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Tag: Pensioners

  • Pensioners withdraw N247.5b from Retirement Savings Accounts

    Pensioners withdraw N247.5b from Retirement Savings Accounts

    About 483,464 pensioners have so far withdrawn N247.47 billion from their Retirement Savings Accounts (RSAs) in the second quarter of 2024 due to job loss, as shown by national pension commission data 2024.

    The withdrawal represents 25 per cent of their pension savings as it stresses the  impact of the rising cost of doing business in Nigeria, leading to high unemployment rate.

    This was disclosed by the CEO, Pension Funds Operators Association of Nigeria (PenOp), Ogwuche Aguda during the 2024 annual conference of the Pension Correspondents Association of Nigeria (PenCAN) in Abuja, as he quotes  the National Pension Commission data, (PenCom).

    Oguche added that the withdrawal amount in Q2 2024 significantly exceeds the N182.2 billion withdrawn by 443,720 RSA holders in Q3 2022, showing the deteriorating economic conditions, attributed by critics to faulty policies implemented by the current administration.

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    The PenOp CEO said, “Contributions from both the public and private sectors rose to N5.72 trillion in Q2 2024, while total pension assets reached N20.87 trillion as of the same period. N169.67 billion, representing 0.81per cent of total assets, was invested in infrastructure as of July 2024. Additionally, N2.16 trillion, or 10.35 per cent of total assets, was invested in the equity market, while N2.25 trillion was channeled into corporate debt in the second quarter of 2024.

    According to him, “The Contributory Pension Scheme (CPS) has a strong  transformative impact on pension management in Nigeria, describing it as a shift from a broken system to one that is transparent and reliable”.

    The Publicity Secretary, National Union of Pensioners, elections  Bunmi  Ogunkolade criticized the 2004 Pension Reform Act for failing to address key issues, including the periodic adjustment of pensions for retirees. The union claims this shortcoming has driven the Nigeria Police Force to seek an exit from the CPS.

    “The new scheme can be better if we address its challenges. There has been no increment for years, which is why the Police and other stakeholders want to leave the scheme. The lack of adequate post-retirement support has led many to engage in corrupt practices to secure financial stability in their old age. If pensioners are well cared for after service, agencies like the ICPC and EFCC would have less work to do.”

    Speaking, the Director General, PenCom Mrs. Omolola Oloworaran, who was represented by Head of Corporate Communications, Mr. Ibrahim Buwai, assured Nigerians that the federal government’s outstanding pension liabilities under the CPS will soon be cleared, as she states that the commission has successfully computed the backlog of pension liabilities.

    Oloworaran emphasized that efforts are underway to resolve the issue swiftly assuring that this matter will soon be behind us. ‘ We are committed to addressing the outstanding arrears.

    She said RSA holders can now use a portion of their pension savings as equity contributions for residential mortgages. This initiative has already empowered over 5,000 workers to achieve homeownership, with N47.13 billion disbursed as equity contributions from their RSAs to mortgage lenders.

  • Pensioners withdraw N247.47 billion from retirement savings accounts – NPC

    Pensioners withdraw N247.47 billion from retirement savings accounts – NPC

    A total of 483,464 pensioners have withdrawn N247.47 billion from their Retirement Savings Accounts (RSAs) in the second quarter of 2024 due to job loss, according to data from the National Pension Commission.

    The withdrawals, representing 25% of their pension savings, highlight the growing impact of the rising cost of doing business and the resulting high unemployment rate in Nigeria.

    This was revealed by the CEO of the Pension Funds Operators Association of Nigeria (PenOp), Ogwuche Aguda, during the 2024 annual conference of the Pension Correspondents Association of Nigeria (PenCAN) in Abuja.

    Aguda noted that the Q2 2024 withdrawal amount significantly surpasses the N182.2 billion withdrawn by 443,720 RSA holders in Q3 2022, reflecting worsening economic conditions that critics have blamed on faulty government policies.

