PenCom, Judges Strengthen Alliance To Advance Pension Reforms

The National Pension Commission (PenCom) has renewed its commitment to working closely with the judiciary to advance Nigeria’s pension reforms and improve the administration of retirement benefits across the country.

Speaking at a Sensitization Workshop on the Contributory Pension Scheme (CPS) for Judges of the National Industrial Court of Nigeria (NICN) in Abuja, the Director-General of PenCom, Mrs. Omolola Oloworaran, described the engagement as a vital step in deepening collaboration between the judiciary and the pension industry.

Oloworaran noted that the session offered an opportunity to strengthen understanding and address lingering concerns about the pension system, particularly issues surrounding accrued rights, delayed remittances, and the transition of some judicial officers into the Contributory Pension Scheme.

She disclosed that with the intervention of President Bola Tinubu, the Federal Government had begun settling the retirement benefits of Treasury-funded Ministries, Departments, and Agencies (MDAs) promptly.

The PenCom boss also revealed that discussions were ongoing with the National Judicial Council (NJC) to resolve cases involving judges whose accrued benefits were affected by their movement into the CPS prior to their elevation to the Bench.

Oloworaran further unveiled the Personal Pension Plan (PPP) — a newly rebranded voluntary pension scheme targeted at self-employed individuals, professionals, and others not covered under the mandatory contributory arrangement.

She encouraged judicial officers to explore the PPP as a means of securing their financial stability after service.

“Your welfare remains a priority,” she said. “We encourage your Lordships to consider the Personal Pension Plan to enhance your retirement security. PenCom remains steadfast in ensuring that this goal is achieved.”

As part of efforts to promote pension literacy and jurisprudence, Oloworaran also announced the publication of the first volume of the Pension Law Report, a compilation of landmark judicial pronouncements on pension-related matters.

She commended Justice Benedict Bakwaph Kanyip, President of the NICN, for his support in championing pension law development and for fostering the partnership between the judiciary and the Commission.

In his remarks, Justice Kanyip called for a national conversation on what he described as the “moral imbalance” in Nigeria’s pension system.

He criticized the practice of granting lifetime pensions and gratuities to former governors and political appointees, describing it as inconsistent with democratic values and the principles of social justice.

Citing a Court of Appeal decision in Governor of Kogi State & Ors v. Ahmed & Ors, Kanyip said. “It is not morally right to pay an elected public officer or political appointee pension and gratuity for holding such an office for three to eight years… any law that provides for such lacks moral justification and promotes social injustice.”

The NICN President urged PenCom to intensify enforcement of pension laws, ensure full remittance of contributions by employers, and leverage technology to enhance transparency and efficiency in the system.

He expressed concern that despite over two decades of pension reform, only about 10 percent of Nigeria’s working population is covered under formal schemes, a situation he said must change if the CPS is to achieve its intended purpose.

Justice Kanyip concluded by reaffirming the judiciary’s role in protecting workers’ post-employment rights and upholding the integrity of the pension system, adding that reforms must be sustained to guarantee fairness and inclusiveness.