Owerri, Imo State (Nigeria): The National Pension Commission (PenCom) has announced plans to utilise ₦758 billion from the Federal Government’s bond issuance to clear outstanding gratuities and pension arrears.
This move is expected to provide relief to retirees and reinforce trust in Nigeria’s pension administration system.
Ms Omolola Oloworaran, the Director-General of PenCom, said this on Friday in Owerri at a two-day workshop organised by the commission and the National Salaries, Income and Wages Commission.
The PenCom director-general was represented by Mr Samuael Uwandu, the National Commissioner of the Commission’s Inspectorate.
Oloworaran said that over the decades, there had been some issues with the gratuities or the amount paid to pensioners.
She gave an example with the Police retirees, noting that their pension is tiny and inconsistent with what they had contributed.
“Thanks to President Bola Tinubu, who has given PenCom a bond of N758 billion, and we are working towards cashing it, and we hope to cash it towards the end of the year.
“The bond will be converted into cash, all the gratuities will be paid in full by December this year, and everybody who is owed arrears will be paid in full.
“Those who qualify to be paid since the increase in pension from 2007, the retirees are still being owed, the commission will pay them also “, she said.
Oloworaran added that President Tinubu is committed to improving the well-being of Nigerians, including the retirees.
According to her, PenCom is in talks with the Government to increase their arrears from 75 per cent to 100 per cent of their final emoluments.
“What this means is whatever is a pensioner’s salary when he retired, is what he will continue to receive or 75 per cent of that.
“Although PenCom is just an intermediary, we have contacted the President, and what we should understand is that this is an Act and an Act comes from the National Assembly that makes the laws.
“But if a change to an Act comes from the Executive, it can easily be rectified by the National Assembly.
“Those who qualify to be paid since the increase in pension from 2007, the retirees are still being owed, and the commission will pay them”, she said.
Comrade Bisan Olufemi, National Secretary, Nigeria Union of Pensioners Contributory Pension Scheme Sector (NUPCPS), expressed appreciation to the National Salaries Income and Wages Commission for releasing funds to clear 18 months of accrued pension to the pensioners.
He also thanked the Federal Government for paying the accrued pension arrears up to October this year, expressing happiness that the Government was ready to pay for November.
Similarly, Olufemi commended PenCom for its promise to ensure that all retirees would begin receiving their retirement benefits the month of their retirement.
Mr Chris Duru, one of the retirees who participated in the sensitisation workshop, thanked the organisers and urged them to do the same annually for more retirees to benefit
.
The sensitisation workshop was organised for all retirees across the five states of the South-East geo-political zone, with more than 107 retirees participating.