Retirement, Pension: Tinubu Gets Fresh Request From NLC on Payment, “Give Us 50%”

• President Bola Tinubu has been told to do the needful regarding the retirement of Nigerian workers
• Joe Ajaero's led NLC demanded a 50% increment in lump sum payments of pension as he highlighted the financial struggles faced by retirees
• At an event in Abuja, the NLC president called for an overhaul of the "pension system, transparency and reform"

Legit.ng journalist Esther Odili has over two years of experience covering political parties and movements.

Joe Ajaero, the president of the Nigeria Labour Congress (NLC), has demanded an increase in the lump sum payment on retirement to 50% under the Contributory Pension Scheme (CPS) to enable retirees to begin a comfortable retirement life.

The Contributory Pension Scheme (CPS) was introduced in Nigeria to replace the old pension system and provide a more sustainable retirement plan.

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However, many Nigerian workers face uncertainties and challenges upon retirement.

Pension: NLC Make demands

Joe Ajaero, at a programme on retirement in Abuja, highlighted the sad reality facing retirees, where pension values have dwindled in the face of inflationary pressures.

According to Ajaero, the proposal will expand investment opportunities beyond housing and would empower workers to utilize their Retirement Savings Accounts more effectively, Vanguard reported.

Speaking further, the NLC president expressed concern over transparency under President Bola Ahmed Tinubu's government, advocating for a more strict measure to curb mismanagement and ensure pension funds' integrity.

At the event, the NLC raised several questions on the minds of retiring workers.

Joe Ajaero said:

“Many Questions fill the minds of workers as they retire ; such as will my pension be paid immediately after I leave service? What will I survive on after my last salary in service? What will the real value of my pension be in terms of purchasing power? Will it be sufficient to cover my basic needs? Will I receive it regularly as expected? Will it be adjusted to keep pace with inflation to maintain its value?

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“Delayed Pension Payments; Inconsistent Policy Implementation and paucity of Support for Informal economy still persist thus necessitating the need for inclusive policies that integrate informal workers into the pension system.

“We demand the strengthening and reforming of the pension systems to ensure timely and adequate payments, make Pension governance more transparent to reduce looting.”

Labour advises government on former pension scheme

Earlier, Legit.ng reported that Comrade Joe Ajaero, president of the NLC, called for a return to Nigeria's previous pension scheme.

Ajaero stressed that retirement should be a period of security and dignity for every worker, not a source of anxiety about financial stability.

Ajaero highlighted significant pension arrears amounting to nearly N260 billion owed by the Federal Government, along with additional arrears from federal parastatals.

Proofreading by Nkem Ikeke, journalist and copy editor at Legit.ng.

Source: Legit.ng