The National Pension Commission (PenCom) has assured that all outstanding pension arrears and gratuities owed to retirees will be cleared by December 2025, once the ₦758 billion Federal Government bond approved by President Bola Tinubu matures.
PenCom’s Director-General, Ms. Omolola Oloworaran, gave the assurance on Friday in Owerri during a two-day sensitisation workshop for retirees from the South-East zone. The event, organised in collaboration with the National Salaries, Incomes and Wages Commission (NSIWC), aimed to educate pensioners on new developments in the Contributory Pension Scheme (CPS).
Represented by Mr. Samuel Uwandu, the Commission’s National Commissioner for the Inspectorate Department, Oloworaran said the bond would be converted into cash to enable the government to fully settle all outstanding gratuities and arrears, including those dating back to the 2007 pension increment.
“Thanks to President Bola Tinubu, who approved a ₦758 billion bond for PenCom. We are working towards cashing it before the end of the year. Once it matures, all gratuities and arrears owed retirees will be paid in full,” she said.
Oloworaran acknowledged that over the years, there had been challenges in gratuity payments and inconsistencies in retirees’ benefits — particularly among Police pensioners, whose current pensions do not reflect their total contributions.
She added that the President’s intervention demonstrated his commitment to improving the welfare of retirees and Nigerians at large. PenCom, she said, is also in discussions with the Federal Government to increase pension benefits from 75 per cent to 100 per cent of retirees’ final emoluments.
“What this means is that a retiree will continue to receive the same salary, or at least 75 per cent of it, upon retirement,” she explained.
“We have also contacted the Presidency about adjusting the Pension Act, and we are confident that any amendment supported by the Executive can be swiftly passed by the National Assembly.”
Speaking at the event, Comrade Bisan Olufemi, National Secretary of the Nigeria Union of Pensioners, Contributory Pension Scheme Sector (NUPCPS), commended PenCom and NSIWC for clearing 18 months of accrued pension payments, which he said had been settled up to October 2025.
He praised the Federal Government’s renewed commitment, noting that arrangements were already underway to settle November payments as well.
Olufemi also appreciated PenCom for assuring that new retirees would begin receiving their benefits immediately after retirement, describing it as a major relief for pensioners who often face long delays.
One of the participants, Mr Chris Duru, thanked the organisers for the sensitisation workshop and urged them to hold similar programmes annually to help more retirees stay informed about their rights and entitlements.
The workshop brought together more than 107 retirees from the five states of the South-East geopolitical zone, as part of PenCom’s ongoing campaign to educate pensioners and promote transparency in the management of retirement benefits.
