The National Pension Commission (PenCom) has directed all Federal Government self-funded agencies to immediately review and implement pension increases for eligible retirees, in line with constitutional and statutory provisions.
In a circular signed by Usman Musa, Director of the Contribution and Bond Redemption Department, PenCom noted that while retirees of Treasury-funded Ministries, Departments and Agencies (MDAs) have consistently enjoyed periodic pension increments, many retirees of self-funded agencies have been left out.
PenCom reminded agencies that Section 173(3) of the 1999 Constitution (as amended) mandates pension reviews every five years or whenever salaries in the Federal Civil Service are reviewed.
The Pension Reform Act (PRA) 2014 further guarantees retirees the right to such adjustments.
Accordingly, self-funded agencies whose salary structures fall under National Salaries, Incomes and Wages Commission (NSIWC) circulars are to apply the relevant pension increases.
Agencies outside the NSIWC framework were advised to liaise with PenCom to determine appropriate adjustments for their retirees.
The commission attached previous pension review circulars, including a 15 per cent increase in 2010, 33 per cent in 2014, consequential adjustments in 2019, 20 per cent and 28 per cent increases in 2024, a ₦32,000 monthly adjustment in 2024, and earlier reviews dating back to 2012.
PenCom stressed that strict compliance is required to ensure fairness and improved welfare for all eligible federal retirees.
Reporting by Bimbo Oyetunde