Pension arrears cleared, monthly payments jump as PenCom gets tough on compliance
Nike Popoola
The National Pension Commission (PenCom), under the leadership of Director-General Omolola Oloworaran, today announced a landmark shift in Nigeria’s pension administration, declaring that full pension compliance is now an existential requirement for all stakeholders in the industry.
Addressing a press conference in Lagos, Oloworaran stated that effective immediately, any entity without a valid Pension Compliance Certificate (PCC) will be blacklisted and barred from engaging in any pension-related business with licensed operators regulated by PenCom.
This directive applies to organizations such as banks, investment partners, parent companies of pension firms, and shareholders linked to licensed pension entities.
All affiliated entities must enforce compliance and submit annual attestations.
“We are drawing a red line. Pension compliance is no longer optional, it is existential. Only those who value the future of their employees can participate in this ecosystem,” the DG declared.
In a groundbreaking development, Oloworaran also announced that Contributory Pension Scheme retirees up to March 2025 have now been fully paid their pension entitlements, marking a near-total clearance of long-standing pension arrears.
This achievement, she said, is a result of the consistent release of funds for accrued rights since November 2024, made possible by the decisive leadership of President Bola Tinubu.
“We are just few steps away from eliminating pension arrears entirely, a historic milestone that restores credibility to the Contributory Pension Scheme,” she said.
Further uplifting news came with the launch of Pension Boost 1.0, which takes effect from June 2025. Under this initiative, monthly pension payments under the Contributory Pension Scheme will rise from N8.3 billion to N11.9 billion, driven by strong investment performance and a revised pension enhancement template.
The DG emphasized that this is not a token increase but a strategic leap backed by robust economic reforms and enhanced RSA fund performance. President Tinubu’s approval of a N750.8 billion bond to clear outstanding pension liabilities underscores the administration’s commitment to ensuring a secure and dignified retirement for Nigerian workers.
“We are building a pension system that is transparent, inclusive, and unshakable. We are restoring faith in retirement. To employers who have delayed pension remittances, your grace period is over. To operators who remain complacent, there will be consequences,” she warned.
PenCom reaffirmed its commitment to protecting the retirement future of every Nigerian worker, stating that this is a new era of accountability, fairness, and dignity in pension administration.
