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Preparing Civil Servants For Retirement

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The Tide Chapel of the Nigeria Union of Journalists (NUJ), Rivers State Council, recently arranged a send-forth for five of  its retired members, Mr. Thomas Abbey, Mr. Jemina Amachree, Mr. Patterson Koko, Mr. Canice Amadi and Julie Jumbo. The theme of the event was “Life, Before and After Retirement”.
The event featured a seminar on the topics, Contributory Pension Scheme: Any Benefits?, Civil Servants and Housing Challenges and Planning Towards retirement, with citations on the retirees/presentation of gifts as its highlight.
Delivering his keynote address at the occasion held in the Executive Conference Hall of the Rivers State Newspaper Corporation, Publisher of The Tide newspaper, the Special Guest of honour, Mr. Celestine Ogolo hailed the NUJ Tide Chapel for organising the event in recognition of the retirees’ contributions to the growth of not only the union but also The Tide Newspaper.
Ogolo who is the General Manager of the Rivers State Newspaper Corporation (RSNC) reassured of the management’s commitment to ensuring  greater welfare of the staff. As he puts it, “Management will give top priority to staff welfare”, reminding civil servants that it was important to prepare for retirement while still in the service, the RSNC boss said it was necessary for them to look forward to and plan for the future.
He stressed the need to imbibe the culture of planning for retirement, saying that although people’s problems vary, it is important to form the habit of saving a little from their salaries not minding the problems.
“You must imbibe the culture of planning for retirement not minding the problems. Although problems vary, you must do it no matter the problems you have”, Ogolo emphasised, pointing out that some civil servants are afraid of retiring because they have not planned for it.
In a paper titled: ‘Planning Towards Retirement’, the Permanent Secretary, Establishments, Training and Pensions Bureau, office of the Head of Service of Rivers State, Mr. Asoelu Gayamos Ogo enjoined workers to prepare for the challenges of life after active service and encouraged them to prepare for their retirement early in order to avoid a life of misery and pain. In fact, he said, “the preparation for retirement for the worker should start the very day he or she is gainfully employed. When adequate preparation for retirement is made, life after retirement becomes comfortable”.
He lined up some tips which if adopted and followed strictly would help potential retirees prepare for their retirement and make life after retirement very enjoyable. Some of the tips include;
(1)    To cultivate habit: Saving habit should be developed by workers. Workers should begin to learn how to save a minimum amount monthly in the bank from their salaries no matter how stressful it may impact on them. When a worker sustains this habit, on the long run, he or she will build up hope that at retirement, something to fall back on will be there to sustain the family before retirement benefits are paid. When this strategy is adopted, the retiree suffers minimum stress at retirement.
(2)    Readiness to disengage from the service: The Pension regulation says that any worker who is due for retirement should begin to prepare for disengagement from the service at least six months to the retirement date. This issue has been posing a number problem to some workers as there are those who have made up their minds to retire when due and therefore are quick to comply with the regulation whereas there are those who are reluctant.
For a comparative analysis of the two groups of workers, the first group suffers minimum stress during the documentation of their retirement benefits because they have their monthly salaries still running uptill the disengagement date while the second group will be uncomfortable during the documentation because they no longer enjoy their monthly salaries after the disengagement date. They may run into the problem of salary overpayment, so it is recommended that when this strategy is adopted to the pension regulation the retirees also suffer minimum stress at retirement.
(3)    Willingness to join cooperative societies: it is recommended that workers should join any of the flourishing registered savings cooperative societies that operate cooperative shops and share their profits yearly. Another advantage derivable from being a member of cooperative societies, especially the one that offers loan facilities to the general public is that interest rates for members are generally low. A member can obtain such facility and invest it in a small scale business that has the capacity to not only pay back the loan but afford the potential retiree additional income that can sustain the family at retirement.
(4)    Small scale investment: it is recommended that workers should invest on small scale businesses that do not require huge financial outlay that generate regular income. Before embarking on any project or business, it is advisable that one undertakes a feasibility study to determine if the return on investment is encouraging or not.
The following projects or businesses may be considered; fishery farming, snail farming, cellophyne bags making, pure water manufacturing, soap and candle making, private teaching, laundry services, buying and selling of retail shops, among others. When this is adopted, the retiree obviously has abundant hope to sustain the family at retirement.
(5)    The size of family: An effective retirement plan should begin very early as regards the size of the family to have or control. Marriages resulting to too many children should be discouraged because of the financial burden in catering and training them from nursery school to high institution. Both gender of workers are exposed to this choice.
Currently times are hard and very challenging in the area of cost of living and the needs of the society such as education, skills acquisition, good accommodation, among others expected to be provided to the children. Therefore, the smaller the size of the family, the less stress to the retiree whereas the larger the size of the family, the more problem to the retiree on retirement. It is, therefore, recommended that when this tip is adopted, it should be geared towards having smaller family nowdays.
(6)    Use your Pension and gratuity wisely: When pension and gratuity are paid to retirees, it should be invested wisely on small scale projects or businesses as stated earlier. It should not be used on faulty investment such as joining loan lending houses that will tell you to invest, for example N20,000 monthly and at the end of the year, you will receive 100 percent of your capital as interest, meaning that at the end of the year the total amount to receive will be N480,000.
This is fraudulent because you are only lured to it for their selfish gains and at the end of the day you are disappointed, which might result to failing health and subsequently death. It is, therefore, recommended that when this strategy is adopted, the retiree will have a sense of belonging to the society after serving meritoriously.
(7)    Owing a family house: there is no argument about the fact that things are hard. So savings are nearly impossible, especially with the meager salaries paid to workers. However, with your legitimate earnings, make additional savings that will enable you start building your own houses in your village or in the city where you live and work while in service. This may look very tasking but it is important to the family.
This is essential because paying rents on retirement is a difficult thing. Retiree should imagine the low pension and gratuity paid at retirement. On the other hand, if any retiree plans to use his or her gratuity to build a house for the family, it should not be a type you may not be able to complete but a moderate one that can be easily completed. This will help prolong the retiree’s life.
In conclusion, Mr. Gayamos Ogo recommended that in order to assuage the emotional and financial impact of retirement, it is important to organise mandatory pre-retirement training or workshop and counseling in the various Ministries, Departments and Agencies (MDAs) to sensitise retiring officers on the implications of retirement and the need to prepare for it. He  congratulated the retired journalists of The Tide newspaper for their meritorious service not only to the RSNC but to the state.
In his talk on ‘Contributory Pension Scheme: any benefits?, The Regional Manager of AllCO Pension Manager Limited, Mr. Godwin Igbanoi explained that the new contributory pension scheme is fully funded based on individual accounts.
According to him, against the backdrop of a huge benefit, arbitrary increases in salaries and pensions as well as poor administrative structures, the need for pension reform became necessary.
The paper outlined the objectives of the new pension scheme as follows:
(1)    To ensure that everyone in the civil service receives his or her pension as at when due.
(2)    To assist improvident individuals by ensuring that they save to cater for old age.
(3)    To establish a uniform set of rules and regulations for the administration and payment of retirement benefits in the private/public sector.
(4)    To promote labour mobility and minimise incentives for early refund and
(5)    To stem the growth of outstanding pension liabilities.
Deductions are made from the salaries of the employees as the employee opens an account to be known as retirement saving account. There must be discipline and good management of the fund. Pension as he defines it means something to fall back on after retirement from active service.

