The Federal Government has approved the payments of outstanding pension liabilities under the Contributory Pension Scheme (CPS) through a Presidential order.
This was disclosed by the Head of Corporate Communication at the National Pension Commission (PenCom), Mr Peter Aghahowa, in a statement in Abuja on Wednesday, according to the News Agency of Nigeria.
PenCom disclosed that it wishes to inform all its stakeholders, particularly retirees of Treasury-funded Federal Ministries, Departments and Agencies (MDAs) that President Muhammadu Buhari has approved PenCom’s submission.
They added that the approval was on the payment of some critical aspects of the outstanding pension liabilities of the Federal Government under the CPS specifically.
What PenCom is saying
“Payment of the outstanding accrued pension rights was for verified and enrolled retirees of treasury-funded MDAs retired but yet to be paid their benefits and backlog of death benefits due to beneficiaries of deceased employees.
Payment of 2.5 per cent differential in the rate of employer pension contribution for Federal Government retirees and employees resulted from an increase in the minimum pension contribution for employers from 7.5 per cent to 10 per cent in line with Section 4 of the Pension Reform Act, (PRA) 2014.
Payments for retirees and existing employees would begin from July 2014,” Mr Aghahowa stated.
PenCom added that the FG was expected to continue with the payment of the 10 per cent rate of employer pension contribution for its employees, thus ensuring remittance of at least 18 per cent monthly (employer 10 per cent and employee 8 per cent) as provided by the PRA 2014.
“The settlement of the outstanding accrued pension rights of verified and enrolled FGN retirees and compliance with the reviewed rate of pension contributions are significant developments, that have resolved the challenges in these aspects that have lingered since 2014,” PenCom said.
What you should know
Nairametrics reported earlier that the federal government through the Pension Transitional Arrangement Directorate (PTAD) announced that it received the sum of £26.5 million as repatriated pension funds from Crown Agents Investment Management (CAIM).
Does it mean that people who are already receiving their pension salary will be increased.
Thanks l remain Emmanuel E.
It depends on when you retired Sir. If you retired in 2014, then it benefit from it.
It applies to the civil servants that retired in 2014 upward.
Need to get more ideas, process and procedure.
Please let the chairman senate committee on national housing fund investigate the federal mortgage Bank that the MD of the FMBN said that they have disbursed home renovation loan to staff of federal Ministry.
I’m a staff of federal Ministry of Works and Housing Housing sector in Maiduguri and we have applied for the home renovation loan and it’s know about five years and we have not benefited from the scheme.
I am a retiree and I have started taking my monthly pensions from my insurance company on an annuity. Am I still eligible for the 2.5% a rude pension payment?
Yes sir. From July 2014 till date will be paid as arrears.
Yes sir.
Sorry typing error: I mean accrued pension payment? Folorunso Emmanuel.
I retired from the University of Ibadan in the year 2010. Kindly let me know if l am among the pensioners to be paid arrears! Secondly, if someone has gone to annuity, will the person be paid?
The payment only affects the civil servants that from 2014 upward Sir.
That retired 2014 upward I meant to say.
PENCOM specified the critical outstanding pension liabilities that have been approved for payment,can PENCOM please inform the public the non critical pension liabilities that are still outstanding ?.
PENCOM Specified the critical noutstanding pension liabilities that have been approved for payment, can PENCOM please inform the public the non critical pension liabilities that are still outstanding?