National Pension Commission (PenCom) has responded to the Nigeria Labour Congress (NLC) on recent issues raised on the management of workers’ pension funds and the non-inauguration of PenCom’s Governing Board.
In a letter dated July 28, 2025, NLC President, Joe Ajaero had accused PenCom of sidelining workers and employers in the management and investment of their pension contributions, operating without a properly inaugurated board, and engaging in unauthorised spending.
Communicating the resolutions of its Central Working Committee (CWC) meeting, the NLC issued a two-week ultimatum to PenCom to inaugurate its board and provide a comprehensive status report on the funds.
However, responding to the labour threat, PenCom, in a letter signed by its Acting Director of Corporate Communications, Ibrahim Buwai, described the allegations as “incorrect, gravely misleading and surprising.”
PenCom rejected the accusations and sought to put the record straight that pension funds were safe and secure. The Commission assured all pension contributors and retirees that their pension contributions remained safe and secure.
In the letter, PenCom said the Commission did not directly invest pension funds; instead, licensed Pension Fund Administrators (PFAs) and Pension Fund Custodians (PFCs) manage and safeguard the investments under strict regulations and supervision.
On board inauguration, PenCom stated that it was beyond its control, quoting Section 19 of the Pension Reform Act (PRA) 2014 that the appointment of board members is strictly the prerogative of the President and subject to Senate confirmation.
However, the Commission assured NLC that appointment of board members was no longer a matter of concern as the Federal Government had already taken steps to address the issue.
It equally dismissed claims of unauthorised spending, explaining that the National Assembly, as provided under the Constitution, approves PenCom’s budget, regardless of whether a board is in place or not.
In the letter, PenCom drew the attention of the NLC to the fact that all its procurement activities were undertaken in accordance with the Public Procurement Act 2007.
