The National Pension Commission (PenCom) has disclosed that it is in court with about recalcitrant management of over 120 companies that have refused to comply with the dictates of the 2014 Pension Reform Act in its efforts to enforce compliance on contributory pension remittances by employers across the country (PRA). Mr. Peter Aghahowa, the Commission’s Director of Corporate Communications has stated.
According to him, the Commission was working hard to ensure that all pension laws affecting various policies were strictly followed.
He noted that compliance varies by sector and that recovery agents have been hired to ensure that funds that should be remitted to PenCom are not diverted in any way. “We hired recovery agents for the private sector. According to the PRA, any company with more than three employees must participate in the Contributory Pension Scheme (CPS). As a result, the recovery agents have been given authority. They will determine a company’s liabilities after reviewing its books.
“We have remittances for both the employee and employer portions. There is a penalty for those who do not remit at all.
“We have 120 cases in court, and these are organizations that we tried to work with but were simply obstinate. Because the goal is to get the money to the RSAs, going to court is the last resort. We always make an effort to participate.
“States are required to enact and implement the CPS. We collaborate with them to draft legislation and establish a pension bureau.
Most states have not done a good job of implementing this. You should tread lightly when enforcing compliance here. “Acquired rights have been paid up,” he stated.
Earlier, PenCom DG Aisha Dahir-Umar revealed that the Commission has deepened technological innovation in order to navigate the challenges posed by the pandemic.
Source: The Sun