The National Pension Commission (PenCom) and the Nigeria Employers’ Consultative Association (NECA) have urged Nigerians in the informal sector to embrace the recently introduced micro pension plan to secure their future.
The micro pension was launched in March by PenCom. Unlike contributors in the formal sector with defined income, persons in the informal sector are not obligated by law, to sign on to the Contributory Pension Scheme (CPS). The micro pension plan, therefore, is targeted at the informal sector whose incomes are not fixed, though still voluntary.
At an interactive session with members of the organised private sector, jointly organised by NECA PenCom in Lagos, the director-general of NECA, Timothy Olawale, also emphasised the need to retain contributors’ confidence in the CPS.
He noted that stakeholders and employers were concerned about the implementation of the scheme.
Olawale, represented by the director of projects at NECA, Selina Oni, said that contributors needed to be kept abreast of the regulatory, legal, social and economic issues as they relate to contributors’ funds as well as information on recent development within the commission.
“This will not only boost the confidence of stakeholders, it will increase the level of compliance and ensure the continuous implementation of the act.
It is our hope that recent developments in the CPS, such as the PenCom compliance guidelines on life insurance by contributing employers, the rising pension assets, agitation by contributors for safety and inclusiveness in the administration of the scheme will be addressed,” said Olawale.
Acting Director General of PenCom, Aisha Dahir-Umar, observed that with the continuous dialogue with the OPS, the administration of the CPS so far had been impactful.
She through the support of the OPS, the pension industry has emeged one of the fastest growing in Nigeria, boasting of N9.03 trillion.
She disclosed that the registration and remittance of contributions into the micro pension plan had commenced and urged people to take advantage of the plan.
JOSHUA BASSEY
