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Pension Funds: The Untold Story
The sharp disagreement in Enugu state now over the pension scheme funds has raised fundamental issues as to the exact percentage of a civil servant’s salary that should be deducted to fund the national contributory pension scheme.
In a bill to the state House of Assembly for the implementation of the scheme, the state government wants a 50/50 contribution with the government, a proposal that has kicked up dust among the stakeholders, especially labour unions.
Commenting on the matter during a public debate on the bill, Chudi Onah, representing the Trade Union Congress, said his union would not want the bill to be passed as presently constituted where the workers are to pay 50/50 pensions contributions with the state government, and insisted that government should pay 18% and workers five per cent.
In the past, an average retired civil servant literally wailed over the non-payment of his pension and gratuities. There were confirmed reports that some retired workers even died before their entitlements could be paid.
Apparently worried by public outcry, the Olusegun Obasanjo administration established the National Pension Commission (PENCO), with an Act by the erstwhile National Assembly, in order to give legal teeth to the commission. This was greeted with applause by the general public, especially the retirees.
Indeed, the contributions of Nigerian workers and employers to the contributory pension scheme now stand at over N84 billion, according to Dr Kabir Ahmed, Director-General of the pension commission.
Delivering a lecture entitled “Poverty Reduction, Social Security and Pensions Reform in Nigeria,” Dr Ahmed said the figure was the accumulated contributions as at now, and expressed happiness that with the pension scheme, the country has been able to build a pool of long-term financial resources.
Said he: “Pension funds play a key role in mobilising long-term funds which have contributed significantly in providing the base for capital formation investment that could spur economic growth in Nigeria,” He, however, noted that the resources (funds) so far mobilised were still in search of attractive investment opportunities.
But it is rather unfortunate that some states (such as Enugu) are yet to implement the pension scheme in spite of the awareness campaigns mounted by the federal authorities, thus hanging the fate of their retired staff in the balance.
This is said, to say the least! Worse still, a section of the private sector had also reportedly refused to implement the National Pension Scheme, for some inexplicable reasons, an attitude that is giving concern to the authorities of the commission, in view of the anticipated plights of the retired staff of such firms.
It is, therefore, imperative to ask the federal government to wade into the issue and prevail on such defaulting state governments and firms to implement the pension scheme, in order to lay a good foundation for their retired staff.
Agreed, there had been fears over the ‘safety’ of the funds so far contributed to the scheme. But the provisions of the Pension Act, squarely allay such fears, especially the various levels of risk involved in the management of the contributed funds.
Again, the federal authorities should rise to the occasion and direct some of the contributors (state governments) to remit promptly, their contributions to the contributory pension scheme. That way, the future of the retired staff would be assured.
Suffice it to say that one such way to implement the National Pension Scheme is for the National Assembly to step into the matter. This, it could do, by directing the committee concerned to work with the management of the National Pensions Commission.
That way, the committee would be able to identify the defaulting state governments, as well as a section of the private sector, and thereafter, roll out sanctions against such recalcitrant states and firms.
The future of the Nigerian retired worker must be protected and assured, no matter whose ox is gored. Yes, time has come when a retired worker should smile home rather than cry home. The contributions by employers of labour to the pension scheme, appears to be the only sure way.
All said, but when shall we stop to weep for the nation’s retirees for not getting their entitlements years after retirement from active service. Their plight must end one day!
Nigerians were among more than 140 residents injured after Iran launched multiple ballistic missiles and unmanned aerial vehicles at the United Arab Emirates, at the weekend.
This raised fresh fears for thousands of Nigerians living and working in the Gulf nation.
The UAE Ministry of Defence disclosed last Saturday that its air defence systems intercepted several missiles and drones fired from Iran, describing the attack as a major escalation in the ongoing regional tensions.
In a statement posted on its official X handle, the ministry said its air defence units engaged nine ballistic missiles and 33 drones during the latest assault on March 14.
It added that the attacks left six people dead and 141 others injured, including foreign nationals.
“The UAE air defence systems on March 14 engaged nine ballistic missiles and 33 UAVs launched from Iran,” the ministry stated.
“Since the onset of this blatant Iranian aggression, UAE air defences have engaged 294 ballistic missiles, 15 cruise missiles, and 1,600 UAVs launched from Iran,” UAE added.
According to the ministry, those killed in the attacks included citizens of the UAE as well as foreign nationals from Pakistan, Nepal and Bangladesh.
“Although the authorities did not specify the exact locations where the casualties occurred, the ministry said the injured victims were from several countries, including Nigeria.
Others affected include residents from Egypt, Sudan, Ethiopia, the Philippines, Pakistan, Iran, India, Bangladesh and Sri Lanka.
The list also included Azerbaijan, Yemen, Uganda, Eritrea, Lebanon, Afghanistan, Bahrain, Comoros, Türkiye, Iraq, Nepal, Oman, Jordan, Palestine, Ghana, Indonesia and Sweden.
The Tide reports that this development has sparked concern among Nigerian communities in the UAE, where thousands of citizens live and work in sectors such as construction, hospitality, logistics and trade.
Data from Nigeria’s diaspora commission shows that the UAE remains one of the largest destinations for Nigerian migrants in the Middle East, particularly in the emirates of Dubai, Abu Dhabi and Sharjah.
The Nigerian government had in recent years raised concerns over the safety and welfare of its citizens in the country following diplomatic tensions and visa restrictions affecting Nigerians.
Saturday’s attacks have now heightened anxieties within the diaspora community, especially as the Gulf region faces growing military confrontations.