    The PenOp CEO said: “Contributions from both the public and private sectors rose to N5.72 trillion in Q2 2024, while total pension assets reached N20.87 trillion as of the same period. N169.67 billion, representing 0.81% of total assets, was invested in infrastructure as of July 2024. Additionally, N2.16 trillion, or 10.35% of total assets, was invested in the equity market, while N2.25 trillion was channelled into corporate debt in the second quarter of 2024.

    “The Contributory Pension Scheme (CPS) has a strong transformative impact on pension management in Nigeria, describing it as a shift from a broken system to one that is transparent and reliable.”

    The publicity secretary of the National Union of Pensioners, elections, Bunmi Ogunkolade, criticised the 2004 Pension Reform Act for failing to address key issues, including the periodic adjustment of pensions for retirees. The union claims this shortcoming has driven the Nigeria Police Force to seek an exit from the CPS.

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    “The new scheme can be better if we address its challenges. There has been no increment for years, which is why the Police and other stakeholders want to leave the scheme. The lack of adequate post-retirement support has led many to engage in corrupt practices to secure financial stability in their old age. If pensioners are well cared for after service, agencies like the ICPC and EFCC would have less work to do.”

    Speaking, the director general, PenCom Mrs. Omolola Bridget Oloworaran, who was represented by the Head of Corporate Communications, Mr. Ibrahim Buwai, assured Nigerians that the federal government’s outstanding pension liabilities under the CPS will soon be cleared, as she stated that the commission has successfully computed the backlog of pension liabilities.

    Oloworaran emphasized that efforts are underway to resolve the issue swiftly assuring that this matter will soon be behind us. ‘We are committed to addressing the outstanding arrears.

    She said RSA holders can now use a portion of their pension savings as equity contributions for residential mortgages.

    This initiative has already empowered over 5,000 workers to achieve homeownership, with N47.13 billion disbursed as equity contributions from their RSAs to mortgage lenders.

  • Pension complaints and solutions

    Pension complaints and solutions

    SANI: My name is Sani. I worked with West African Postgraduate Medical College, Yaba, Lagos. We chose Leadway Pensure Pfa Limited at Number 121/123 Funsho Williams Avenue, Surulere, Lagos. My pension contributions employer/employee has been fully remitted to the Leadway. Also my Legacy has been fully remitted to the Leadway. I have retired since March 31, 2023 and have submitted all the necessary documents for RSA and Legacy to be paid to me since May 2023.

    Leadway told me that my documents were rejected because I did not put my pay slip. I sent the pay slip to them immediately. Since then no payment has been made to me. Leadway’s response is that PenCom has not approved my documents to pay me. Please, I want you to intervene so that my money can be paid to me. It has been six months that I am at home without earning Salary. Thank you.          

    PENCOM: Dear Sir, please carry out the Enrolment exercise, and submit the Enrolment slip, you may wish to visit www.pencom.gov.ng for guidance on how to get enrolled.

    ANNONYMOUS: I am Oforlea. I retired on September 14, 2022. My date of birth is November 23, 1964 but it was wrongly captured in my NIN as November 23, 1965 which has been corrected. I later went for recapturing at Premium Pension but the staff of the company refused to attend to me. He said my date of birth is different from the date of birth in the PenCom record. Meanwhile, I have November 23, 1964 in all my records. What should I do?

    PENCOM: Please send the complaint to info@pencom.gov.ng

    ANNONYMOUS: I have a problem with my pension. I am a police officer.  My pension has not been paid into my pension account since 2017. I have been on this for the past three years now by moving from one office to another but all my effort proved abortive. Kindly help me.

    PENCOM: Kindly provide your name and PIN.

    OSEZUA: Hello, my complaint is that I don’t know which pension I belong to. I was enlisted into the Nigeria police force on November 1, 2008. I was told by Fidelity Pensions and Trustfund Pensions that all my money has been transferred to PenCom. Till date I don’t know which PFA I belong to, whether my money is with pencom or with Nigeria Police Pension NPF. Kindly assist me to know where I belong. Thank you.    

