NLC demands 50% RSA withdrawal limit and calls for full PenCom board constitution to strengthen pension governance and improve worker benefits.
NLCPensionDemand has gained national attention after the Nigerian Labour Congress (NLC) called for an increase in the Retirement Savings Account (RSA) withdrawal limit from 25 percent to 50 percent.
The demand was made by NLC President, Joe Ajaero, during a roundtable discussion with the management of the National Pension Commission (PenCom) in Abuja on Thursday.
NLC Seeks Higher Withdrawal Limit for Workers
Ajaero explained that increasing the RSA withdrawal limit would help workers meet critical financial needs, including investments in agriculture, education, and healthcare, especially amid the country’s current economic challenges.
Call for Full Constitution of PenCom Board
The NLC President also urged the Federal Government to fully constitute the PenCom Governing Board, warning that the continued absence of a complete board threatens the integrity of the Contributory Pension Scheme (CPS).
He added that the non-constitution of the full board raises concerns about transparency and accountability in the Commission’s operations.
NLC’s Additional Demands
The NLC also presented a series of proposals aimed at improving worker benefits and pension administration efficiency:
- Faster Pension Processing: PenCom should leverage technology to reduce the long processing time for retirees to access their entitlements, ensuring payments are made within weeks, not months, after retirement.
- Joint Oversight Committee: Establish a standing NLC-PenCom committee to meet quarterly and proactively address workers’ grievances.
- Accountability Measures: Enforce regulatory action against ineffective Pension Fund Administrators (PFAs) and defaulting employers, including publishing names of non-compliant organizations and applying stiffer sanctions.
PenCom Responds
In response, PenCom Director-General, Mrs. Omolola Oloworaran, described the Contributory Pension Scheme (CPS) as one of Nigeria’s most transformative social reforms, noting that it has restored confidence and dignity in retirement.
She announced that PenCom is implementing Pension Revolution 2.0, a reform initiative designed to expand coverage, strengthen regulation, and enhance service delivery across the pension sector.
