By Sola Alabadan

The Pension Fund Operators Association of Nigeria (PenOp) has raised the alarm that the bill seeking to exempt the National Assembly Service from the Contributory Pension Scheme (CPS) will have negative impacts on the pensioners and should therefore be discarded.

Recently, both Chambers of the National Assembly passed a “Bill for an Act to amend the Pension Reform Act, 2014, to Exclude/Exempt the National Assembly Service from the Contributory Pension Scheme and Establish the National Assembly Service Pension Board; and for Related Matters.”

PenOp stated that “the passage of this bill sets a dangerous precedence that will not augur well for hardworking Nigerians, working across the private and public sector, who depend on the Contributory Pension Scheme (CPS) for retirement security and stability.
“The introduction of the CPS in Nigeria marked a departure from the unsustainable pension schemes the country had been operating in the past. This scheme has brought transparency, international best practice and guaranteed peace of mind to millions of pensioners. For these reasons and many more, the need for the above bill is indeed unfathomable and unjustifiable.”
The pension operators expressed grave concern regarding the way the bill was passed, saying” The passage of this bill seems to have been unnecessarily expedited and shrouded in secrecy with very little engagement and input from critical stakeholders—as it was passed during the National Assembly’s recess.”” “Indeed, it is disturbing that this bill did not go through any public hearing, a key component of the legislative process that allows stakeholders to have their voices and opinions heard for possible inclusion in the process. If this was done, pertinent issues such as the amendment of retirement age, funding of pension liability, and the potential debt burden on government—all of which are affected by this bill—would have been debated and brought to the fore.
“The National Assembly prides itself as the heart of our democracy. Indeed, the halls of the National Assembly are the people’s halls. As such, it is extremely important that the legislative authority the National Assembly wields is in no way subverted to serve vested interests in passing anti-people legislation. The exemption of any agency or group from the Contributory Pension Scheme (CPS) holds grave consequences for the Nation’s struggling fiscal position and will potentially upend the retirement security of pensioners who have given their blood and sweat in service to our great Nation.
“Therefore, without reservations, PenOp, as a critical stakeholder in Nigeria’s pension industry, wishes to state that it considers the passage of this bill a procedural anomaly and legislative immorality. Hence, we call on all well-meaning Nigerians to note this grave anomaly and join us in calling on the National Assembly to reconsider its decision as well as enjoin the Executive and the Judiciary to outrightly condemn this action.
“More specifically, we call on the National Economic Council, the Minister of Finance, Budget & National Planning, the Secretary to the Government of the Federation and all relevant government stakeholders to look into this anti-people bill and ensure that it is not signed into law.
“Finally, should this bill proceed to Mr. President, we call on him to kindly refuse to assent to this bill in the interest of the people, the sustainability of the Nation’s pension system and the flawed procedure in which this bill went through.”

Insurance and pension operators in Nigeria will be attending the BusinessToday conference holding on Tuesday, April 4, 2023 at Oriental Hotel in Lagos.

The annual conference usually deliberate and find solutions to issues that affect the insurance and pension sectors in the country.

The National Insurance Commission (NAICOM) and the National Pension Commission (PenCom) have endorsed the upcoming 2023 annual conference of BusinessToday Communication Limited.

The two agencies will lead other professionals to the conference to discuss burning issues in the insurance and pension sectors.

The Conference which is the seventh edition in the series, has the theme: “Consumer Satisfaction In Deepening Penetration In Insurance And Pension Sectors.”

The keynote Speaker is the Chief Executive Officer, Centre for the Promotion of Private Enterprise [CPPE], Dr. Muda Yusuf, is expected to be the Keynote Speaker while the Chairman of the occasion is Babajide Olatunde- Agbeja, Chairman Boff and Company Insurance Brokers Limited.

The Commissioner for National Insurance Commission (NAICOM), Mr. Sunday Thomas is the special guest of honour.

A statement by the Editor-In-Chief/Chief Executive Officer, BusinessToday, Nkechi Naeche-Esezobor, said experts drawn from insurance and pension sectors would be on hand to speak on the theme of the conference.

The Director General, National Pension Commission (PenCom), Mrs. Aisha Dahir-Umar; the Chairman Nigerian Insurers Association, Segun Omoshein ( NIA) and President of Pension Fund Operators Association of Nigeria, (PenOp),) Mr. Olumide Oyetan, have all confirmed their attendance at the conference.

Similarly, Pension Guru and former Managing Director/ CEO, Access Pension Fund Custodian Limited, Mrs. Idu Okwuosa- Okeahialami and the Director General NIA, Mrs Yetunde Ilori among others, will be in attendance.

Others expected are: Association of Pension Desk Practitioners of Nigeria; Amagamated Traders Association Alakoro Market; Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), Nigerian Union of Pensioners, Trade Union Congress, Nigerian Labour Congress, Association of Senior Staff of Banks Insurance and other Financial Institutions (ASSBIFI), Consumer Awareness Organisation, Market Women, People Living With Disability in Lagos, Nigerian Port Authority and Students of insurance (Laspotech).

In appreciation of the giant strides being made by the National Pension Commission (PenCom) in the Nigerian pension industry, the National Association of Nigerian Students (NANS) has inducted the Director General of PenCom, Mrs Aisha Dahir-Umar, into the Association’s Hall of Fame.
In addition to recognising her professional service and purposeful leadership in the pension industry, NANS also conferred on Mrs Dahir-Umar the NANS Merit Award for her contributions to national development and support for young people and students.
Speaking during the award ceremony in Abuja recently, the Senate President of NANS, Comrade Attah Felix Nnalue said NANS Merit Award is presented to individuals whose lives exemplifies the ideas of living for the sake of others and dedicate themselves to national building and service to humanity.
Comrade Nnalue said the induction of Mrs Dahir-Umar into NANS Hall of Fame and the presentation of NANS Merit Award to her were in line with the resolution of the 68th Senate Meeting of NANS held on 25th January 2023 at the University of Abuja.
He Commended the Director General for her hard work, exemplary lifestyle, contribution to nation building and the advancement of the pension industry.
Mrs Dahir-Umar has been part of the journey to reform pension administration and management in Nigeria.
Under her leadership as the Director General, PenCom has attained significant milestones in its diligent implementation of the Pension Reform Act (PRA) 2014 through the successful conclusion of several critical initiatives.
Pension fund assets have been on a sustained growth trajectory, increasing from N6.15 trillion in 2016 to N14.99 trillion as of December 2022.
Similarly, the number of registered pension contributors grew from 7.41 million to 9.86 million during the same period.
The launch of the Micro Pension Plan (MPP) by President Muhammadu Buhari in March 2019 was another significant step under her towards the promotion of financial inclusion for self-employed persons and workers in the informal sector.
In November 2020, PenCom launched the Retirement Savings Account (RSA) Transfer System (RTS). The system is an in-house developed computer Application that enables a pension contributor or retiree to switch from one Pension Fund Administrator (PFA) to another. Activating the RSA transfer provision was another essential milestone she recorded in implementing the CPS that has been on the drawing board since the advent of the Pension Reform in 2004. 
She also implemented the maiden Pension Enhancement for CPS retirees in December 2017. This initiative enhanced the monthly pensions of most retirees on the programmed withdrawal based on significant incomes earned from investment.
In 2021, the Director General oversaw the recapitalisation of PFAs. As a result, all PFAs raised their Shareholders’ Funds from N1 billion to N5 billion. In 2022, the Commission issued the Guidelines on Accessing RSA Balance Towards Payment of Equity Contribution for Residential Mortgage by RSA Holders. This innovative policy will enable workers to own residential houses while in active service.