· Requests for Payment of June-July 2019 Accrued Rights and Benefits
The Nigeria Labour Congress (NLC) has commended the federal government for the recent release of the sum of N7.45 billion accrued rights and benefits of federal public service retirees covering April and May 2019.
The NLC, in a letter signed by its President, Comrade Ayuba Wabba, to the Minister of Finance, Budget and National Planning, Zainab Shamsuna Ahmed, dated 14th July 2020, and sighted by National Record, said the “responsive and responsible move by the Federal Government has come at a very critical time considering the adversity imposed on our retirees and pensioners by the novel coronavirus (Covid-19) pandemic.”
Comrade Wabba, in the letter entitled; “RE: REMITTANCE OF ACCRUED BENEFITS OF FEDERAL CIVIL SERVANTS TO THE RETIREES RETIREMENT SAVING ACCOUNTS (RSAs),” also asked the federal government to consider the plight of retirees from June 2019 to July 2020.
Accrued rights and benefits are paid to retirees who were in service prior to 25th of June 2004 when the Contributory Pension Scheme (CPS) commenced, and who had retirement savings prior to the take-off of the new scheme.
Although accrued rights and benefits are covered by Pension Redemption Bond payable by the federal government to retirees in addition to their savings under the CPS upon exit from service, the federal government has however been operating in default. The NLC, following the default and in the face of survival challenges by retirees, had on 19th September 2019 written to the federal government requesting for the release of funds to pay retirees.