Monday, August 18, 2025 - Retired federal employees under the Contributory Pension Scheme (CPS) are to get an additional N32,000 monthly pension.
The sum will be paid to each of them from a N758
billion bond approved by President Bola Ahmed Tinubu for clearing all
outstanding pension liabilities.
The increment, according to officials, will ensure that
retirees benefit from the National Minimum Wage Amendment Act 2024 and the
consequential adjustments.
It will serve as a baseline for all retirees in the
education, health, security, and Armed Forces sectors under the CPS, regardless
of their accumulated savings.
President Tinubu, on 6 August, directed the “prompt
implementation of long-overdue pension increases and a minimum pension
guarantee” to provide a safety net for vulnerable retirees.
An official of the National Pension Commission (PenCom)
confirmed that with the National Assembly’s concurrence, proceeds from the bond
will soon be released to settle the retirees.
PenCom’s Director-General, Omolola Oloworaran, explained
that the N758 billion would be spread across three critical categories: N253
billion for accrued rights of workers employed before the CPS commenced in 2004
or close to retirement at the time; N387.5 billion to clear pension increases
dating back to 2007; and N107 billion for the Pension Protection Fund, created
to augment pensions for low-income earners.
She stressed that the intervention was vital to restoring
confidence in the CPS, describing it as a long-overdue step to resolve nearly
two decades of unpaid pension increments.
The National Salaries, Incomes and Wages Commission (NSIWC)
had last year announced the adjustment, confirming that retirees would receive
an additional N32,000 monthly under the new minimum wage framework.
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