    PENCOM: Dear Sir, please visit your preferred Pension Fund Administrator among the two PFAs and undergo the Data Recapture Exercise.

    AORNAN:  Good day, I strongly need your help. My dad was a staff of Federal Government Girls College Gboko. His name Aornan and he died on the 8/07/2015. He was still working before he died. It was even on his way back from work that he had an accident and died. I and my brother are his next of kin but we have not been paid. I would be very happy if you help me on this matter.

    PENCOM: Dear Sir, kindly liaise with your late Dad’s Pension Fund Administrator to ensure the necessary documents have been submitted in order to process his benefits. However, in case the necessary documents have been submitted to his PFA, kindly provide his RSA PIN and other details to enable the Commission verify further.

    UFOT: Good day, my name is Ufot. I wish to complain about my unpaid pension by my former employer of over three years. The name of my former employer is Caverton Helicopters Offshore Support Group with office at Murtala Mohammed International Airport Ikeja. My PFA is ARM Pension. I have not yet retired as I am still under 60 years old. My former company Caverton Offshore Support Group put me on furlough and even before they put me on leave without pay they had not been paying my pension contributions to my PFA for over three years yet they were deducting my part of pension contributions from my salary without adding their own part of the contribution to remit to my pension administrator. I would appreciate it if you can compel them to pay my money for years as it runs into a couple of millions. If you require any form of proof I can provide them. Thank you.

    PENCOM: Dear Mr. Ufot, kindly write a letter of non-remittance to the Compliance and Enforcement Department of the National Pension Commission stating all necessary information such as name and address of the employer, period in which remittances were not made and any other useful information in order for your complaint to be resolved.

    Read Also: Pensioners lament non-payment of wage award

    FATAI: I applied to my PFA, Stanbic IBTC for my pension benefit for more than a year now. Since then, I have been receiving messages from them thanking me for my patience and informing me that they are yet to get approval from PenCom.

    I want to sue them. But am I to sue PenCom or LASPEC.

    PENCOM: Dear Mr. Fatai, please be advised that your request is yet to be forwarded to the Commission. Kindly liaise with your PFA.

     BASSEY: I am DSP Bassey. I am still serving in Nigerian Police. I will like to know: must I be with NPF Pension? I am presently with ARM Pension.

    PENCOM: Dear Mr. Bassey, please note that it is not compulsory that you move to NPF Pensions but it is advisable you discuss with your employer.

    OKPOSO:  Please I retired in 22 September 2022 from Cfao Nig. Plc. Please assist me on the non-payment of my pension from July 2023 to March 2024. Best regards.      

    PENCOM: Dear Pst. Okposo, kindly forward your RSA PIN as well as other necessary details to enable the Commission investigate further.

  • ‘How unverified diaspora pensioners can be restored to payroll’

    ‘How unverified diaspora pensioners can be restored to payroll’

    The Pension Transitional Arrangement Directorate (PTAD) has directed pensioners under the Defined Benefit Scheme (DBS) who were suspended from the pension payroll as a result of being unverified and living in the diaspora to renew their aliveness certificate from the Nigerian High Commission where they reside.

    Its Executive Secretary, Dr Chioma Ejikeme in a statement said this is a means of ascertaining their aliveness since they can not participate in “I’m Alive” exercise.

    Ejikeme explained that on the completion of the exercise, those who were not verified were dropped from the payroll with the exception of those in diaspora and sick pensioners.

    She said the policy and procedure that will guide the validation of diaspora pensioners has been put in place.

    She said: “In this regard, pensioners living in the diaspora who were previously on the inherited payroll from August 2015, will be reinstated to the diaspora payroll pending their physical verification.

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    “However, they must submit copies of the underlisted documents to complaints@ptad.gov.ng.They include letter of first appointment, letter of last promotion, letter of acceptance of retirement, bank statement showing last pension received, BVN slip with photograph,valid means of identification, and I am Alive certification from the Nigerian High Commission or notarised letter confirming aliveness.”

