PenCom recoups N24bn from employers
By Patience Ikpeme
From June 2012 to March 31, 2023, the National Pension Commission (PenCom) recouped a total sum of N24, 533,339.305.09.
This consists of N12,440,682,240.91 principal contributions held back by employers and another N12,092,657,064.18 as penalties for failing to remit their workers pension contributions.
All of these were disclosed by the Director General, National Pension Commission, Aisha Dahiru-Umar on Thursday in Abuja at the 2023 journalist conference themed ‘Transforming Service Delivery in Pension Industry:strategy for improving Efficiency and customer satisfaction in Abuja.
The DG who was represented by Head of Corporate Communications, Abdulkadir Dahiru also stated that, in the first quarter of 2023 (Q1, 2023), the Commission was able to recover from 34 defaulting employers, the sum of N384,280,651.48.
“This sum include N193,058,483.56 withheld principal contributions and N191,222,167.92 penalties”.
The Head of Consumer Protection Department PenCom Mr Ikenna Chidi-Ebere in his presentation stated that the commission has introduced a ‘whistleblowing Mechanism’ to motivate the general public especially the private sector employees to report employers not complying with the provisions of PenCom Reform Act 2014 ( Non-remittance of Mandatory Monthly Pension Contributions).
While making his presentation “enhancing customer service in the Pension Industry: PenCom’s New Strategic Plan” Mr Ikenna pointed out that the report can be submitted anonymously to protect employees against being victimized or job loss.
“Employers can also report any observed irregularity that relates to pension matters which may hamper the customer satisfaction” he added.
Mr Ikenna also was said the report could be made on or offline at the address provided by the commission.
The DG PenCom Aisha Dahiru-Umar also said the “commission’s proactive regulatory approach has helped to strengthen the oversight and governance of pension funds, promoting transparency, accountability and safeguarding the interest of pension contributors”.
The DG further pointed out that pension assets have risen “by N1.77 trillion in the first half 2023, from N14.99 trillion in December 2022 to N16.76 trillion at the end of June 2023”.
The DG also said there was significant increase in membership from 9.86 million to 146,920 new contributors as at the end of 2022 a d over 10 million members in June 2023.
“The current Contributory Pension Scheme (CPS) is to ensure that public and private sector workers can build retirement savings throughout their working lives, fostering financial security during their golden years” she added.
The DG further stated that “this again is to establish uniform rules, regulations and standards for administration of pension matters with strong regulatory frame work” .
She disclosed that the Consumer Protection Department was established to replace the Corporate Responsibility and Servicom Department in line with the the Commission’s corporate strategy initiative for 2023 to 2027.
The purpose of its creation is to ensure protection of rights and effective service delivery to consumers retirement sayings account holders and retirees.
The DG noted that every worker should receive retirement benefits as at when due and that as part of the contributory pension objective, it is also to help workers save in other to meet their needs in old age.
