Pension

CPS: Lagos State Become First State To Increase Contribution Rate To 18% * As 1542 Retirees Get N5,796bn

Gov. Babajide Sanwoolu, Lagos State Gov.

BY NKECHI NAECHE ESEZOBOR—-The Lagos State Government on Thursday announced that it is set to increase its contribution rate  to 10 percent for the state and eight percent for employees.

L-R: Director General Folashade Onanuga, DG LASPEC and permanent Seceretary, Civil Service Pension Office, Kayode Ogunnubi (representative of Commissioner, Ministry of Establishment, Training and Pensions, Ajibola Ponnle) at the event. 

The Director General Folashade Onanuga,  Lagos State Pension Commission (LASPEC) disclosed this to BusinessToday Online during an intervew session on the side line of the 17th Retirment Benefit Documentation seminar held today in Lagos, that the commission got an approval from the state government to commenced the new rate.

Cross section of retirees at the event.

You recall that the pension Reform Act 2014 increased the rate of contribution for employees and employers to a minimum of 8% and 10%, respectively from 7.5% each by the employer and the employee.


According to her, all is set to commence the deductions of the new rate signed into law in 2014.

She also disclosed that from May 29th 2019, a total of N5,796,683,937.69 billion has been credited Into the Retirement Savings Accounts (RSA) of 1542 retirees.


She noted that the state government under the leadership of the executive governor,  Babajide Sanwoolu, is poised to improve the welfare of retirees.


According to her, the governor who started the contributory pension scheme(CPS), in the state when he was a commissioner at  the ministry of establishment and pension, understands the pain of retirees when their entitlements are not paid on time.

“The administration of Gov. Babajide Sanwoolu in Lagos state has continued to show great commitment  to the welfare of its workforce,  both in and out of the office. 


She explained that the governor like never before is putting plans in place to ensure that retirees get their payments on time.


“We remain resolute  in our commitment  as a commission to ensure the welfare of retirees from the State’s public Service. We have continued  to upgrade our operations  to ensure a seamless interface between us, the contributors and our service  providers.”


On what retirees should expect in the coming year, she said a lot of new things are coming up as it relates to pension and pension entitlement in the state, “but I will say they should be more expectant like never before.”


Declaring the seminar open, the Commissioner, Ministry of Establishment, Training and Pensions, Ajibola Ponnle, said that the commission has gotten approval from the governor to clear all outstanding backlog that have existed in the state.

The commissioner who was represented by the permanent Seceretary, Civil Service Pension Office, Kayode Ogunnubi assured the retirees that the process of clearing the backlog has stated while noting that what happen before will not occur again.

Tags

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *