Business

Job Loss: PenCom Approves N208bn For Retirement Savings Account Holders

Published

on

Pension operators and journalists who attended the media parley in Lagos on Friday.

By Sola Alabadan

A total of N208.86 billion has so far been paid to 475,235 Retirement Savings Account (RSA) holders who lost their job and decided to access 25 percent of their pension savings, in line provision of the Pension Reform Act 2014.
Mr. Oguche Agudah, CEO, Pension Fund Operators Association of Nigeria (PenOp), disclosed this during a media parley organised by the association in Lagos on Friday, said that the payment was approved by the National Pension Commission (PenCom).
Section 7(2) of the Pension Reform Act 2014, provides that “Where an employee voluntarily retires, disengages or is disengaged from employment, as provided for under section 16(2) and (5) of this Act, the employee may, with the approval of the National Pension Commission, withdraw an amount of money, not exceeding 25 percent of the total amount credited to his retirement savings account, provided that such withdrawals shall only be made after four months of such retirement or cessation of employment and the employee does not secure another employment”.
Meanwhile, the PenOp boss also informed that a total of 442,000 retirees received N1.63 trillion as lump sum on annuity and programmed withdrawal in the last 15 years.
The breakdown shows that the industry since inception paid a total of N665.23 billion to 111.708 applicants as lump sum on life annuity as at the second quarter of 2023.
He added that retirees who opted for Programmed Withdrawal were paid a lump sum amounting to N964,239.47 billion as at the second quarter of 2023.

Click to comment
Exit mobile version