Governor of Lagos State Babajide Sanwo-Olu, has cleared N68.5 billion in pension arrears owed to public servants who retired from state service.
This announcement was made by Bode Agoro, the head of service, during a sensitization event on the contributory pension scheme (CPS) organized by the Lagos State Pension Commission (LASPEC) in Lagos.
Agoro commended Sanwo-Olu for prioritizing the welfare of retirees, ensuring timely access to their benefits. He emphasized the governor’s commitment to improving the overall welfare of public servants in the state.
The CPS, which became law on March 19, 2007, aims to provide a sustainable retirement plan for public servants, securing their financial stability after retirement. Agoro highlighted that various government policies have been implemented to strengthen the Nigerian pension industry, protect workers’ retirement benefits, and ensure the security of citizens’ savings.
“The sensitization program was initiated to combat misinformation about the pension scheme, providing updated information to public servants,” Agoro stated. He urged all public servants to update their data with their pension fund administrators (PFAs) to facilitate smooth processing of retirement payments, particularly for those who have recently changed their service documents or personal information.
In a bid to further streamline pension payments, Agoro announced efforts to link national identification numbers (NIN) to all accounts, including bank and telecommunications accounts. He reassured attendees that periodic updates would be available to accommodate any changes in personal circumstances.
Babalola Obilana, the director-general of LASPEC, emphasized the importance of the CPS, which requires both employees and employers to contribute a portion of the employee’s salary into a managed pension fund. This collective approach aims to provide financial security for public servants and promote a culture of savings and responsibility.
Obilana also raised concerns about some public servants in various ministries, departments, and agencies (MDAs) who have not opened their retirement savings accounts (RSAs). He cautioned that failing to do so could jeopardize their future financial security and complicate their pension payment processes.
The event attracted public servants from various MDAs and parastatals, who were encouraged to take advantage of the program and ensure their pension documentation is up to date.
