In a motion presented on the floor of the House of Representatives, Clement Jimbo, a Member Representing Abak/Etim Ekpo/Ika Federal Constituency, called for the amendment of the 2004 Pension Act to address the inhuman treatment of senior citizens of Nigeria who have diligently served the government and private sectors of the nation.
Jimbo expressed concern over the challenges faced by elderly citizens during the collection of their pension benefits, despite their contributions through years of service. He particularly criticized the practice under the Contributory Pension Scheme where retirees receive only a small fraction (25%) of the total amount credited to their Retirement Saving Accounts (RSAs) as a lump sum, while the remaining 75% is retained by Pensions Fund Administrators for investment in the capital market.
Furthermore, Jimbo highlighted the inadequacy of the monthly pension payments, especially in light of the rising value of the dollar against the naira, the removal of fuel subsidy, and increases in the prices of goods and services. He emphasized that these factors have rendered the current pension payments insufficient to sustain retirees who have served the country honorably for 35 years.
To address these issues, Jimbo called on the National Assembly to amend the 2004 Pension Act, making retirement benefits optional and aligning them with current economic realities. The motion received widespread support from members and was referred to the House Committee on Pension to engage with relevant stakeholders and address the concerns of retirees effectively.
Source: VON.
