The Nigeria Labour Congress (NLC) and the National Pension Commission (PenCom) have commenced strategic discussions to address persistent delays in pension payments and expand benefits under the Contributory Pension Scheme (CPS).
The dialogue, held in Abuja, is part of ongoing efforts by both institutions to improve the efficiency of the pension system, deepen collaboration, and restore confidence among contributors and retirees.
NLC President Joe Ajaero, who led the Labour delegation, described the engagement as a positive step toward resolving operational challenges and making the pension system more transparent and worker-friendly. He identified key issues undermining implementation, including the non-inauguration of a full PenCom Board, weak regulatory enforcement, and prolonged delays in retirees’ benefit payments.
Ajaero proposed the creation of a standing NLC–PenCom Committee to meet quarterly to review progress, address emerging issues, and serve as a rapid-response platform for workers’ grievances. He also urged decisive action against defaulting employers and inefficient Pension Fund Administrators (PFAs).
To improve pre-retirement access, Ajaero suggested increasing the allowable withdrawal from 25 percent to 50 percent for residential mortgage purposes and expanding eligibility to investments in agriculture, education, and healthcare. He emphasized the need to leverage technology and process improvements to ensure faster disbursement of lump-sum payments and monthly pensions.
: Nigeria’s CPS, established to provide social security for workers, has faced criticism for delayed payments, limited pre-retirement access, and gaps in coverage, especially for informal sector workers. Despite decades of operation, many retirees experience long waits before receiving benefits, and some employers have failed to remit contributions. Previous reforms have aimed to strengthen regulatory oversight, but challenges persist in governance, enforcement, and system efficiency.
Ajaero reaffirmed the NLC’s commitment to building a worker-centered pension system, stressing that contributors’ confidence is essential for the sustainability of the CPS. He expressed optimism that addressing governance, compliance, access, and efficiency issues would restore trust and improve welfare for Nigerian workers.
 and the National Pension Commission (PenCom) have commenced strategic discussions to address persistent delays in pension payments and expand benefits under the Contributory Pension Scheme (CPS).){kind=link}