PenCom, NLC Launch Task Force To Hunt Pension Defaulters

Employers who fail to remit pension deductions face possible exclusion from Nigeria’s N29 trillion pension assets, the National Pension Commission (PenCom) has warned, as it intensifies enforcement against non-compliant firms in collaboration with labour leaders in Lagos State.

This follows the establishment of a joint enforcement task force by the Nigeria Labour Congress, Lagos State Council, and the National Pension Commission to track employers who deduct workers’ pension contributions but fail to remit them to the appropriate Pension Fund Administrators.

The warning was issued at an interactive session on the Contributory Pension Scheme (CPS) for executives of the Lagos State chapter of the Nigeria Labour Congress held in Lagos.

Chairperson of the NLC Lagos State Council, Comrade Funmi Sessi, said the task force would strengthen monitoring and enforcement across both public and private sectors, stressing that pension deductions must be treated as sacrosanct worker entitlements.

She described the persistent non-remittance of pension contributions as a breach of trust and a violation of workers’ rights, warning that defaulting employers could face sanctions and organised labour action.

Sessi said the newly inaugurated task force, drawn from the State Administrative Council and State Executive Council of the NLC, would work with PenCom to identify erring organisations and ensure compliance with pension laws.

Representing the Director-General of PenCom, Director of Compliance and Enforcement, Mr Ahmed Lawan, said the Pension Reform Act transformed Nigeria’s pension system from a promise-based arrangement into a funded contributory structure backed by real savings in Retirement Savings Accounts.

He explained that while the public sector has made significant progress in settling outstanding pension obligations, compliance challenges remain in the private sector, where some employers continue to deduct workers’ contributions without remittance.

Lawan warned that PenCom has introduced stricter enforcement measures, including restricting non-compliant organisations from accessing pension funds and other related financial opportunities.

According to him, Nigeria’s pension industry currently manages over ₦29 trillion in assets, adding that no organisation would be allowed to benefit from the system without full compliance with pension remittance laws.

He said the Lagos partnership with organised labour is aimed at strengthening oversight, closing compliance gaps, and ensuring that employers who default are held accountable.

“The objective is to ensure that employers cannot hide or escape responsibility for workers’ pension contributions,” Lawan said.

Both PenCom and the NLC Lagos State Council expressed confidence that the new enforcement framework would improve compliance, safeguard workers’ retirement savings, and strengthen confidence in the Contributory Pension Scheme.