 

Shedie Okpara

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Paper Industry’s Economic Contribution Hits N398bn

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The contribution of the paper industry rose to N398.8billion in 2023 from N356billion it recorded in 2022.
Chief Executive Officer of the Centre for the Promotion of Private Enterprise (CPPE), Dr. Musa Yusuf, disclosed this in a report released to mark the inauguration of World Envelopes Day in Lagos.
Marking the event, which also commemorated the 50th anniversary of envelope manufacturing firm, FAE Limited, Yusuf stated that the paper industry has a profound economic impact across all sectors of the economy.
He, however, noted that the growth in digital technology had greatly disrupted the sector, especially as a mode of communication.
“As of 2023, the value of the Nigerian paper industry was N398.8billion naira, according to the National Bureau of Statistics.
“The value was N365bn in 2022; N363 billion in 2021; and N255billion in 2020. This is a significant contribution to our GDP. However, when compared to the size of our economy, which is estimated at N230trillion as of 2023, it is still very small”,  the CPPE boss stated.
Yusuf said the paper industry had been largely in recession because of the digital technology disruptions and other macroeconomic headwinds, especially relating to exchange rate depreciation, forex liquidity crisis and high cost of fund and energy cost escalation.
He emphasised that the paper industry had a profound economic impact across all sectors of the economy, which underscored the need for government intervention in the sector.
In her opening remarks, the Managing Director of FAE Limited, Funlayo Bakare, described World Envelopes Day as the brainchild of the company, which sought to set aside April 16 as a day to celebrate the fundamental role envelopes play in daily communication.
“As we celebrate our golden jubilee, we are delighted to announce the inauguration of World Envelopes Day, to be celebrated annually on the 16th day of April.
“This is a pioneering initiative by FAE Ltd in accordance with our leadership position in the sector.
“The establishment of World Envelopes Day is to raise awareness about the importance of envelopes in various aspects of human endeavour, including personal correspondence, business transactions, and creative expressions”, she said.
The Publisher of The Guardian Newspaper, Maiden Ibru, who chaired the occasion, stressed the need to strike a balance between digitalisation and physical paper production, especially due to the indispensable role paper plays in cultural preservation.
Nigeria once had three paper mills: the Nigeria Paper Mill Limited, located in Jebba, Kwara State; the Nigerian Newsprint Manufacturing Company Limited, Oku-Iboku, Akwa Ibom State; and the Nigerian National Paper Manufacturing Company Limited in Ogun State.
The mills are no longer operational, and the country has had to depend on importation to make up for the shortfall.
The Asset Management Company of Nigeria has taken over the management of NNMC over unpaid debts.

