The affected pensioners and workers would be returned to the Defined Benefit Scheme.
Edo State Government enacted the Edo State Contributory Pension Scheme Law in 2010, and implementation of the CPS commenced in February 2017 with the amendment law passed in 2017.
The National Pension Commission (PENCOM), in 2023, confirmed that the Edo State government was remitting 10 per cent employer and 8 per cent employee pension contributions including the conduct of actuarial valuation to determine the employee’s accrued pension rights.
Edo Commissioner for Labour and Productivity, Godwin Eshieshie, who spoke at a press briefing in Benin City, said Governor Okpebholo gave the approval following outcry by pensioners.
Eshieshie said the pension benefit of the affected pensioners and workers would be computed in line with the extant rules of the Scheme.
He reiterated that Civil and Public Servants recruited after 2017 remained part of CPS.
According to him, “Government has put all necessary machinery in place to effect necessary amendments to give effect this approval.
“Governor Okpebholo has said he will not subject Edo State workers to denial of their entitlement. He will follow this exit from CPS assidiously with a draft bill to the Assembly for necessary amendment to the Pension Law.
“Without the amendment, it will not be easy to begin implementation of the exit. Within the next few weeks, we will make sure the amendment bill is sent to the Assembly and as soon as it is passed, full implementation will commence.
“Governor Okpebholo has decided to implement this to save all pensioners receiving pittance.
He has sympathy for workers.”
Chairman, Pension Bureau, Washington Abbe explained that the delay for the approval was to work out the financial implication of the exit from CPS.
“We have looked at the possibility of getting the process to run seamlessly. The fear of retiring into poverty is over. The CPS was a death sentence. The PENCOM will be notified of the state government’s decision.”
Acting chairman of Edo NLC, Comrade Bernard Egwakhide, commended Governor Okpebholo for listening to workers’ plight.
“We are happy that some persons sentenced to deathtrap have been relieved.”
