Yemisi Izuora
The National Pension Commission (PenCom) said it has launched determined initiative to ensure retirees receives their benefits in a sustainable way going forward.
The Commission, said it is working out details of how such benefits are implemented without putting much burden on beneficiaries.
The Director General (DG) of the Agency, Omolola Oloworaran, while speaking at PenCom Media Conference in Lagos on Thursday recalled that it has faced the persistent issue of delays in the payment of accrued rights.
Just recently she said N44 billion was approved under the 2024 budget appropriation to settle accrued pension rights for retirees from March to September 2023.
But moving forward, Oloworaran, said the PenCom has commenced a process which it is working with the Federal Government to put in place a sustainable solution that ensures retirees receive their benefits promptly and without undue stress.
Dwelling on the theme of the conference, “Tech-Driven Transformation: Shaping the Pension Landscape,” she said technology has become the backbone of transformation across all sectors, and the pension industry is no exception.
“At PenCom, we have embraced this transformation wholeheartedly. Today, we have over 10.5 million contributors and oversee pension assets in excess of 21.9 trillion Naira as of October.
“This progress demonstrates the strength of our contributory pension system, but we are not without challenges. Inflation, for instance, continues to erode the purchasing power of pensioners, and we are actively seeking innovative solutions to address this issue.” she said.
Since assuming office, she said she has focused on strengthening compliance, enhancing service delivery, diversifying pension assets to optimize returns, improving benefits, and expanding coverage to include more Nigerians, especially those in the informal sector.
She also said she is passionate about micro-pension initiative, promising that no one should be left behind, no matter how small their earnings might be.
The DG, emphasized that technology plays a vital role in driving this inclusion, from mobile enrollment to real-time account management to benefits administration and assured the Agency’s determination to use technology to scale the micro-pension plan.
Highlighting some of the Commission’s initiatives, the DG said this year PenCom, achieved a major milestone with the launch of the e-Application Portal for Pension Clearance Certificates (PCC) in October.
This initiative replaces the previous manual process, enabling companies to seamlessly apply for and receive PCCs online.
Since its deployment, PenCom has issued over 38,000 PCCs, significantly enhancing ease of doing business and ensuring compliance.
Additionally, the Pension Industry Shared Service Initiative is in advanced stages of implementation and this initiative will digitize pension contributions and remittances, ensuring seamless processing of contributions and resolving discrepancies caused by incomplete remittance details.
To further enhance contributors’ experiences, the Commission has introduced a revised programme withdrawal template, simplifying access to voluntary contributions and revising the threshold for en-bloc payments in line with the new minimum wage.
These measures are designed to make retirement processes more efficient and user-centric.
But beyond policies and systems, what really excites the DG, is the potential to transform lives.
She said, “Every time I meet a pensioner who is able to live comfortably because of the contributions they made during their working years, it reminds me of why this work is so important. And every time I hear from a young entrepreneur or artisan who has signed up for the micro-pension scheme, it strengthens my belief that we are moving in the right direction.”
She also used the opportunity to acknowledge the role of the media in this journey.
“You are not just storytellers; you are stakeholders in the success of our pension system. Your ability to inform, educate, and hold us accountable is invaluable. “So, I urge you to continue asking the tough questions, highlighting areas that need improvement, and, yes, celebrating the wins when they come.” Oloworaran said.
She added that as the industry integrate technology across every aspect of the pension industry ranging from data and identity management to seamless contributions, investment oversight, regulatory supervision, and service delivery, the Commission is paving the way for a future where the Contributory Pension Scheme (CPS) becomes more accessible, reliable, and sustainable.
However, she stated that this transformation cannot succeed without the unwavering support of the media, stressing that journalists role in amplifying the initiatives and educating stakeholders across Nigeria is essential to achieving this vision.
“Together, we can ensure that every Nigerian, including the most vulnerable, has access to a secure and dignified retirement.” she added.