The Nigerian Labour Congress (NLC) has urged the National Pension Commission (PenCom) to increase the Retirement Savings Account (RSA) withdrawal limit from 25 per cent to 50 per cent. NLC President Joe Ajaero made this proposal during a roundtable discussion with PenCom management in Abuja, emphasizing that the increase would enable workers to address critical financial needs, such as investments in agriculture, education, and healthcare, amid current economic challenges.

The discussion, themed “Consolidating the Gains of the Contributory Pension Scheme through Collaboration with Social Partners,” also highlighted the importance of constituting the PenCom Governing Board. Ajaero expressed concern over the lack of a fully functional board, which he believes hampers strategic oversight, delays key decisions, and undermines proper governance. He warned that the absence of a complete board threatens the integrity of the Contributory Pension Scheme (CPS).

The NLC further demanded improved worker benefits and accountability, including the use of technology to reduce processing times for retirees’ entitlements. The organization proposed a quarterly meeting between the NLC and PenCom to address workers’ grievances and called for regulatory action against ineffective Pension Fund Administrators (PFAs) and defaulting employers.

PenCom Director-General Omolola Oloworaran acknowledged the concerns and emphasized the commission’s commitment to driving key reforms, including the Pension Revolution 2.0. This initiative aims to expand coverage, strengthen regulation, and enhance service delivery. Oloworaran also announced the renaming of the micro-pension scheme to the “Personal Pension Plan” and invited the NLC’s input on proposed amendments to the Pension Reform Act 2014.

The discussion underscored the importance of collaboration between PenCom and the NLC in strengthening the CPS. Oloworaran noted that the commission values its partnership with the NLC, recognizing the organization’s role in championing the cause of Nigerian workers. As PenCom prepares to intensify its regulatory activities, the partnership is expected to play a crucial role in achieving the commission’s goals and maintaining the trust of Nigerian workers in the pension system.