PenCom tasks PFAs on awareness for micro pension plan

The National Pension Commission (PenCom) has called on pension fund administrators (PFAs) in the country to have a yearly budget for media campaign plans to increase participation in the micro pension plan (MPP).

This, the Commission said in a Framework for Enlightenment and Public Awareness’ for the Micro Pension Plan sent to all PFAs. It cited Section 2.2 of the Circular on Service Delivery by PFAs.

According to the Commission, two years after the launch of the plan in the country, only 70,000 contributors have been recorded out of over 200 million population.

Noting that sequel to the release of the guidelines for the MPP, it identified the need to intensify public enlightenment in a sustained manner to raise the level of awareness and acceptability of the MPP as a critical success factor.

It maintained that the framework spelt out the modalities for the commission and PFAs to ensure an effective and sustained public awareness drive of the MPP.

PenCom submitted that Section 2(3) of the PRA 2014 stipulates that employees of organisations with less than three employees as well as self-employed persons shall be entitled to participate in the scheme following guidelines issued by the Commission, adding that Section 23 (f) of the PRA 2014 mandates the Commission to “carry out public awareness, enlightenment and education on the establishment, operations and management of the scheme”.

The regulator said sections 5.3.1(c) and 5.4.1(i) of the Guidelines for MPP 2018 stipulate that the Commission shall “create awareness by carrying out public enlightenment and education on the establishment, operations, and management of MPP” and that PFAs shall “conduct regular public awareness, enlightenment, and education on MPP”.

Section 6.3.1 of the Guidelines for the Operations of PFAs stipulates that a PFA must obtain prior written approval of the Commission before advertising, promoting or providing information on its products and services or about its operations.

“The entire material for distribution, advertising, promotion or informing the public must be submitted to the Commission for this purpose, it posited,” it states.

PenCom stated that the framework aims to set minimum standards for enlightenment and public awareness on MPP and ensure adherence to best practices in public relations among others.