House of Representatives Committee on Pensions has called on the Pension Transitional Arrangement Directorate (PTAD) to address gratuity provisions, capital project implementation and comply with Corporate Social Responsibility (CSR) requirements in the 2026 budget.
The committee also lauded PTAD for its steady progress in implementing pension reforms and improving the welfare of retirees under the Defined Benefit Scheme (DBS).
Speaking during the Directorate’s 2025 budget performance presentation in Abuja, PTAD’s Executive Secretary, Tolulope Odunaiya, outlined key milestones achieved despite funding challenges.
These include the seamless implementation of the 28% pension increase approved in 2024, payment of arrears to over 155,000 pensioners, and recent presidential approvals to clear outstanding arrears, introduce health insurance coverage for pensioners, and strengthen the Defined Benefit Scheme.
Odunaiya disclosed that N128.9 billion was appropriated for pensions in 2025, with N62.7 billion released by June and N56.6 billion already utilised, representing 91.2% of releases.
She added that while no allocation was made for gratuities in the current year due to an oversight, PTAD continues to meet its pension obligations and is working with the Federal Government to address unfunded liabilities and other challenges.
The Executive Secretary also admitted that no funds were appropriated for gratuities in the 2025 budget due to what she described as an “inexplicable oversight,” despite N777.8 million being allocated and fully released in 2024.
She also disclosed that N25 billion was appropriated for unfunded pension liabilities in 2025, with N13 billion released and N8.7 billion utilised so far.
“On personnel expenditure, N2.4 billion was appropriated for 2025, of which N1.09 billion had been released and fully utilised. Overhead costs recorded N1.49 billion in appropriations, with N434 million released and N334 million expended by mid-year.
“Capital expenditure of N820 million has yet to be implemented due to delays arising from the bottom-up cash flow management policy and the extension of the 2024 capital budget to December 2025,” Odunaiya stated.
The committee, chaired by Hon. Jallo Hussaini Mohammed, commended PTAD for what he described as “tangible efforts to safeguard the welfare of pensioners,” noting that the Directorate has consistently demonstrated commitment to accountability and service delivery.
However, the chairman reminded the agency of the need to embrace CSR in its plans, saying the committee would ensure those provisions are reflected in the 2026 budget of all pension-related agencies.
“Corporate social responsibility is not just about compliance, it’s about giving back. As we move into the 2026 budget year, we want to see CSR captured by all pension agencies, including PTAD,” Mohamed said.
He assured pensioners that the National Assembly remains committed to protecting their rights and ensuring prompt payment of entitlements, adding that the committee would continue to work closely with PTAD to resolve outstanding issues.
The lawmaker also pledged continued oversight support and PTAD, expressing gratitude for the House Committee’s guidance and collaboration.
“The House has directed us to carry out thorough oversight of pension agencies. Activities in 2026 will not be business as usual. We will enforce accountability and ensure pensioners get what is due to them,” he stated.
