Pensioners Storm Finance Ministry Over Delayed Payments
By Patience Ikpeme
Pensioners under the Contributory Pension Scheme (CPS) staged a protest at the Federal Ministry of Finance on Tuesday, demanding the immediate payment of their pension arrears. The aggrieved pensioners blocked the ministry’s entrance, insisting on a meeting with the Minister of Finance and Coordinating Minister of the Economy, Wale Edun.
In response to the protest, Minister Edun met with the pensioners and acknowledged the delay in pension payments. He attributed the issue to a backlog of contributions under the old pension system and assured the protesters that the government is working on a solution.
“There is a backlog in terms of contributions, the backlog under the old system, and there is a solution,” Edun explained. “We have a plan for dealing with the backlog under the Contributory Pension Scheme.”
The Minister further revealed that the government plans to address the immediate issue of pension arrears by allocating N88 billion in the 2024 budget, of which N22 billion has already been paid. He committed to paying the remaining balance within the current fiscal year.
To address the long-term pension challenge, Edun disclosed that the government is exploring the option of accessing the capital market to raise funds and clear the backlog. “We are going to present to Mr. President a viable solution using the financial market to take care of the huge backlog under the contributory pension scheme,” he said.
The National Chairman of the Nigeria Union of Pensioners Contributory Pension Scheme Sector (NUPCPS), Sylva Nwaiwu, expressed concern over the delayed payment of retirement benefits and the exclusion of CPS retirees from recent pension increments. He also highlighted the issue of accrued rights, with 18 months of accrued rights still outstanding.
Nwaiwu urged the government to prioritize the welfare of pensioners and take immediate steps to address their concerns. He emphasized the urgent need for the payment of pension arrears and the implementation of consequential adjustments arising from the National Minimum Wage Act.
