PenCom, NLC Begin Crackdown on Pension Defaulters June 1

The National Pension Commission (PenCom) and the Lagos State Council of the Nigeria Labour Congress (NLC) are taking a firm stance against pension defaulters, with enforcement set to begin on June 1. This decisive action, highlighted by The Punch, addresses the persistent issue of employers failing to remit deducted pension contributions, a practice that jeopardizes the future financial security of Nigerian workers.

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It is unacceptable that despite monthly deductions from workers’ salaries, some employers deliberately fail to remit the funds.

Funmi Sesi, Chairperson of the NLC Lagos State Council, unequivocally condemned this failure, labeling it an unacceptable violation of labor laws and a betrayal of workers' trust. She stressed that pensions are a fundamental right, ensuring dignity in retirement after years of dedicated service. The NLC's readiness to employ strong measures, even suggesting the use of locks and keys for compliance, underscores the urgency and seriousness of the situation.

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The non-remittance of pension contributions constitutes a gross violation of labour laws and abuse of workers’ trust.

PenCom, represented by Ahmed Lawan, Head of the Compliance and Enforcement Department, reiterated the Contributory Pension Scheme's role in providing post-retirement financial security. While acknowledging the CPS has improved pension administration, PenCom also pointed fingers at employers whose non-remittance practices undermine the scheme. This collaborative crackdown signals a critical moment for worker protection in Nigeria, emphasizing that retirement benefits are not negotiable and will be vigorously defended.

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If we need to purchase locks and keys just to ensure compliance and enforcement, we will apply that. We are the voice for the voiceless, the power for workers and the last hope of workers and pensioners.