Workers of the National Assembly Service Commission (NASC) are seeking a return to the contributory pension scheme (CPS).

This is coming barely two years after a bill, which was concluded at the twilight of the Buhari administration, exempted them from the scheme.

The National Assembly Service Pensions Board (Establishment) Act, enacted in April 2023, created a separate pension board for NASS personnel, effectively removing them from the CPS of the Pension Reform Act (PRA) of 2014.

However, while implementation of the NASS Pension Board Act is yet to commence, recent developments suggest a shift in perspective amongst the Assembly’s management and staff.

The disclosure was made by the Clerk of the National Assembly, Kamoru Ogunlana, during a stakeholder engagement session on the review of the PRA 2014 organised by the House of Representatives Committee on Pensions in Abuja.

The CPS is perceived to be transparent and rewarding than other pension schemes. Over the years, its adoption has grown.

Represented by an Official of the Assembly, Ogunlana announced the service’s interest in rejoining the CPS in a memorandum submitted to the Committee.

While declaring open the engagement, Chairman of the House Committee on Pensions, Hussaini Jalo, stated the need to amend the PRA, which was last reviewed in 2014. He urged stakeholders to outline potential review areas for the Committee’s consideration.

The engagement brought together key stakeholders, including PenCom, the Pension Transitional Arrangement Directorate (PTAD), Nigeria Employers’ Consultative Association (NECA), Pension Fund Operators Association of Nigeria, Military Pensions Board and the Nigerian Police Force.

The session was part of a consultative process to inform a proposed amendment to the PRA 2014. The Committee affirmed its commitment to fast-track the review process to align the legislation with current realities and stakeholder expectations.

In a memorandum submitted during the session, the National Pension Commission (PenCom) acknowledged the need to review the PRA 2014, noting that the review had commenced earlier.

PenCom recommended revisiting the resolutions reached during stakeholder consultations in 2022 to validate earlier positions and address emerging concerns.

PenCom also expressed support for proposed amendments aimed at improving lump sum payouts for retirees in response to widespread calls from stakeholders.

In this regard, the Commission supported a holistic review of Sections 7(1) and (2) of the Pension Reform Act 2014 to address issues around retirement benefits and ensure a more equitable framework for retirees.

PenCom further pledged to collaborate with both the Committee as well as the Senate Committee on Establishment and Public Service to ensure a seamless and comprehensive review.

A member of the House Committee on Pensions, Oluwole Oke, called for caution with the proposed amendments to the PRA 2014.

Oke underscored the need to strengthen PenCom’s regulatory capacity while emphasising the National Assembly’s support in advancing reforms that would guarantee a dignified and secure retirement for every Nigerian worker.

Meanwhile, the Pension Transitional Arrangement Directorate (PTAD) called for its recognition as a legal corporate entity in the proposed amendments.

PTAD’s Executive Secretary, Tolulope Odunaiya, stated this in the Directorate’s submission at the public engagement.

Also, in his contributions on why PRA should be amended, the Chief Executive Officer of the Pension Fund Operators Association of Nigeria (PenOp), Oguche Agudah, noted that the Act is over 10 years old now and due for a review due to critical developments in the pension sector.

In his presentation, he noted: “The review is for sustainability and economic development so that the pension sector operators can continue investing and also to ensure the independence of the regulator, which is the National Pension Commission.”

Agudah added that the review is targeted at “ensuring nationwide coverage and growth, as only six states have total coverage”.

The PenOp CEO further noted that the review was essential to ascertain that remittance of pension contributions is only done through recognised payment platforms.