Saturday 22 February 2014

Contributory pension scheme rare gift to Nigerians – Sogunle


Sogunle
Chuks Udo Okonta

The Managing Director Stanbic IBTC Pension Managers, Demola Sogunle, has said the Contributory Pension Scheme (CPS) is one of the best things that the government has in recent time bequeathed on Nigerian workers.

Sogunle, who spoke at a media parley organised by the Pension Fund Operators Association of Nigeria (PenOp), in Lagos, said the scheme has helped to provide a secured future for workers at retirement, adding that workers need not to adjust their age any more as there is something to sustain their lifestyle in retirement.

He called on workers to demand compliance from their employers as their future is determined by what they contribute now.

He said: “Those who are presently contributing are in good companies, their future is assured, and some people are working on their behalf to ensure that when they stop receiving salary, they can maintain their living standard.

“It is because of the contributors we do investment strategies, work hard daily, so that they can have something to fall on when they stops working. It is when people stop working they become more vulnerable and that is when we come in. Contributors should be rest assured, for they have nothing to fear.”

He said the new pension system has a strong internal mechanism, and there is no story, adding that on monthly bases those who have contributed collect their pension without hassles.

“Those who have witnessed the scheme recognised that the scheme is one of the best things to have happened in Nigeria. This scheme is one of the unsung reforms former President Olusegun Obasanjo, bestowed on Nigerians.

“People are yet to come to full realisation that at takes a lot to come from N2 trillion unfunded pension liability to N4 trillion assets in a period of eight years. Those working should make sure that their employers are contributing so that when they retire they will be able to sustain their lifestyle.

“With the scheme, once you are 50 years, you should retire. People need not to adjust their age anymore. People adjust their ages because they are not sure of their future. But with the scheme, once a worker is tired he or she should retire,” he said.

Managing Director Fidelity Pension Managers Limited, Amaka Andy Azike, called on employers to align with the scheme, adding that it remains one of the best ways they can motivate their workers.

She noted that when workers realise that their future is secured due to the contributions made by their employers they will give their best and work towards the well being of their employers.

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