The Nigeria Labour Congress (NLC) has called for workers to be allowed to withdraw up to 50 per cent of their Retirement Savings Account (RSA), up from the current 25 per cent limit.
The demand was made on Thursday in Abuja during a roundtable meeting between the NLC and the National Pension Commission (PenCom) aimed at strengthening collaboration on the Contributory Pension Scheme (CPS).
Speaking at the event themed “Consolidating the Gains of the Contributory Pension Scheme through Collaboration with Social Partners,” NLC President Comrade Joe Ajaero said the proposed increase would enable workers to meet urgent financial needs, including investments in agriculture, education, and healthcare, amid the prevailing economic hardship.
Ajaero also expressed concern over the incomplete constitution of the PenCom Governing Board, warning that its absence was weakening the Commission’s oversight and accountability.
“Congress is deeply concerned about the continued non-constitution of the full board of PenCom. In its absence, how do we ensure the integrity of the Commission’s actions?” he asked.
The labour leader urged PenCom to accelerate access to retirement benefits by leveraging technology to shorten processing times, suggesting that payments should be made within weeks — not months — after retirement.
He further proposed a joint NLC–PenCom standing committee to meet quarterly to address workers’ grievances and called for stricter penalties for non-compliant employers and poorly performing Pension Fund Administrators (PFAs).
He also demanded that defaulting organisations be publicly named to enhance transparency.
Commenting on proposed amendments to the Pension Reform Act (PRA) 2014, Ajaero complained that workers had not been adequately consulted, insisting that the NLC must be fully engaged in the process.
In response, PenCom Director-General, Mrs. Omolola Oloworaran, described the CPS as one of Nigeria’s most transformative social reforms, saying it had restored confidence and dignity to the retirement system.
She said the Commission was implementing major reforms under a new initiative, “Pension Revolution 2.0,” designed to expand coverage, strengthen regulation, and improve service delivery.
According to her, the micro-pension scheme has been rebranded as the Personal Pension Plan to make it more inclusive for informal sector workers.
Oloworaran added that PenCom would provide updates on the proposed PRA amendments and invited the NLC to participate in discussions.
“The CPS can only remain strong when Nigerian workers believe in it. Partnering with the NLC, which champions workers’ welfare, is key to achieving that trust,” she said.
Welcoming the NLC delegation earlier, the DG emphasised collaboration:
“There will be no PenCom without labour. We need labour to achieve our goals as we move into full regulatory enforcement. Labour is a reliable partner we can count on,” she said.