    Ejikeme stated that diaspora pensioners were required to send an updated aliveness certification after every six months of the last issue to the Directorate to make sure they continued to receive their monthly pension.

    Failure to do so would result in their suspension from the payroll, she warned.

  • Enugu uncovers 2,640 ghost pensioners

    Enugu uncovers 2,640 ghost pensioners

    The Enugu state government said that it has uncovered 2,640 ghost and deceased pensioners during the recent pension verification exercise.

    The government also announced that the administration has commenced payment of pensions to local government retirees in the state.

    Announcing the development on Sunday, August 25, in Enugu, the Secretary to the State Government (SSG), Prof Chidiebere Onyia, who frowned at the level of fraud in the pensions system, said the record provided by the local government pensions board indicated that the state had been paying over 8760 local government retirees as of April 2024 against the 7109 verified pensioners.

    He noted that the payment of pensions was in line with the promise of Governor Peter Mbah’s administration to clear outstanding pensions and gratuities inherited by the administration.

    He stated that over 7000 local government pensioners had since received payments following the governor’s approval of the recommendations of the Local Government Pensioners Biometric Verification Committee which conducted the verification exercise.

    “This will improve our people’s standard of living, raise purchasing power, and promote strong and sustainable economic growth in the state,” the SSG said.

    He added that a total of 7109 local government pensioners received monthly payments of close to half a billion naira in July, including 989 newly captured entrants who retired between April 2022 and April 2024 but were not accommodated in the pension scheme.

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    Restating the state’s commitment to clear all arrears, Prof Onyia stressed that the payment mode adopted by the state would guarantee that backlogs were phased out within the timeline set out by the government.

    “This administration will continue to support our citizens, particularly our senior citizens who dedicated their time and energy to serving the state. We will soon phase out all arrears inherited by the administration.

    “We are reforming the pensions system through strong institutional policies that would make it difficult for corrupt elements to find their way into the scheme. We have been able to digitalize the institution with measures that would make every transaction and payment transparent, accountable, and traceable,” he added.

  • ‘I am Alive’ platform excites pensioners

    ‘I am Alive’ platform excites pensioners

    Pensioners have been confirming themselves on the Pension Transitional Arrangement Directorate (PTAD)’s ‘I’m Alive  Confirmation’ platform, findings by The Nation have learnt.

    PTAD had in April, last year unveiled the online platform for pensioners to periodically confirm that they are alive so that they could continue to receive pension.

    This solution is aimed at taking away the stress of continuous field verifications for Defined Benefit Scheme (DBS) pensioners who are  on PTAD’s payroll.

    Executive Secretary, PTAD, Dr. Chioma Ejikeme reiterated that the platform helps to confirm the aliveness of pensioners from the comfort of their homes or neighbourhoods using a smartphone or computer system.

    She said: “Pensioners do not need to embark on stressful journeys for physical verification again.

    “Pensioners are required to log on to the PTAD’s website www.ptad.gov.ng in a well-lit environment and begin the process to confirm their aliveness.

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    “The I Am Alive confirmation is very simple, safe and easy to use. A pensioner can be assisted by a family member or friend to carry out the confirmation. There has been no stress verifying pensioners on the part of PTAD and the pensioners. It is one of the best things to happen to pension administration.”

    She said the diasporan pensioners were expected to participate in the programme, nothing that it is not only open to Nigerians in the United States but also in those in other parts of the world where Nigerian pensioners reside.

    She said this would enable PTAD to plan for them.

    On the steps to follow for the  Facial Confirmation, she said: “The first step is for the pensioner to log on to PTAD’s website: www.ptad.gov.ng using a smart phone or computer system, click on the “I Am Alive” icon at the top of the page and follow the instructions.

    “Secondly, they are to start the “I Am Alive” confirmation, following the two-step validation process, enter their pensioners numbers as well as their bank account.

    “Thirdly, they are to take their photo which will be validated with the existing picture in the PTAD database; perform the aliveness check by moving their face to follow the moving object on the screen; when the aliveness check is completed, confirmation page will display “Successful”.

