PenCom kicks against bill excluding paramilitary from Pension scheme

The National Pension Commission (PenCom) on Friday kicked against the bill seeking to exclude paramilitary organisations including the police from the Contributory Pension Scheme(CPS). The Acting Director-General of PenCom, Mrs Aisha Dahir-Umar, said in Abeokuta that the exclusion of the paramilitary organisations from the national pension scheme would not augur well for the officers and […]

The National Pension Commission (PenCom) on Friday kicked against the bill seeking to exclude paramilitary organisations including the police from the Contributory Pension Scheme(CPS).

The Acting Director-General of PenCom, Mrs Aisha Dahir-Umar, said in Abeokuta that the exclusion of the paramilitary organisations from the national pension scheme would not augur well for the officers and men of the agencies.

She spoke at the 2017 Annual Retreat organised by Pension Operators (PenOp) comprising 21 Pension Funds Administrators (PFAs) and four Pension Custodians.

The  bill seeking to amend the Pension Reform Act, 2014 to exclude members of the Nigeria Police, the Nigerian Security and Civil Defence Corps and Nigeria Customs Service (NSCDC) from the Contributory Pension Scheme on May 16 passed the seconding reading in the House of Representatives.

The bill, sponsored by Mr Oluwole Oke, is also seeking to exempt the Nigerian Prison Service (NPS), Nigerian Immigration Service (NIS) and the Economic and Financial Crimes Commission (EFCC) from the scheme.

Mrs. Umar said their exemption would impact negatively on the country’s economy.

“The bill have dire consequences not only on the pension reform, but on the other reforms of governments,” said the acting DG, who was represented by Mr Aminu Farouk, the Head of Research and Management in the commission.

She said the Federal Government was already overburdened with the payment of pensions as reflected in the 2016 Appropriation Act.

According to her, about N200 billion was appropriated in the Act as pensions and gratuities which is still insufficient to fund pension liabilities of government.