By Barth Ikiebe.
Retirees under the Contributory Pension Scheme have appealed to the National Pension Commission to review its disbursement policy and pay the full arrears of retirement benefits directly into the accounts of beneficiaries.
The appeal was made in an open letter addressed to the Director-General of PenCom by the Senior Citizens Association of Nigeria, Retirees Chapter, following the Federal Government’s release of over N758bn to settle outstanding pension liabilities.
In the letter, signed by the association’s National Coordinator, Rev. Adio Odejide, and National Secretary, Prof. Idorenyin Etukudo, the retirees expressed appreciation to President Bola Tinubu for approving the payment, describing the move as a major relief for pensioners, who had long suffered delays in receiving their entitlements.
However, the association voiced concerns over PenCom’s current policy which stipulates that arrears exceeding N100,000 be spread over a retiree’s expected lifespan rather than paid in full.
The retirees argued that the policy was “not favourable” and urged the commission to pay every entitled retiree—whether on Programmed Withdrawal or Annuity—the full amount due to them at once.
“Our demand is that, no matter the amount that a retiree is entitled to, the entire amount should be paid into the beneficiary’s account since the retirees would have enjoyed this amount if the entitlements were released as and when due,” the letter stated.
The group noted that prompt payment of the arrears would help cushion the economic hardship faced by many retirees amid rising inflation and cost of living pressures.
The retirees also commended the Federal Government for responding to their earlier requests, which included enhancement of monthly pension payments, clearance of backlog arrears, implementation of consequential adjustments, and pension increments.
They expressed optimism that with PenCom’s intervention and the government’s continued support, their long-awaited benefits would soon be fully disbursed.
The association stated, “If the payment of these arrears is made as desired, it will go a long way in providing the much-needed relief and alleviate some financial burden of the retirees”.
