Enforcement pays off as Pension Recovery Agents pull N16.37bn from defaulting employers

Enforcement has proven to be the best approach to recovering unremitted pensions as Recovery Agents engaged by the National Pension Commission (Pencom) have recovered N16.37 billion from defaulting employees to date.

According to Pencom, the total recoveries comprise principal contributions of N8.37 billion and penalty of N8 billion, and these have since been credited to the respective Retirement Savings Accounts (RSAS) of the employees.

In the Commission’s report for third quarter 2019 available on its website, Pencom maintained the services of Recovery Agents (RAS) for the recovery of outstanding pension contributions and penalty from defaulting employers.

The RAS were mandated to review the pension records of the employers assigned by the Commission and recover outstanding pension contributions with penalty.

The Commission stated that during the quarter, demand notices were issued to 18 defaulting employers whose pension liabilities had been established by the RAS.

This resulted in the remittance of outstanding pension contributions of N364.68 million, representing principal contributions of N146.95 million and penalty of N217.73 million during the third quarter period of last year, the Commission said.

Pencom said it had sustained its effort at collaborating with social partners to drive compliance with the provisions of the PRA 2014 by the Organised Private Sector (OPS).

The Commission in collaboration with the Nigeria Employers’ Consultative Association (NECA) organised interactive sessions with the OPS on the “Current Developments and Challenges” in the implementation of the CPS.

The interactive sessions held September 2019 in Lagos, Port Harcourt, Abuja and Kano provided a platform for the Commission to interact with the OPS on the implementation of the CPS.

The sessions also provided an opportunity to update stakeholders on re