We’re working with FG on accrued rights, ensuring retirees receive benefits promptly- PenCom DG
Director General of the National Pension Commission, (PenCom) Omolola Oloworaran,
Abdullateef Fowewe
The Director General of the National Pension Commission, Omolola Oloworaran, has said that the commission is working with the Federal Government on accrued rights, and putting in place a sustainable solution that ensures retirees receive their benefits promptly and without undue stress.
She also emphasised the importance of technology in reshaping the pension sector.
Oloworaran while speaking during a conference with the theme “Tech-Driven Transformation: Shaping the Pension Landscape,” on Thursday, at the Bon hostel in Ikeja, Lagos, acknowledged ongoing challenges like inflation and payment delays, noting that initiatives like the micro-pension scheme aim to enhance inclusivity, while digital solutions streamline processes.
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.
“We also continue to face the persistent issue of delays in the payment of accrued rights. Recently, 44 billion Naira was approved under the 2024 budget appropriation to settle accrued pension rights for retirees from March to September 2023. Moving forward, we are working with the Federal Government to put in place a sustainable solution that ensures retirees receive their benefits promptly and without undue stress.
Since assuming office, my team and I have been 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.
“The micro-pension initiative, in particular, is something we are very passionate about. It is our way of saying that no one should be left behind, no matter how small their earnings might be. Technology plays a vital role in driving this inclusion, from mobile enrollment to real-time account management to benefits administration. We intend to use technology to scale the micro-pension plan.”
The DG while talking about the commission’s initiatives noted that the commission has achieved a major milestone with the launch of the e-Application Portal for Pension Clearance Certificates (PCC) in October 2024, stressing that the initiative replaces the previous manual process, enabling companies to seamlessly apply for and receive PCCs online.
“Since its deployment, we have 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. 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, we have 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 me is the potential to transform lives. 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,” Oloworanran added.
Oloworanran while acknowledging the media’s role in Nigeria’s pension sector urged media collaboration to ensure a secure retirement for all Nigerians, highlighting the critical role of technology in achieving these goals.
“Now, let me take a moment 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. And maybe, just maybe, next time you’ll get my picture right!
“As we 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—we are paving the way for a future where the Contributory Pension Scheme (CPS) becomes more accessible, reliable, and sustainable.
“However, this transformation cannot succeed without your unwavering support as media practitioners. Your role in amplifying our initiatives and educating stakeholders across Nigeria is essential to achieving this vision,” she added.
