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NLC Laments As Only 6 States, FCT Joined Contributory Pension Scheme

by Andrew Ojiezel
2 years ago
in News
NLC
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The leadership of Nigeria Labour Congress (NLC) has raised alarm as only six states with Federal Capital Territory (FTC) out of 36 states have fully joined the Contributory Pension Scheme (CPS).

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Expressing how other state governments are jeopardising the hope of benefits of workers after service to their fatherland, Comrade Joe Ajaero lamented that it was unacceptable for state governments to toy with the future of workers under government payroll.

Under the CPS, the employer and the employee contribute 10 per cent and eight per cent of the workers’ monthly emolument respectively, totalling 18 per cent, which is paid into the Retirement Savings Account of the worker with the Pension Fund Administrator.

The DBS is funded by the government to provide monthly stipends for workers at retirement.

But the organised labour and pension union members in their reactions lambasted the state governments, saying while governors retired into luxury, retirees lived in penury and saw retirement as a death sentence.

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It would be recalled that the Pension Apex Body, National Pension Commission (PenCom) expressed shock that as of end of June 2023 only six states and the Federal Capital Territory have fully implemented the Contributory Pension Scheme.

According to PenCom’s second quarter report for 2023, apart from the FCT, states fully implementing the CPS are Lagos, Osun, Kaduna, Ekiti, Edo, and Ondo.

No fewer than 26 states have yet to fully join the scheme.


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