners

    Pensioners under the Contributory Pension Scheme (CPS) has accused the Federal Government of illegally denying them their entitlement as a result of the non-payment of gratuity to them when they retired from service.

    The pensioners who want the government to immediately address the situation said denying them gratuity when they retire on the pretext that they are not entitled to gratuity after retirement as illegal as the Pension Reform Act did not outlaw gratuity.

    They want the government to reintroduce the payment of gratuity for pensioners, saying the government was deliberately shying away from its responsibility, adding that the idea of introducing the Contributory Pension Scheme was to relieve the government of the burden of payment of pensions and not gratuity which they said is a form of appreciation to the workers for their contributions while in service.

    The pensioners are also agitating for a review in their entitlements as pensioners, saying the federal government was indebted to Pensioners who retired under the CPS, adding that they will continue to fight for their gratuity within the ambit of the law.

    Chairman of the Nigeria Union of Pensioners Contributory Pension Scheme Sector, Comrade Slyva Nwaiwu who spoke at the second post inaugural Congress of the union in Abuja, said “gratuity is a right to any public worker who retired from service after five to thirty five ears of service, those who put in an ward of ten to thirty five years receive pension in addition. 

    “The introduction of the CPS was to address the burden of monthly pension liabilities on the government and not that of gratuity. Hence, there is section of the Pension Reform Act before and as amended by the 2014 pension reform act that explicitly remove gratuity as a legitimate right to retirees. 

    “In the old Defined Benefit Scheme, government pays gratuity to the retirees and thereafter continue to pay monthly pension. In the CPS, government s restricted to the payment of gratuity while the monthly pension of retirees accrue from the combined contributions by government and the workers, but from the inception of the CPS, government has tactically ignored the legitimacy of this important factor in the engagement agreement, without any legal or constitutional justification, thus shortchanging the CPS retirees.

    “Both the National Pension Commission and other relevant authorities  need to look into this with dispatch as the injustice is so glaring. The fact is that the federal government is owing all public workers who had so far retired under the CPS gratuities and the union shall pursue this with vigor within the ambers of the law to ensure that the payment is effected in n distant time.”

    He said the Contributory Pension Scheme Pensioners were also being shortchanged in the review of Pension against the constitutional mandatory review of pensions every five years or whenever there is salary review, adding that since the introduction of the CPS, there has been two review of Pension without consideration for those under CPS.

    Nwaiwu said though huge pension liability was inherited by the present government, it has not done anything to ensure adequate funding of the sector, adding that it was unfortunate that the Buhari government inherit d the error of underfunding the pension sector from previous government.

    He explained that the aim of introducing the Contributory Pension Scheme as part of the pension reform initiative was to reposition the industry and inject efficiency into the system in other to end the long wait for retirement benefits by pensioners.

    He lamented that between 2007 and 2014, pensioners began to wait for between three and six months before receiving their entitlement, pointing out that by 2015, the situation deteriorated to the unit where retirees have to wait for between 13 to 15 months after retirement before being paid their entitlement.

    According  to him, the major problem had to do with the fact that the immediate act PDP government became so reckless with spending public funds to the lint that pension funds were not left out, adding that “this scenario is behind the crisis of huge pension liabilities in the CPS sector today”.

    National President of the Nigeria Union of Pensioners, Dr. Abel Afolayan informed the gathering that every worker in Nigeria today is expected by law to key into he provision of the  establishing Contributory Pension Scheme and “I can sure you all that the worst days for the Scheme are over. I can only be Better through our efforts.”

    Afolayan said the National Assembly, PENCOM and PFAs and all other relevant agencies involved in the administration if the Scheme are king very hard on the grey areas of the Scheme and trying to cover every aspects where little lapses have been manifesting by the day.

    He said While government is laying its e in making Scheme work, as contributors to the Scheme owe it a duty to complement government efforts which is very important. The progress and success of the Scheme is a joint venture between both the government and the contributors.

  • 2019 General Elections: NLC urges workers, pensioners to obtain voters’ card

    2019 General Elections: NLC urges workers, pensioners to obtain voters’ card

    As part of preparations for the 2019 general elections, the Nigeria Labour Congress (NLC) has urged workers and pensioners in the country who are yet to register to do so and obtain voters card.

    Ayuba Wabba, NLC President said this when he paid a familarisation visit to the Nigeria Union of Pensioners (NUP) National Secretariat on Tuesday in Abuja.

    Wabba said this was imperative as governors and other political office holders with anti-labour tendencies were on the increase.

    He said the political elites had the notion that pensioners and workers do not have any political value, adding that it was the reason why the payment of salaries and pensions were not being taken seriously.

    “A lot of politicians say workers and pensioners do not have political value and therefore it is a big challenge, they even claim that we do not have voters card.

