The National Pension Commission (PenCom) has moved to calm growing agitation by personnel of the Nigeria Police Force over their continued participation in the Contributory Pension Scheme (CPS), saying the commission is working to secure enhanced retirement benefits for officers rather than support their exit from the scheme.

Director-General of PenCom, Omolola Oloworaran, on Tuesday said the police had not withdrawn from the CPS, contrary to widespread public perception, stressing that their grievance centred on the disparity between their retirement benefits and those enjoyed by members of the Armed Forces.

Speaking during a media interaction at the Presidential Villa, in Abuja, Oloworaran said PenCom had opened discussions with relevant government authorities to address the concerns of police personnel through improved pension benefits.

“The police have not exited the Contributory Pension Scheme. They want to exit because they believe their benefits are too small. They compare their benefits with those of the military and are not happy with that. They want to be at par with the military,” she said.

According to her, PenCom fully understands the concerns raised by police officers and supports efforts to improve their welfare.

“We share their frustration because we stand for anything that puts more money in the pockets of ordinary Nigerians. What they want is improved benefits. If we achieve that, it doesn’t matter whether it is done within the scheme or outside it. We are engaging the appropriate authorities on how police pensions can be reviewed and improved.”

She acknowledged that opinions within the Force differed over the proposed withdrawal from the CPS, noting that while some groups continued to advocate an exit, many officers were primarily interested in obtaining better retirement packages.

“There are different camps within the police. Some are not fully aligned with what we are doing, but many simply want a better standard of living after retirement. That is exactly what PenCom is fighting for.”

The PenCom boss also dismissed claims that pensioners routinely face delays in accessing their retirement benefits, insisting that retirees with complete documentation receive their entitlements without unnecessary hurdles.

She said the commission actively monitors complaints from contributors and pensioners, including those posted on social media, and immediately investigates genuine cases.

“If anyone has genuine issues, they should bring them to us. Every day, our team monitors social media for complaints. Once we identify one, we reach out immediately to establish the facts and resolve the matter.”

To further strengthen service delivery, Oloworaran disclosed that PenCom was deploying a Customer Relationship Management (CRM) platform to create a unified system for receiving, tracking and resolving complaints from pension contributors and retirees across the country.

Beyond the police pension issue, the Director-General said the commission expects pension enrolment among workers in the informal sector to rise significantly within the next two years as reforms aimed at expanding pension coverage begin to take effect.

She said PenCom was laying the foundation for that expansion by digitising registration, simplifying enrolment procedures and licensing Accredited Pension Agents to take pension services to markets, rural communities and other underserved locations.

“We are putting the building blocks in place. We have digitised onboarding, simplified the registration process and licensed three accredited pension agents, while four more are undergoing approval.
This year is about building the foundation, and within the next two years we expect to begin seeing significant results.”

She admitted that the commission had initially anticipated faster enrolment under the Micro Pension Plan but maintained that sustainable growth required a strong institutional framework.

Oloworaran also assured contributors that pension assets remained secure despite increased investments in the capital market and infrastructure projects.

She explained that PenCom’s investment regulations prescribe strict conditions for all investments, limiting pension funds to financially sound institutions and assets that satisfy rigorous standards on credit quality, corporate governance and profitability.

“You cannot simply invest pension funds in any company. There are clear investment guidelines. Companies must demonstrate profitability, maintain strong credit ratings and meet other regulatory requirements before pension funds can be invested.”

She added that the commission regularly conducts compliance examinations and spot checks on Pension Fund Administrators (PFAs), while each PFA is supervised by a board investment and risk management committee to ensure adherence to PenCom’s regulatory framework.

The Director-General also defended PenCom’s recent policy permitting PFAs to invest in the parent companies of their pension custodians.

She explained that the restriction had originally been introduced to prevent conflicts of interest, but a comprehensive regulatory review concluded that the associated risks were minimal.

According to her, the revised policy broadens investment opportunities in financially strong Tier-1 institutions such as First Bank, Zenith Bank and United Bank for Africa (UBA), enabling pension funds to benefit from their market performance without compromising contributors’ savings.

“The risks were carefully assessed before the decision was taken. These are well-capitalised institutions with strong track records, and all investments remain subject to PenCom’s stringent regulatory oversight,” she said