By Ayo Ayodele
Retired federal employees under the Contributory Pension Scheme (CPS) are set to begin receiving an additional ₦32,000 monthly pension.
The increment will be funded from a ₦758 billion bond approved by President Bola Ahmed Tinubu to clear outstanding pension liabilities. The intervention ensures that retirees benefit from the National Minimum Wage Amendment Act 2024 and its consequential adjustments.
According to the National Pension Commission (PenCom), the ₦32,000 serves as a minimum pension guarantee for retirees in education, health, security, and the Armed Forces—regardless of their accumulated savings.
PenCom’s Director-General, Omolola Oloworaran, explained that the bond would be allocated as follows: ₦253 billion to clear accrued rights, ₦387.5 billion to settle pension increases dating back to 2007, and ₦107 billion for the Pension Protection Fund to support low-income retirees.
She said the move will restore confidence in the CPS, which had been weakened by delays and unresolved arrears:
“This payment initiative allows us to rebuild trust and demonstrates the government’s commitment to protecting the welfare of ordinary Nigerians.”
With the National Assembly’s concurrence and the bond issuance expected soon, Pension Fund Administrators (PFAs) have pledged prompt disbursement once funds are available.
The National Salaries, Incomes and Wages Commission (NSIWC) had earlier confirmed the adjustment, assuring retirees of the additional ₦32,000 monthly payment.