Employers of labour in both private and public sectors have been urged to key into the Contributory Pension Scheme (CPS) and ensure the remittance of their workers’ pension deductions.
Members of the Pension Fund Operators Association (PenOp) stated this during a virtual training organized by the association for journalists.
They called on employers to remit their workers’ monthly contributions promptly, adding that such a gesture would ensure employees have a secured life after retirement.
One of the facilitators, Omagbitse Barrow, noted that the key areas in the pension system include compliance, contributions, investment, service support, and withdrawal.
He stated that the biggest change between the CPS and Defined Benefit Scheme ( DBS) was that the employee now contributes as well as the employer.
To him, the higher the contribution, the higher the funds.
Proffering solutions on how to boost retirement benefits for pensioners in the CPS, he stated that, improving productivity and hard work would go a long way in boosting ultimate retirement benefit.
On withdrawal, he lamented that lack of proper understanding of the mode of withdrawal of pension funds poses a big challenge to the growth of the industry.
He urged members of the public to seek an understanding of the withdrawal modalities during the registration process so that they will be better informed on the exit options available in the scheme.
On his part, the CEO of PenOp, Oguche Agudah, said pension is a delicate matter as such needs a proper understanding of the industry.
“People are very emotional when it comes to their pension. Any chance or story about their pension getting lost, stolen, embezzled, or losing value causes a lot of negative emotions amongst contributors,” he said.
He added that pensions and investments are technical issues, saying managers, therefore, have a responsibility to break down salient aspects of the scheme in general to members of the public in simple, easy-to-read, and understandable language.
He also assured contributors into the CPS that their monies are intact and wisely invested in better performing portfolios.
