Pension: Forum of Retired Federal Directors applaud Rep. Jimbo

Elizabeth AtimeFebruary 25, 20244 min

The move to amend the 2014 Pension Act to enable public and private retirees to choose their mode of contributory pension scheme was a noble act.

The Forum of Retired Federal Directors of Nigeria has commended Rep. Clement Jimbo (APC, Akwa Ibom) for championing the plights of Nigerian retirees.

The group gave the commendation during a courtesy call on the lawmaker in Abuja.

The Chairman of the Technical Committee of the group, Mr. Ntufam Oqua Etta said that the motion on Pension Act amendment, moved on the floor of the House by the lawmaker, would go a long way in addressing the challenges faced by retirees in the country.

Adding that the move to amend the 2014 Pension Act to enable public and private retirees to choose their mode of contributory pension scheme was a noble act.

Mr Etta noted that they were happy to see a lawmaker who is passionate about the welfare of senior citizens and praised him for being magnanimous to sponsor such life enlivening motion to address the abnormalities in the 2014 Pension Act. 

He, however, appealed to the lawmaker that while amending the 2014 Pension Act; “pension should reflect the current economic situation in the country, immediate payment of pension after retirement without delaying for one to three years, an optional contributory pension scheme for public and private servants to choose their mode of savings while in service and for Pension Fund Administrators (PFA) to pay an accrued sum to pensioners unlike what is currently being practised by PFA”.

He decried the stagnant immigration payment system for retirees who are on the Contributory Pension Scheme saying: Imagine paying somebody one hundred thousand naira since 2008 till date. It’s less than fifty thousand naira. With the rate of inflation in the country”.

Another member of the forum, Mr. Peter Dama, commended the lawmaker for thinking out of the box.

The Forum intends to submit its elaborate proposal towards the bill soon. However, for this first interaction, the following are the highlights of the intended amendments to the law.

Provision making it mandatory for the commencement of pension payment to retirees to be effected not later than one month following the effective date of retirement, failing which payment of arrears shall be with interest.

“Secondly, to review the following components of the pensions of the Contributory Pension Scheme (CPS) retirees every five (5) years or simultaneously with the review of civil service salaries, which comes earlier, as provided in Section 173 (3) of the constitution, according to the average rate of review of salaries.

“We are not fighting for ourselves alone. The contributory pension scheme is punishment. It is shortchanging the pensioners. We have been trying but nobody is listening to us”, he noted.

In his response, Rep. Jimbo said that he was worried by the injustice meted out to pensioners by the Pension Fund Administrators, hence the reason he called for amendments to the Pension Act for proper management.

He reiterated that the law, when amended, will also provide options for savings for retirees to enable them to choose if they will save with the PFA or individually.

He also pledged his commitment to sponsorship of people-oriented bills and motions to alleviate poverty in Nigeria and thanked them for calling on him.

OrderPaper recalls that the Member Representing Abak/Etim Ekpo/Ika Federal Constituency in Akwa-Ibom state, Rep. Clement Jimbo, had on Tuesday, 20th February 2024 moved a motion urging the House to investigate complaints of former employees who have been negatively impacted by the administration of Pension Funds.

Elizabeth Atime

Leave a Reply

Your email address will not be published. Required fields are marked *

Related Posts

Please email us - contents@orderpaper.ng - if you need this content for legitimate research purposes. Please check our privacy policy

  • JOIN OUR COMMUNITY

  • MEMBERSHIP BENEFITS
    Close