Pension operators seek collection of unclaimed benefits

Pension operators seek collection of unclaimed benefits Chuks Udo Okonta The Chairman Pension Operators Association of Nigeria (PENOP) Dave Uduanu, has called for the collection of unclaimed pension benefits that are in the custody of Pension Fund Administrators (PFAs). He told Inspen that some PFAs have pension benefits of deceased pensioners and those who cannot be reached due to changes in their addresses. He urged families of the deceased pensioners to approach the PFAs with proves to access the benefits. He said: “We have two major challenges as regard pay of benefits. We have people that have died but their next-of-kin have not shown up for their benefits. We want the next-of- kin of those that died to come and claim their benefits. Next-of-kin are normally the spouse, but some people use their children. If a child is below 18 he/she needs a legal guidance to get the benefit. “People should also prepare their will, so that when they die the benefits would be disposed according to the will. We also have people that have retired and relocated from where they used to live to places where their PFA cannot reach them. We have the money of these classes of people, either their dead benefits or terminal benefits. “We still have those that have not submitted their documents. Their money is ready, we are appealing to them to come to their PFA to complete their documentation and collect their money. In the pension industry, once someone completes the documentation he or she would be paid within one week.” He noted that another challenge the operators have is that in Nigeria when a company want to sack somebody he or she is asked to resign, adding that when an employee resigns, he or she cannot get 25 per cent of his or her contribution. “A lot of banks staff that were sacked, were asked to resign, now they cannot get 25 per cent of their benefits. It is important to let people know that their employer must sack them for them to get 25 per cent of the benefit. If your employer tells you to resign, tell him to sack you for it is better than forceful resignation,” he said.