    “We are going to embark on a vigorous campaign for workers and pensioners to register and obtain their voters card.

    “Because a process has been opened for workers, pensioners and their families to acquire voters’ card, where it is missing, revalidate it. We have the number.

    “In NLC alone, we are over eight million Nigerians without the pensioners and so, we have the number to challenge any politician and make them realise that we are a force to reckon with.’’

    According to him, let us awaken this consciousness and make sure we do what is right because we also have to engage the process and be able to represent our members.

    “Because the notion also is that we are very comfortable and that we do not have voters card. It is very important for us to engage the system,’’

    He called on the leadership of the NUP to as a matter of urgency issue a circular to pensioners in the 744 Local Government Areas to ensure that they have their voters’ card.

    “Even if a pensioner is on a wheel chair, he must get his card because we must also exercise our value and contribute to the system for our benefits.’’

    The NLC president described as unfortunate and a challenge that workers and pensioners were continually agonised as some states do not pay them their entitlement regularly, adding that it must be stop.

    “The constitution has made it very clear that pension is a right after working diligently for the service of your nation for 35 years and having attained the mandatory age of 60.

    “Retirement ought to be sweet, but in most cases retirement these days is not sweet, you are always on one verification or the other.’’

    Wabba added that NLC’s National Executive Council would meet to deliberate on a campaign strategy that would ensure that all workers, pensioners, their family, and dependents have a voter’s card.

    He also assured the NUP that the problem of minimum wage for workers and pension would be tabled before governments at all levels.

    Responding, Mr Abel Afolayan, NUP President decried the non-payment of the arrears of 33 per cent pension increase since 2010.

    According to Afolayan, civilian pensioners are being owed 18 months arrears, while the police pensioners are owed 39 months.

    “To be frank with you, some pensioners go home monthly with as low as N4,000 only. This is highly unfair and greatly inhuman.

    “We also have issues with some states governments over slash in pension arrears, among other issues and we will want you to assist us,’’ he said.

  • FG’s N54bn pension liabilities release not enough – Pensioners  

    FG’s N54bn pension liabilities release not enough – Pensioners  

    The Nigerian Union of Pensioners (NUP) has said that the N54 billion released by the Federal Government to cleared pension liabilities to the Contributory Pension Scheme (CPS) was not enough to cleared pension arrears.

    Dr Abel Afolayan, NUP President said this in a statement made available to newsmen on Thursday in Abuja.

    He said that the NUP felt the compelling need to put the facts straight as the Federal Government indebtedness to the CPS was over N280 billion.

    He said the release of N54 billion could not be said to have cleared the backlog of pension liability, adding the Federal Government had consistently under-appropriated for the CPS over the past few years.

    “NUP has it on verified record that whereas the sum N93 billion was needed to service Federal Government’s statutory obligations to the CPS in 2014, only N30.6 billion was approved, resulting in N62.4 billion deficit.

    “Whereas N98.7 billion was needed for the year 2015, the budget office only proposed the sum of N60.2 billion to the National Assembly that alone was a shortfall of N38.5billion.

    According to him, the year 2016 was worse as N91.9 billion was required, but the budget office proposed only N50 billion to the National Assembly, which also approved it, leaving a deficit of N41.9 billion.

    He said that of the N50 billion approved in the 2016 budget, only the sum N18.8 billion or mandates for four months was released and cash-backed.

    He added that N31.3 billion or mandate for seven and half months was never cash-backed and released.

    According to him, the truth is that approval of payment is not the same as payment.

    “It will be good for the minister to tell us when the fund was transferred to the National Pension Commission, and when it will hit pensioners’ accounts.

    “Importantly, we are saddened that the Federal Government is claiming to have cleared pension arrears when the Minister did not say a word regarding the over N174 billion owed pensioners who retired under the Defined Benefit Scheme (DBS).”

    According to him, does it mean that pensioners under this scheme have finally been condemned to life of eternal hardship, sickness, and untimely death, President Muhammadu Buhari is not only a retiree, but also a kind leader.

    “NUP recalls that he bent backwards to release bailout to State governments, which could not pay salaries.

    “We call on the President to also extend the same kindness to the federal pensioners among us, whose pension benefits are his primary responsibility.

    “ There is no doubt that the way retirees are treated would decide whether those in service and the younger generation would cue behind government’s anti-graft war or engage in looting to prepare for life after service,” he said.

    Mrs Kemi Adeosun, the Minister of Finance had said in a statement that the Federal Government released the sum of N54 billion to clear liabilities to the CPS from 2014 till date.

     

  • Body seeks pension increment in budget

    Body seeks pension increment in budget

    Oyo urged to pay N24b gratuity arrears

    Nigeria Union of Pensioners (NUP) National President Dr. Abel Afolayan has berated the Federal Government for excluding the 33 per cent pension increase in the 2014 budget.

