The National Pension Commission says that the recent recovery of N14.76bn by the agency has boosted the confidence of contributors and encouraged employers to embrace the Contributory Pensions Scheme.
The Acting Director General, PenCom, Aisha Dahir-Umah, said that the money was recovered from unwilling and recalcitrant employers, who failed to remit deducted pension funds as at when due.
“The entire amount recovered comprises principal contribution of N7.53bn and penalty of N7.23bn, and has been credited into the workers’ Retirement Saving Accounts,” she said.
According to her, the development has spurred more employers in the country to be compliant with the rules guiding the CPS.
“Out of 14,511 organisations that the commission received applications from, 13,469 organisations were issued with certificates and remitted the sum of N110.69bn,” Dahir-Umah stated.
The acting director general had recently told members of Nigeria Employers’ Consultative Association, during a meeting on the challenges and future outlook of the Pension Reform Act, 2014 in Lagos, that the commission had adopted different strategies to ensure compliance with the provision of the Act by employers.
She assured employers that the commission had set up a transparent, efficient and effective process that would ensure timely issuance of certificates to qualified applicants.
“It is important to state that the pension industry has transited from a deficit of over N2tn in 2004 to accumulated pension fund asset worth over N8.23tn, with registered membership of 8.14 million as of July 2018,” she said.
The Director General, NECA, Segun Oshinowo, said social dialogue had been one of the critical success factors, adding, “It is shaping and guiding the achievements of PenCom in the administration and implementation of the PRA since inception.”