In its statement, the UAE Ministry of Defence said the country remained fully prepared to confront any threats to its security.
“The Ministry of Defence remains fully prepared and ready to deal with any threats and will firmly confront any attempts to undermine state security in a manner that ensures the protection of its sovereignty, security and stability, and safeguards its national interests and capabilities,” the ministry said.
In a separate update, the ministry noted that its defence systems were still actively intercepting missiles and drones.
“UAE air defences are dealing with Iranian ballistic and cruise missiles and drones,” it said.
Regional media reports indicate that the attacks form part of a wider escalation of hostilities between Iran and Western-backed forces in the Middle East.
According to Al Jazeera, Iran has continued sustained missile and drone strikes across the Gulf despite protests from neighbouring states.
The strikes were said to be in retaliation for military operations launched by the United States and Israel against Iranian positions in the region.
Tehran targeted several Gulf countries, including Saudi Arabia, Qatar and the UAE, late on Friday and into Saturday.
The attacks also caused infrastructural damage in parts of the UAE.
Meanwhile, Iran’s elite military wing, the Islamic Revolutionary Guard Corps, warned that US interests in the UAE would remain legitimate targets.
Iranian state media reported that the group issued the warning after US forces attacked Iranian-controlled islands.
The IRGC specifically mentioned ports, docks and military installations linked to the United States as potential targets.
It also urged residents in the UAE to evacuate areas around ports and military facilities to avoid civilian casualties.
Security analysts say the growing exchange of threats and strike across the Gulf could destabilise the region’s economic and aviation activities if the conflict escalates further.
Nigeria’s Ministry of Foreign Affairs has yet to issue an official statement on the incident as of the time of filing this report.
Rivers State Governor, Sir Siminalayi Fubara, has charged the five new commissioners sworn-in last Wednesday to put in their best for the development of the State.
Fubara gave the charge during the swearing-in of the commissioners at the Executive Council Chambers of the Government House, Port Harcourt, last Wednesday.
This followed the successful screening of the five commissioners by the Rivers State House of Assembly, last Tuesday.
The five commissioners are Tonye Bellgam, Prof. Temple Nwofor, Dr. Peters Nwagor, Mr. Lekue Kenneth, and Sir Amairigha Edward Hart.
The Tide reports that the governor had sent nine commissioner-nominees to the Assembly for screening, but the Assembly confirmed only five nominees and rejected the nomination of four over various allegations.
Those rejected by the Assembly are Prof. Dantonye Alasia, Mrs. Charity Demua, Mr. Tamuno Williams, and Otonye Amachree.
The governor congratulated the new commissioners on their appointment, noting that their thorough screening by the Rivers State House of Assembly was a proof of their capabilities.
He urged them to deploy their wealth of experience in various fields and put the State on a fast lane of development.
“Ordinarily, I am supposed to charge you on your responsibilities and how to operate. But that has been taken care of by the screening at the Assembly.
“I believe that going through one of the most rigorous screenings, it is enough to say that for those of you who succeeded, you are fit and ready to deliver to our dear State.
“So there is no further charge. The screening was the charge, so I wish you the best as I don’t expect anything less than the best from you,” Fubara said.
The Nigerian Navy has intensified its crackdown on crude oil theft and illegal bunkering, destroying a reactivated illegal refinery site in Rivers State and intercepting suspected stolen petroleum products in Calabar, Cross River State.
The Director of Naval Information, Capt Abiodun Folorunsho, disclosed this in a statement released in Abuja, yesterday.
Folorunsho said personnel of the Nigerian Navy Ship SOROH, operating under Operation DELTA SENTINEL, destroyed a reactivated illegal refinery site at Okolomade Community in Abua-Odual Local Government Area of Rivers State.
He said the action followed credible intelligence that a previously dismantled illegal refining site had resumed operations.
According to him, an Anti–Crude Oil Theft team deployed to the location discovered that the dismantled refining oven had been reconstructed.
“Further exploitation of the area led to the discovery of additional refining equipment and storage facilities containing about 3,000 litres of product suspected to be illegally refined Automotive Gas Oil (AGO),” he said.
Folorunsho added that the illegal refining infrastructure, including ovens, storage tanks, hoses, connected pipes and newly acquired metal components used for illegal refining, was destroyed in line with operational procedures.
He said personnel of the Nigerian Navy Ship Victory, in another operation, intercepted about 3,950 litres of suspected stolen petroleum products at the Nigerian Ports Authority area in Calabar, Cross River State.
He said the interception was based on credible intelligence on suspected siphoning of petroleum products from vessels berthed at the port.
The naval patrol team, according to him, swiftly deployed to the area and traced the illegally siphoned products to a trailer park within the port facility.
“On sighting the naval patrol team, the suspected perpetrators fled the scene, after which the area was cordoned off and the illegally siphoned products secured,” he said.
Folorunsho said further inspection led to the recovery of about 3,950 litres of Automotive Gas Oil stored in drums and jerrycans, which had been evacuated to the naval base for further necessary action in line with extant regulations.
He noted that the successes aligned with the directive of the Chief of the Naval Staff, Vice Adm. Idi Abbas, to intensify operations against crude oil theft and other maritime crimes across Nigeria’s maritime domain.
Folorunsho reiterated the Navy’s commitment to sustaining the operational tempo of Operation DELTA SENTINEL through intensified surveillance, patrols and intelligence-driven operations aimed at combating crude oil theft, illegal bunkering and other forms of economic sabotage.