PenCom partners NECA to enhance CPS implementation

…..Transfers N10.2bn into accounts of 142,486 NSITF scheme contributors

UFOMBA UZUEGBU

Director-General of the National Pension Commission (PenCom), Mrs Aisha Dahir-Umar,has restated the Commission’s commitment to  supporting the Nigeria Employers Consultative Association(NECA) always, to champion programmes which will ensure successful implementation of the Contributory Pension Scheme (CPS) in the country.

She disclosed that PenCom paid N10.2 billion into the Retirement Savings Accounts of 142,486 Nigerian Social Insurance Trust Fund (NSITF) scheme contributors from 2014 to date.

Dahir-Umar stated these at the National Pension Commission/Nigeria Employer’s Consultative Association ((NECA) Interactive Session of the Contributory Pension Scheme for the Organized Private Sector (OPS) in Lagos.

The PenCom boss who was represented by the  Commissioner,Technical, Nation Pension Commission, Mr Anyim Nyerere, assured the OPS that the Commission would continue to ensure robust social dialogue with NECA in the interest of all stakeholders under the CPS.

She noted that PenCom has continued to take giant strides towards ensuring the smooth implementation of the CPS through the revision of of existing regulations and guidelines and the development of new ones,adding that specifically, the  Commission deployed the Enhanced Contributors’ Registration System (ECRS) for the pension industry.Following the deployment of the ECRS, the Commission also introduced the Data Recapture Exercise (DRE),which mandatorily requires all RSA holders who joined the CPS prior to the 1st of July,2019, to update their information with their respective Pension Fund Administrators (PFAs).

Accordingly, the Commission has consistently urged RSA holders to approach their PFAs for data recapture.

The PenCom boss said in order to facilitate the implementation of Section 13 of the PFA 2014 Act, which allows an RSA holder to transfer his/her RSA from one PFA to another, the Commission developed and deployed the RSA Transfer System (RTS)in 2020,adding that the RTS is a computer-based application for initiating, processing and monitoring the RDA Transfer process and that it also ensures the seamless transfer of RSAs from one PFA to another.

The RSA transfer window,she noted,has continued to improve the quality of service delivery by the PFAs.

Again, in order to ensure that RDA holders own a house during their work life, the Commission had released the Guidelines on  Accessing Retirement Savings Account (RSA) Balance towards Payment of Equity Contribution for Residential Mortgage by RDA holders,she posited.

“Members of the OPS would recall that following the enactment of the PRA, the Commission was saddled with the responsibility of supervising the transfer of the Nigerian Social Insurance Trust Fund ( NSITF) contributions of employees into their respective  RSAs under the CPS. To date, contributions worth N10.2 billion,have been transferred to the RSAs of 142,486 NSITF scheme contributors. Thus,in order to ensure that all contributors under the NSITF scheme have their RSAs,the Commission had severally,featured advertorials in national dailies, requesting NSITF contributors to apply for the transfer of the  contributions.

” The Commission wishes to implore all employers who have contributed to the NSITF scheme to liaise with their PFAs and in particular Trustfund Pensions for guidance on how to have their contributions transferred to their RSA, she stated.

Dahir-Umar expressed gratitude to NECA for offering its platform for continuous dialogue with the Organized Private Sector (OPS), on the implementation of the Contributory Pension Scheme (GPS) in Nigeris,adding that  social dialogue have generated an invaluable impact on the  implementation of the CPS over the years.

She noted that the objectives of the interactive session include but not limited to, enlightening the OPS on the workings of the Contributory Pension Scheme (CPS),sharing thoughts on emerging developments in the Nigerian pension space and providing an opportunity for pension operators to interact with members of the OPS.

Director-General of NECA, Adewale Oyerinde,noted that with 4,000 employers across the federation and over 35 sectoral employers’ federation as affiliates,NECA remains the voice of business in Nigeria.

He said before 2004, life after retirement could be described as uncertain and unpredictable, “however, with the Pension Reform Act 2004, repealed and reenacted in 2014, the narrative has changed significantly”. adding that the enactment of the Act and with successive PenCom leadership, there has been series of improvement and innovation in the administration of the pension scheme.