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Aviation Union Threatens Strike Over Revenue Deduction

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The Air Transport Services Senior Staff Association of Nigeria (ATSSSAN) has said it would embark on industrial action if the Federal Government refuses to exempt aviation agencies from a directive that seeks to deduct 50 per cent from their Internally Generated Revenue (IGR).
ATSSSAN disclosed this in a communique issued by its National Executive Council (NEC) after its National Economic Council meeting in Ibadan, Oyo State.
The NEC, which had in attendance all 17 affiliates of ATSSSAN comprising all branch Chairmen, Secretaries, and national officers, reiterated calls for the exemption of the aviation agencies from the deduction of 50 per cent  of their IGR under the Fiscal Responsibility Act.
The association said the agencies were not established for profit, hence stifling them of the required funds would jeopardise the effective performance of their safety and security mandates.
ATSSSAN warned that if the Federal Government insist on the deduction, it would compound the current financial state of the agencies, and “we may be forced to direct all aviation workers to down tools until the government reverses itself”.
Last year, the Federal Government directed the Office of the Accountant General of the Federation to immediately commence the presidential directives on a 50 per cent automatic deduction from the IGR of Federal Government-owned enterprises.
The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, had issued a circular titled, “Re: Implementation of the Presidential Directives on 50 per cent Automatic Deduction from Internally Generated Revenue of Federal Government Owned Enterprises (FGOEs)”.
According to the circular, all partially-funded Federal Government agencies and parastatals (receiving capital or overhead allocation from the Federal Government’s budget) should remit 50 per cent of their gross IGR, while all statutory revenues, like tender fees, contractor’s registration, and sales of government assets, among others, should be remitted 100 per cent to the sub-recurrent account.
ATSSSAN stated its apprehension over what it perceives as deliberate efforts by certain private airlines to stop their employees from forming labour unions.
Citing Section 40 of the Nigerian Constitution and international labor norms, the association contends that such actions constitute a violation of workers rights.
The statement, however, did not specify the airline operators suppressing workers from joining unions.
Part of the statement read, “The NEC-in-session calls on all employers in the private sector in the aviation industry to respect collective bargaining agreements in order to avert industrial crises at the workplace.
“NEC-in-session was seriously disturbed by the continuous willful acts by some private airlines towards frustrating the unionization of their employees, contrary to the letters and spirit of Section 40 of the Constitution of the Federal Republic of Nigeria and relevant international conventions and laws”.
The association, therefore, called upon the Federal Ministry of Labour and Employment to uphold and enforce employees’ rights to unionise within the aviation industry.
It urged the Minister of Aviation and Aerospace Development, Festus Keyamo, to orchestrate a dialogue involving all relevant stakeholders, including the non-compliant airlines and labour unions, under the auspices of the Labor Ministry.
At the meeting, other issues affecting workers, especially members’ welfare and working conditions, and the aviation industry at large were discussed, and positions and resolutions were taken.
The aviation group decried what it perceive as a dearth of avenues for career progression within government-owned aviation entities.

