The President of the Nigeria Labour Congress (NLC), Joe Ajaero, has urged the National Pension Commission (PenCom) to impose stricter sanctions on employers who fail to comply with pension regulations in Nigeria.
Ajaero made the call on Thursday during a Roundtable Discussion between PenCom and the NLC leadership, which was attended by Nairametrics.
According to him, the NLC continues to receive numerous complaints about the alleged inefficiency of some Pension Fund Administrators (PFAs) and the persistent non-compliance of several employers across both the public and private sectors.
“We call for stronger and more decisive regulatory actions from PenCom. This should include publishing the names of non-compliant employers and imposing stiffer sanctions,” Ajaero said.
NLC Presents More Recommendations to PenCom
Ajaero commended the Director-General of PenCom, Ms. Omolola Oloworaran, and her management team for initiating the interactive session, describing it as a positive step toward strengthening collaboration for the overall welfare of Nigerian workers.
He stressed the importance of addressing existing challenges within the Contributory Pension Scheme (CPS) and exploring ways to enhance its efficiency, accountability, and transparency.
The NLC President expressed deep concern over the continued non-inauguration of PenCom’s full board, noting that while a PenCom chairman is in place, the absence of a fully constituted board undermines governance, delays strategic decisions, and weakens oversight.
He urged the Commission to engage the appropriate government authorities to ensure the immediate inauguration of the full board, emphasizing that doing so is fundamental to promoting transparency, accountability, and effective service delivery.
Ajaero further proposed the creation of a standing committee comprising representatives from both the NLC and PenCom to proactively address emerging issues and serve as a rapid-response mechanism for workers’ grievances.
“This will deepen our collaboration and enhance mutual understanding,” he added, stressing the need for stronger regulatory oversight and enforcement against pension defaulters.
PenCom Commits to Workers’ Welfare
In her remarks, PenCom DG Omolola Oloworaran reiterated that the Contributory Pension Scheme (CPS) remains one of the most transformative social security reforms in Nigeria’s history.
“Despite its challenges, the CPS has restored confidence in the dignity of labour by ensuring that every Nigerian worker’s sweat translates into retirement security,” she said.
- Oloworaran acknowledged the NLC’s consistent advocacy for workers’ welfare, noting that labour unions have played a key role in shaping Nigeria’s pension landscape through sustained collaboration with the Commission.
- She encouraged the NLC to engage in constructive dialogue regarding the Revised Regulation on the Investment of Pension Fund Assets and the proposed amendments to the Pension Reform Act 2014, currently under consideration by the National Assembly.
- According to her, PenCom will continue to explore strategies to improve compliance with the Pension Reform Act among private-sector employers and state governments, while addressing issues related to benefits administration and timely payments.
What You Should Know
The NLC’s fresh demands come just weeks after PenCom announced the recovery of N4.57 billion from defaulting employers between Q1 2024 and Q1 2025 — underscoring its commitment to safeguarding workers’ retirement savings under Nigeria’s Contributory Pension Scheme.
This was disclosed by Mr. Oguche Agudah, Chief Executive Officer of the Pension Fund Operators Association of Nigeria (PenOp), in August 2025.
Agudah explained that the recovered sum comprised N2.12 billion in outstanding pension contributions and N2.45 billion in penalties imposed on 138 employers who failed to remit pension funds as required by law.
