News Column

PenOp Urges Workers to Embrace Pension Scheme

May 7, 2014

Sola Alabadan

The Pension Fund Operators Association of Nigeria (PenOp) has called on workers who are yet to embrace the Contributory Pension Scheme to do so now by opening Retirement Savings Account (RSA) with the Pension Fund Administrators of their choice.

PenOp's Executive Secretary, Susan Oranye, who made this call during the workers day celebration in Lagos, urged workers to open RSA as a means of guaranteeing their future.

She said "PenOp is here to honour and support Nigerian workers, which is what the workers' day is all about. The underlying concern for all pension fund administrators is for the workers, to prepare them for when they would not be able to work again. We are here to appreciate them for all they are doing to sustain the economy. We are also here to tell workers to think of the future, by opening Retirement Savings Account (RSA). "The workers are indeed working hard, but they should also understand that after the work, they still have bills to pay and how to pay these bills should be planned now that they are in active service. We are calling on the workers who are yet to embrace the Contributory Pension Scheme to do that now."

The PenOp scribe assured the workers that the pension industry has done exceedingly well between 2004 when the scheme commenced and the present time as all the workers who retired under the scheme are being paid their pension benefits promptly. She stated that "The industry has done exceedingly well, given the level of awareness. Since the scheme started, about N24. 6 billion have been paid to over 84,000 retirees. There has never been any story. This is what we are trying to make workers understand. This is a new dispensation, it is not like the old scheme where people line up, cry and beg for their money. The new scheme is really working and focused on workers. It is transparent, fully funded, safe and every worker should embrace it. It provides decent living for retirees during retirement." Speaking on non-remittance of pension contributions by some employers, she said the National Pension Commission (PenCom) and the pension operators are working hard to tackle the challenge, noting that PenOp has been educating employers on the need to understand that the fund is for their employees and that they should also consider the system as a corporate social responsibility which helps in boosting the morale of workers.

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Source: AllAfrica