    Finally, the pensioner will receive an SMS notification of the successful completion of the process.’’.

  • ‘You’re not only legally recognised pensioners’ union’

    ‘You’re not only legally recognised pensioners’ union’

    The Federal Parastatals and Private Sector Pensioners Association of Nigeria (FEPPPAN) has disagreed with the Nigeria Union of Pensioners (NUP) that it is the only legally constituted and recognised pensioners’ union in the country.

    According to FEPPPAN, the assertion that NUP was the only legally recognised body and voice of the entire civil and para-military pensioners in Nigeria was dishonest, mischievous and an attempt to discredit the act of the Federal Government in the regrouping of the old Nigeria Union of Pensioners (NUP).

    In a statement jointly signed by its Acting President-General and General Secretary, Babaji Magaji, and Franklin Erinle, the FEPPPAN said: “The clarification had become necessary to correct some ‘deliberate misinformation’ by NUP in a quest to be part of the National Minimum Wage Review Committee for Workers.”

    The statement further explained that the Federal Government having seen the heavy workload on the NUP, gave autonomy to pensioners of the Federal Parastatals, Private Sector and those under the new Contributory Pensions in a regrouping exercise carried out by the minister of Labour and employment, in line with the provision in Section 3 (2) of the Trade Unions Act CapT14 of 2004 as amended.

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    “The outcome of the regrouping exercise was the creation of Federal Parastatals and Private Sector Pensioners Association of Nigeria (FEPPPAN), Contributory Pensioners Union of Nigeria (CPUN) and the new Nigeria Union of Pensioners (NUP).

    “The NUP chose to fight the government over the approval and registration of the two additional Unions for the Nigerian Pensioners, who have different jurisdictional scopes. At the end of the two cases instituted by the NUP, which were lost, the Registrar of Trade Unions issued Certificates of Registration to the two additional Unions in March 2020. This was good news for Nigerian Pensioners, but not for the oppressive and manipulative NUP.

    “How then did the NUP come to make the unfortunate claim of being ‘the only legally recognized body and voice of the entire civil and para-military pensioners in Nigeria?’ We wish to also state that both FEPPPAN and the NUP are affiliates of the Nigeria Labour Congress (NLC). Even the NLC cannot but disagree with the misinformation of the NUP in this matter.”

  • Kwara offsets salary arrears of teachers, pensioners with additional N1bn

    Kwara offsets salary arrears of teachers, pensioners with additional N1bn

    Kwara State Government has committed another N1,031,149,451.36 (one billion, thirty one million, one hundred and forty nine thousand, four hundred and fifty one naira, thirty six kobo) to offset the salary arrears the last administration owed local government workers, basic school teachers and pensioners.

    This was fulfilment of the commitment of the administration to settling the arrears it inherited from the past administration as resources permit.

    In January, the government began the payment of 100% CONHESS for health workers at the local government levels — with the monthly palliatives of N10,000 per worker and pensioner.

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    Between January 2020 and January 2024, the government has spent at least N5.5bn to offset the arrears of salary and gratuities for SUBEB teachers, local government workers and local government pensioners alone — apart from meeting its multibillion naira monthly obligations to these categories of workers and many others since it was elected in 2019.

  • Pensioners protest exclusion from minimum wage negotiation panel

    Pensioners protest exclusion from minimum wage negotiation panel

    The Nigeria Union of Pensioners (NUP) has kicked against the lack of nomination of pensioners in the minimum wage negotiation committee raised by the Federal Government.

    The 37-member Tripartite Committee to negotiate and agree on the new minimum wage would be constituted on Tuesday (today).

    The current minimum wage of N30,000 went into effect five years ago.

    In a letter addressed to the Secretary to the Government of the Federation, Senator George Akume, the NUP expressed worry that the Constitution clearly stipulated that minimum wage and pension are to be reviewed side by side, but lamented that while the government was set to inaugurate a committee to negotiate workers’ minimum pay, the reverse seemed to be the case for pensioners.