    Afolayan, who was represented by the Vice-President, Southwest, Alhaji Lateef Adegoke, spoke yesterday at a meeting with Oyo State pensioners in Ibadan.

    He said the Federal Government’s action showed that it does not care about the welfare of pensioners.

    Afolayan regretted that four years after the government approved the 33 per cent increment, pensioners were yet to be paid.

    He said the NUP and the Nigeria Labour Congress (NLC) wrote President Goodluck Jonathan; the Accountant-General of the Federation, Mr. Jonah Otunla; and Senate President David Mark to express their displeasure.

    Afolayan said: “If the 33 per cent pension increment is not included in the 2014 budget before the end of March, Southwest pensioners will march on Abuja.”

    NUP Chairman, Oyo State branch, Ganiyu Azeez urged the state government to pay the N10 billion gratuity owed retired civil servants and the N14 billion gratuity owed retired primary school teachers.

    Azeez said: “It is disheartening that yesterday was February 17 and January pension has not being paid. In a few days, February pension would also be due. We were not promptly paid in December and there was a minor protest. We were assured then that such a delay would not happen again. In spite of several letters to the governor to pay pensioners 13th month, nothing has been heard. If there is anyone who needs the 13th month bonus, it is pensioners.”

    He urged the governor to pay January and February pension and order that pensioners be paid on the 25th of every month.

    Azeez said: “The rate at which workers retire monthly is higher, compared to the rate at which workers are employed. If care is not taken, in the next five years, pensioners will be more than workers. To stem this tide, our union recommends that the state government and workers dialogue and key into the contributory pension scheme.”

    He warned that pensioners’ would protest, if the state government fails to pay January and February pension before month end.

     

     

  • Pension-for-infrastructure

    Pension-for-infrastructure

    Pensioners have cause to worry about how govt wants their money spent

    IS the Federal Government henceforth ready to treat pension matters with the importance it deserves? We consider the question pertinent in view of the reported plan by government to invest accumulated pension funds worth about N3.72 trillion domiciled with the National Pension Commission (PenCom) on infrastructure development. Although at a glance, the decision is commendable, we strongly believe that the apprehension exhibited by the Nigeria Union of Pensioners (NUP) over the idea is equally explicable in a clime where public/pension funds avoidably get cluttered.

    NUP president, Dr. Abel Afolayan, at a function in Abuja reaffirmed the union’s knowledge of government’s plan to invest pension funds on infrastructure such as roads, health care, transport, housing, power, gas, agriculture and water resources, but cautioned: “We want to make it clear that the union is not totally opposed to the idea of investing the funds which in the first place is meant to yield returns on investment and thereby boost the Retirement Savings Account (RSA) of future retirees but suffice to say that our fear is premised on the ability of our government to provide sufficient protection for the safety of the funds to be invested.”

    The sectors slated to benefit from the funds disbursement in the form of loan are very key if any meaningful infrastructural development must be achieved in the country. These sectors are indeed ailing and begging for attention. But NUP’s well thought-out admonition is very salient because of adverse precedents whereby government officials stole pension funds without any serious consequences. So, it is not out of place to be sceptical about government’s ability to secure the funds that have accumulated from workers’ toils. It is sad that successive administrations have failed to deploy transparency and accountability in handling pension funds. Where is investment accountability if pension funds for this infrastructural upgrade must yield the desired result in the end?

    The government at this point should come out with details of the policy so that mounting public qualms can be doused. The machineries should be set in motion for government officials to quickly meet with relevant stakeholders, including the Nigeria Labour Congress (NLC) that is the umbrella body of workers in the country, PenCom (the regulatory body of pension affairs) and the pension administrators (the custodians of pensions), among others, for their inputs. We demand to know whether private companies or individuals can access the loans or whether only specialised banks or maybe those restrictive banks in concert with commercial banks will access the loans. We also want the government to avail the stakeholders the current state of affairs of these banks.

    Pension money is long-term and this would definitely avail the banks that are used to granting short-term facility the opportunity of yielding ground to long-term loans with its potential moderating effect on interest rate. Usually, short-term facility attracts higher interest rate and this is one vital area where pension funds will be of immense benefit to this investment initiative that would put more money in circulation.

    All said, this policy initiative is an invaluable opportunity for the Federal Government to redeem its abysmal image because of its largely negligent handling of state financial issues – a typical example is the sloppy management of Subsidy Reinvestment and Empowerment Programme (SURE-P). This latest idea must not fail because the lifetime savings of Nigerian workers are involved. Nigerian workers’ sweat should not be seen by politicians in power and their collaborators as another national cake.