Pension

Lagos State expends N132.84bn on employees’ pension rights in 9 years

From left: Commissioner Establishments, Training and Pensions Lagos State, Dr. Benson Akintola, presenting a certificate to a retiree; Director-General Lagos State Pension Commission, Folashade Onanuga and Acting Head of Service, Lagos State, Folasade Adesoye at the event.

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Chuks Udo Okonta

Lagos State Government has expended about N132.84 billion on employees’ pension rights under the Contributory Pension Scheme (CPS) in a period of nine years, the Commissioner of Establishments, Training and Pensions Lagos State, Dr. Benson Akintola, has said.

He disclosed this today at the 34th Retirement Benefit Bond Certificate Presentation Ceremony in Lagos, where N1.9 billion bond certificates were presented to 495 retirees.

He noted that in the last 16 months – August 2015 to November 2016, the state has paid accrued pension rights of N21.929 billion to 5027 retirees, adding that as at November 2016, accrued pension rights of about N,55.94 billion had been paid to 12,426 retirees by the state government since the commencement of payment of entitlements in the contributory pension scheme in 2010.

Akintola posited that the state government is also very much committed to the regular contribution of the monthly deduction of 7.5 per cent from the salary of employees and the payment of the employer’s 7.5 contribution, stating that as at November, 2016 the total contribution remitted to the Pension Fund Administrators (PFAs) from April 2007 to date is over N75 billion.

He congratulated the recipients, urging them to ensure they invest their money in lucrative ventures and avoid spending on frivolities, bearing in mind the economic situation of the country.

From left: Acting Head of Service, Lagos State, Folasade Adesoye; Commissioner Establishments, Training and Pensions Lagos State, Dr. Benson Akintola and Director-General Lagos State Pension Commission, Folashade Onanuga at the event.

The Director-General Lagos State Pension Commission (LASPEC) Folashade Onanuga, told the retirees to consider their certificates as passports to financial empowerment, stressing that the presentation of the certificates marks a turning point in their lives.

She noted that Governor Akinwunmi Ambode, who is also a retiree, knows the importance of pension and had pledged to ensure that retirees in the state enjoy their entitlements to enable them have comfortable lifestyle in old age.

Mrs Onanuga said the state through the commission has paid to named beneficiaries of deceased employees, insurance benefits worth over N144 million, adding that the state is set to pay another N56.1 million death benefits at the event, which would bring the total sum to approximately N170 million.

“The insured death of 320 per cent of the terminal salary of a deceased staff is designed by law to be paid to alleviate the immediate needs of the family members left behind. The estate of a deceased staff is also entitled to receive the balance in the retirement account and accrued rights due, if the employee had joined service before the commencement of the contributory pension scheme,” she said.

The Acting Head of Service Lagos State, Mrs Folashade Adesoye, urged the retirees to continue praying for the state governor and his team, adding that soonest, retirees will begin to get their entitlements immediately they leave service.

Retirees at the event

Some retirees who spoke at the event, lauded the state government for ensuring retirees get their pension entitlements. They also applauded employees of Lagos Pension Commission for helping them with relevant information.

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