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NCDMB Rakes In $1m Return On NEDOGAS Investment

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Management of the Nigerian Content Development and Monitoring Board (NCDMB) says it has received a cheque of $1 million from Nedogas Development Company Limited (NDCL).
A statement made available to newsmen by the Directorate of Corporate Communications and Zonal Coordination of the Board said the sum received was part of the return on investment (ROI) on one of its strategic investments.
The statement added that: “The cheque was presented by the Chairman of the company, Engr. Emeka Ene, when he visited the Nigerian Content Tower in Yenagoa, Bayelsa State, where he was received by the NCDMB’s Executive Secretary, Engr. Felix Omatsola Ogbe, and other members of the Board’s management.
“Nedogas Development Company Limited (NDCL) is a joint venture company between Xenergi Limited and NCDMB Capacity Development Intervention Company.
“As part of the project, Nedogas NDCL constructed and commissioned a 300 MMscfd Capacity Kwale Gas Gathering (KGG) and injection facility located in the Umusam Community, near Kwale in Delta State, Niger Delta, Nigeria.
“The KGG Facility was designed to handle stranded gas resources in Nigeria’s OML56 oil province by providing the opportunity for independent operators in the area to monetize natural gas from their fields through the gas gathering, compression, injection and metering infrastructure of the KGG for quick market access.
“Nedogas is one of the several strategic and successful investments of the NCDMB funded from the Nigerian Content Development Fund (NCDF), in line with the Board’s mandate to build capacity and catalyze local projects in the Nigerian oil and gas industry as enshrined under the Nigeran Oil and Gas Industry Content Development (NOGICD) Act”.
In his remarks, according to the statement, the NCDMB Executive Secretary stated that the success story of NEDOGAS at Kwale, Delta State, could be replicated in other oil and gas producing communities to minimise gas flaring, saying that Ogbe also declared the Board’s readiness to continue collaborating with the company.
“Their model should be extended to other parts of the country where gas flaring is continuing.They have shown that with the modular system, we can quickly remove flaring from our operations in Nigeria.
“The NCDMB had continued to receive briefings from its investment partners. We’re still waiting for them to come back with success stories. Some of them are near completion and have not started operations yet”, the NCDMB’s Executive Secretary said.
In his remarks, Chairman of NEDOGAS, Mr. Emeka Ene, conveyed the company’s excitement in returning part of the credit and profit, adding that it was a proof that the NCDMB’s investment was a success and they are getting back that investment, adding that the firm looks forward to further collaboration with the NCDMB to expand its scope.
Responding, the NCDMB boss said the Board was now doing effectively and practically and tangibly what it was set up for, saying its mandate was to impact the economy by direct interventions.
“That’s the way the economy can grow, improve the gas infrastructure in such a way that’s sustainable despite the tight economic conditions”, he said.
He added that, “the  value propositions of the Nedogas project include total eradication of flared gas and conversation of environmental pollutants into products of value and creation of a strategic gas gathering hub and injection node for quick access to market for gas owners to monetize gas”.
Other benefits, according to Ogbe, include the provision of alternative gas supply to western flank of the OB3 line to add to the volumes of economic sustainability and increase in Nigeria’s Gross Domestic Product (GDP).
“The partnership with NEDOGAS is one of NCDMB’s 15 strategic investments geared towards actualizing the Federal Government’s aspirations in key areas of the oil and gas industry.
“Most of the projects were targeted at actualizing the Federal Government’s Decade of Gas programme.
“Some of NCDMB’s notable third-party investments include Waltermith’s 5000 barrels per day (bpd) modular refinery in Imo State, Azikel Group12,000 bpd hydro-skimming modular refinery in Gbarain, Bayelsa State, and Duport Midstream’s 2,500bpd modular refinery in Edo State.
“Other investments of the Board include Better Gas Energy for LPG terminal and gas distribution, partnership with Rungas Prime Industries Limited to establish a cooking gas cylinders manufacturing plant in Polaku, Bayelsa State, and Alaro City in Lagos and the partnership with Butane Energy to deepen LPG utilization in the North”, he stated.
The Executive Secretary also noted that there was the partnership with BUNORR Integrated Energy Limited in Port Harcourt, Rivers State, to produce 48,000 litres of base oil per day and partnership with the Nigerian National Petroleum Corporation (NNPC) Limited, Brass Fertilizer and Petrochemical Company Limited, and DSV Engineering to establish a 10,000 Ton Methanol Production Plant, Odioama, in the Brass Local Government Area of Bayelsa State.

By: Ariwera Ibibo-Howells, Yenagoa

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