The House of Representatives has agreed to exempt staff of the National Assembly Service from the contributory pension scheme and to establish National Assembly Service Pensions Board.
This followed the adoption of a bill to that effect by the committee of the whole of the House at plenary on Thursday.
Sponsored by Olododo Cook, chairman, of the House committee on national planning and economic development, the bill had passed the second reading and with the approval, it would be slated for the final (third reading) and passage into law.
Cook said the aim was to exit the National Assembly Service from the contributory pension scheme under the Pensions Reform Act, 2014, and the board when established, would be charged with administering the pension scheme for personnel of the National Assembly Service.
“The proposed amendments provide that there is established a Pension Board (in this bill referred to as ‘the Board’) which shall be charged with managing the payment of pensions and gratuities to all personnel of the service.
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“The bill shall apply to all personnel of the National Assembly Service, including those who had retired before the commencement of this bill. The retirement benefits of personnel referred to in sub-section (2) shall be adjusted to be commensurate with the provisions of this bill.
“They shall be charged on and paid out of the Consolidated Revenue Fund of the Federation, all such sums of money as may, from time to time, be granted by the Federal Government by way of pension and gratuity in accordance with this bill.
“The proposed legislation states that no pension or gratuity shall be granted to any person except on his retirement from the service in any of the following circumstances.
“(a) After serving for forty (40) years or attained the age of 65 years, whichever is earlier; (b) upon voluntary retirement after serving for not less than ten years.
“(c) Upon compulsory retirement under the provisions of Section 5 (1) of this bill; (d) upon compulsory retirement for the purpose of facilitating improvements in the Service, so that greater efficiency or economy may be effected.”
