Lagos remits N64 billion pension to workers’ RSA

Lagos State government yesterday disclosed that it has so far remitted N64 billion to civil servants’ accounts, under the Contributory Pension Scheme, since its inception in 2007.

Commissioner for Establishments Training and Pensions, Akintola Oke, disclosed this at a ministerial press conference in Alausa, Lagos.

The commissioner said government deducts the stipulated 7.5 percent from workers salaries and pays the corresponding 7.5 percent, which it has regularly remitted into the Retirement Savings Accounts (RSA) maintained with their appointed Pension Fund Administrators (PFAs).

“As at March, 2016, these deductions have cumulatively risen to N64 billion, approximately since inception of the scheme.

“Also, since the commencement of the Retirement Benefit Bond Certificate Presentation in 2010 to over 10,000 retirees/ deceased/withdrawn staff, the state government has paid accrued pension rights of about N48.08 billion,” he said.

Oke added that government had drastically reduced the backlog of terminal entitlements of retirees, saying between August 2015 and April 2016, through the state Pension Commission, LASPEC, it paid the sum of N13.701 billion into the Retirement Savings Account (RSA) of 3,069 retirees.

According to him, 1,294 of the retirees were from the local council areas and 745 from the state Universal Basic Education Board, (SUBEB).

He said Teachers Establishment Pension Office, (TEPO) got 731, while the mainstream service had 299 retirees.

Oke also disclosed that Governor Akinwunmi Ambode had directed that outstanding pension payment of three years arrears, on the 142% pension be paid with immediate effect.

The increment was approved by the administration of former Governor Bola Tinubu, adding that the 6% and 15% pension increments were paid over the years.

According to him, the sum of N2.03 billion was paid as pensions between May 2015 and April 2016.

He added that that in November 2015, Civil Service Pensions Office facilitated and completed the payment of severance, pensions and gratuity to 73 disengaged staff of the defunct Eko Today, which amounted to N37.17 billion.

The commissioner said Ambode had approved the releaof N1.5 billion intervention funds for the payment of outstanding gratuities and pension arrears to local council retirees.

This includes the balance of 142% pension arrears, amounting to N 1.77 billion, saying the payments would be effected as soon as the verification exercise was conducted.

On the issue of pension fraudsters, the commissioner said government had begun sensitisation programmes to draw government and public attention to the ugly development.