Oyebanji Restates Commitment To Prompt Payment Of Retirement Benefits

Ekiti State Governor, Mr Biodun Oyebanji has reiterated the commitment of his administration to continue to improve the welfare of its workforce as well as the entire people of the State through prompt payment of retirement benefits to its retired workers.

The Governor stated this yesterday in Ado Ekiti during the payment of retirement benefits to the third batch of retirees under the Contributory Pension Scheme (CPS).

Governor Oyebanji, who was represented by the Head of Service, Engineer Sunday Komolafe, stated that the event was another evidence of the workability and reliability of the Contributory Pension Scheme as the best post –service retirement benefit payment system that offers employees a reliable financial safety net.

He stressed further that the Contributory Pension addressed the long-standing issue of inadequate funds for payment of retirement benefits to retirees under the Defined Benefits Scheme (DBS).

The Governor added that the Ekiti State Pension Reform provides that the Contributory Pension Scheme covers all employees appointed into the Ekiti Public service, including State-owned Tertiary institutions with effect from January 1, 2010, adding that such categories of employment should be participants of the pension scheme .

He explained that the Ekiti Pension Reform Law, No3 of 2022 provides that participants should contribute a minimum of ten percent of monthly Basic salary, Rent, and Transport allowances while the employer would contribute eight percent.

The Governor assured that the State Government would continue to make concerted efforts to ensure prompt payment of terminal benefits of its employees and called on all employers of labour that are yet to fully integrate its workforce into the Contributory Pension Scheme to do so without further delay.

While calling of the Pension Fund Administrators (PFAs) to diligently perform their duties, the Governor enjoined beneficiaries to judiciously utilize their entitlement.

“Today’s event is another indication of the workability and reliability of the Contributory Pension Scheme (CPS) as the best post-service retirement benefits payment system. It offers employees a reliable financial safety net which addresses the long standing issue of inadequate funds for payment of retirement benefits to retirees under the Defined Benefits Scheme (DBS).

“By contributing a portion of their monthly income, employees gradually build a pension fund that grows over time, which ensures a stable income upon retirement. Thus, the Ekiti State Pension Reform Law, No.3 of 2022 provides that the rate of contribution to the scheme should be a minimum of ten percent (10%) of monthly basic salary, rent and transport allowance by the employer and 8percent of same by the employee”, the Governor added.

Earlier, the Permanent Secretary Ekiti State Pension Commission, Mrs Tola Faseluka said the scheme embodies the Ekiti State government’s commitment to providing a reliable and sustainable Penson system that reflect the dedication and hard work of Ekiti Public servants throughout their careers.

She stressed that government subscribed to the scheme in a bid to alleviate the suffering of the retirees and fight poverty among them which at the same time must be remitted seamlessly and on due dates to individual retirees Bank Accounts without any hassles.

In their goodwill messages, the chairmen of Nigeria Labour Congress , (NLC), Comrade Kolapo Olatunde, the Trade Union Congress (TUC), Comrade Sola Adigun, and the Nigeria Union of Pensioners (NUP) Comrade Joel Akiola commended the Ekiti State Government for the payment of over N1.5B gratuity of pensioners since the inception of this administration.

They submitted that government should also continue to give more attention to the payment of the DBS beneficiaries saying that more could still be done in alleviating the sufferings of Ekiti people.

One of the beneficiaries, Mr Niyi Olowolayemo, who spoke on behalf of his colleagues thanked Governor Oyebanji for prompt payment of the gratuity assuring that the beneficiaries would utilize the gratuity in a way that will promote the economic development of the state.