JUST IN: Retirement Savings Account Of 41, 628 Employees Not Credited As PenCom Sets December 31 Deadline
The National Pension Commission (PenCom) has set a deadline to take action against employers who are remitting the pension contributions of their employees with incomplete documentation.
The regulator disclosed its decision on Wednesday in a statement titled, ‘Outstanding Pension Contributions in the account of Pension Fund Administrators’ which was obtained by THE WHISTLER.
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Nigeria’s Pension Reform Act 2014 (PRA 2014) mandates employers of labour that have three or more employees to remit pension contributions into the Retirement Savings Accounts (RSAs) of their employees with Pension Fund Administrators (PFAs).
Based on the Act, employers are required to remit the pension contributions of their employees who are yet to open RSAs into nominal RSAs with any PFA chosen by the employer.
But the regulator said it has observed non-compliance to the PRA 2014 by employers of labour in the country.
PenCom said, “The National Pension Commission (PenCom) has observed that some employers are remitting the pension contributions of their employees with incomplete documentation. Consequently, PFAs have been unable to credit the RSAs of the affected employees.
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“The list of the affected employers and employees can be viewed on the websites of PenCom and PFAs. All employers and employees on the aforementioned list are required to provide the PFAs with the requisite information to facilitate the crediting of pension contributions into the employees’ RSAs.”
The list seen by THE WHISTLER shows that 41, 628 affected employees are yet to have their accounts credited.
“Please note that the Commission shall take appropriate regulatory actions against employers who fail to comply with this directive by 31 December 2023, in line with the provisions of the PRA 2014.”
PenCom further reassured RSA holders of its commitment to effectively regulate and supervise the pension industry, to ensure that retirement benefits are paid as and when due.
