The Nigeria Labour Congress (NLC) has urged the Federal Government to amend the pension policy to allow workers access up to 50% of their Retirement Savings Account (RSA) balance before retirement.
Director-General, PenCom, Ms. Omolola Oloworaran ;NLC President, Comrade Joe Ajaero
NLC President, Comrade Joe Ajaero, made the appeal in Abuja on Thursday during an interactive session with the National Pension Commission (PenCom), describing the move as a necessary reform to cushion the impact of Nigeria’s harsh economic realities on workers.
“We propose a review of the policy to increase the accessible portion from 25% to 50%, and expand its scope beyond residential mortgages to cover agriculture, children’s education, and healthcare,” Ajaero said.
He stressed that the Contributory Pension Scheme (CPS) must evolve to reflect the realities of inflation and rising living costs, warning that “pension savings should not be treated as idle funds when workers are struggling to survive.”
The NLC President also expressed concern over the absence of a fully constituted PenCom board, calling it a “governance gap” that undermines oversight and strategic decision-making.
“While a chairman is in place, the absence of a full board hampers oversight and delays critical decisions,” he added, urging President Bola Tinubu to inaugurate the full PenCom board immediately.
Ajaero further demanded that PenCom publish the names of employers who default on pension remittances and ensure faster benefit processing for retirees.
“Pensioners shouldn’t have to wait endlessly to access what they worked for,” he said, while also advocating for expanded pension coverage to include informal sector workers through innovative micro-pension schemes.
Responding, PenCom Director-General, Ms. Omolola Oloworaran, disclosed that the Commission is reviewing the Regulation on Investment of Pension Assets to safeguard contributors’ funds and improve returns.
“This review is part of our broader reform agenda Pension Revolution 2.0 aimed at deepening trust, expanding coverage, and improving service delivery across Nigeria’s ₦18 trillion pension industry,” she said.
Oloworaran noted that PenCom is finalising proposed amendments to the Pension Reform Act 2014 to address emerging industry challenges and ensure stronger enforcement against non-compliant employers.
She also revealed that the Commission had rebranded the Micro Pension Scheme as the Personal Pension Plan, a more flexible option for self-employed individuals and workers in small and medium enterprises.
“We want every Nigerian worker, formal or informal, to retire with dignity, pride, and peace of mind,” Oloworaran affirmed.
Ajaero concluded by proposing the establishment of a standing NLC–PenCom Committee to review policy implementation and transparency in the pension system quarterly.
