…Warns Employers Against Non-Remittance Of Workers’ Pension Contributions
President Bola Tinubu has assured Nigerian retirees that no citizen who has served the country will be forgotten in retirement, pledging to strengthen the Contributory Pension Scheme and improve pensioners’ welfare.
The President gave the assurance on Thursday at the inaugural National Pension Week Leadership Summit held at Transcorp Hilton, Abuja, where he announced measures aimed at restoring dignity and financial security to retirees.
Tinubu, who was represented by the Secretary to the Government of the Federation, Senator George Akume, said his administration regarded pension payments as an obligation to workers rather than a privilege granted by government.
Delivering an address themed, “Pensions for All: Building a Secure Future Together,” the President said pension benefits represented earnings deferred by workers and held in trust for their retirement.
He said his administration was committed to ensuring that Nigerians who had devoted their working lives to national development received the benefits they had earned.
Tinubu disclosed that he had approved a N758bn Federal Government Pension Bond to settle accrued pension rights and strengthen the Pension Protection Fund.
According to him, the measure is intended to address outstanding pension obligations inherited by his administration, including cases in which retirees had waited for years to receive their accrued benefits.
He described the bond as an act of restitution to Nigerians who served the country but were denied timely access to their retirement entitlements.
The President also announced plans to implement the Minimum Pension Guarantee provision of the Pension Reform Act 2014, which he said had remained unimplemented for more than 11 years after the law was enacted.
He said the policy shift would strengthen retirement protection and provide greater assurance for pension contributors.
Tinubu further announced the launch of PenCare, a national retiree wellbeing programme designed to provide access to essential healthcare for low-income pensioners.
The initiative is expected to expand the scope of retirement protection beyond savings and benefit payments to include healthcare support for vulnerable retirees.
The President said a strong pension system was essential to social protection and Nigeria’s economic transformation, noting that long-term domestic savings could support financial market development and productive investment.
However, he warned employers in the public and private sectors against deducting workers’ pension contributions without remitting them to the appropriate pension accounts.
He described the practice as a breach of trust and urged employers to ensure that contributions were remitted fully and promptly.
Tinubu also charged the National Pension Commission to enforce pension regulations without fear or favour, while calling on Pension Fund Administrators and Custodians to improve their expertise, diversify investments responsibly and reduce costs.
He said the success of pension fund management should be measured by the benefits contributors ultimately received rather than the size of assets under management.
The President cautioned that retirement savings must generate returns capable of protecting contributors against inflation, stressing that capital preservation and disciplined growth should go hand in hand.
He added that although pension assets could contribute to national development through infrastructure and productive enterprises, investment decisions must prioritise the interests of contributors and meet rigorous risk-and-return requirements.
Tinubu also called for the expansion of pension coverage beyond the formal sector to include traders, artisans, farmers, transport workers and other self-employed Nigerians.
He said the Personal Pension Plan and new distribution channels should provide more accessible opportunities for informal-sector workers to save towards retirement.
The President urged state governments, organised labour and other stakeholders to work towards expanding pension coverage, improving compliance and ensuring faster payment of benefits.
He said the outcome of the summit should be measured by concrete improvements, including increased enrolment, stronger investment performance, clearer disclosure and better retirement outcomes.
“The true measure of our success will not be how much money the system holds. It will be how much security, and how much dignity, it delivers,” the President said.
He reiterated that his administration was committed to ensuring that Nigerians who had served the country could look forward to retirement with greater security and dignity.