    The pensioners’ un    ion wondered if the exclusion of pensioners in the committee meant that another committee would be set-up and inaugurated at a later date to review pension, or that the government had no plans to review pension.

     It therefore demanded that pension review should take place alongside the minimum wage.

    In the letter, which was signed by NUP’s General Secretary, Actor Zal, the union urged the SGF to correct the omission or communicate to pensioners the true intent of the government concerning the review of pension.

    The letter reads: “We draw your attention to the non-inclusion of   Nigeria Union of Pensioners to represent the interest of pensioners in such a committee on minimum wage…”      

     be inaugurated.

    “The Committee is to review the National Minimum wage as a result of the removal of fuel subsidy that inflicts hardship on many households in Nigeria, pensioners inclusive.

     “Accordingly, the constitution of the Federal Republic of Nigeria Section 173/10 explicitly states that ‘pension shall be reviewed every five years or whenever workers’ salaries are reviewed, or whichever comes earlier’.

    “In view of the above, it is our considered opinion that the Nigeria Union of Pensioners should have been represented in the Committee in the interest of justice and fairness to the Senior Citizens who are worse hit by the economic hardship and have the constitutional ‘locus’ to a five yearly salary review.

     “Therefore, we appeal to your Excellency to correct this great omission before the inauguration of the Committee on the 30th of January, 2024.

     “lmperatively, this is to avoid a situation where pensioners’ issue will be addressed separately after the workers’ issue are already settled.”

  • Pensioners slam Fed Govt over non-payment of fuel subsidy palliative

    Pensioners slam Fed Govt over non-payment of fuel subsidy palliative

    Pensioners are angry over the non-payment of fuel subsidy removal palliative to them.

       It would be recalled that President Bola Tinubu offered them the palliative last October.

    The pensioners are unhappy that though workers have been paid the palliative,  they were yet to get it.

    They even more angry over the alleged sleaze at the Ministry of Humanitarian Affairs and Disaster Management under the suspended Minister, Betty Edu.

    Yesterday, Tinubu suspended Edu, following widespread anger over an alleged N585 million scandal, according to the Special Adviser on Media and Publicity to the President, Ajuri Ngelale, in a statement.

    The National Union of Pensioners (NUP) yesterday cried out to the President that pensioners did not receive any cash from the ministry.

    It said this was contrary to  Tinubu’s directive, authorising the ministry to pay N25,000 wage award to serve as palliative for pensioners.

    The President had on last October 1 (Independence Day) announced that intervention funds of N35,000 be paid for six months to Federal workers. The workers have since been receiving the money while pensioners are yet to get it.

    In an interview, NUP’s spokesperson affirmed that as at yesterday, no pensioner had been paid the palliative.

    He said they are more worried with allegations of corruption levelled against the minister.

    Ogunkolade said the ministry had been asking for documents from the union and they have been providing those available to them.

    He said: “The ministry has been asking for different documents from the union and they have been providing those available to them.  Yet, we keep telling them to liaise with other government agencies like the National Pension Commission (PenCom) and the Pension Transitional Arrangement Department (PTAD), both of which have been paying pensions to us and have our information.

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    “With the news on financial impropriety, we are almost losing fate that we will ever get the money. It saddens out heart that some government officials just want to steal pension money at any slightest opportunity.

    “We call on the President to intervene so that the money can be released by the ministry and we can be paid.’’

    He stressed that pensioners were the most affected by the inflation, following the removal of fuel subsidy.

    “Pensioners are worse hit by the rise in price of goods in the market because of the meagre pension majority of them are paid monthly. Pensioners go to the same market with other able-bodied workers. They are also special breed because most of them depend on regular drugs due to their age.This is because they are prone to high blood pressure, diabetes, old age sicknesses, among others. That is why we are always appealing to governments to take care of these special people.

    “We want the government to  consider the pensioners first and  include them anytime they want to do anything for workers in the country. We want the government to increase our pension, double our pension and also provide free medical care,” he said.