News

October 17, 2023

Pensions: Lagos set to clear backlog end of 2023 – Sanwo-Olu’s aide assures

Sanwo-Olu

Governor Babajide Sanwo-Olu of Lagos

By Olasunkanmi Akoni

The Lagos State government has expressed determination to clear the outstanding backlog of pensions owned retirees in the state by the end of 2023.

Recall that Lagos State Government has disbursed a total sum of N52 billion to pensioners in the state civil service from 2019 till date.

Mr. Babalola Obilana, Director-General, Lagos Pension Commission, LASPEC, had during the 95th Retirement Benefit Bond Certificates Presentation for Retirees in Lagos, said the commission also had about N10 billion to pay as outstanding accumulated debts for pensioners in the state.

Obilana had assured that the outstanding pension would be settled before the end of the first tenure of Governor Babajide Sanwo-Olu in May 2023 as promised by the governor.

Meanwhile, a credible source who preferred anonymity, disclosed that there are currently estimated 13,928 pensioners in the state.

According to the source, “This number covers those in the mainstream, Local Government, State Universal Basic  Education Board, Teaching Service Commission and other state parastatals.

“Government plans to clear the backlog of pension from 2022 till date so as to achieve the goal of ‘pay as you go’.

Commissioner for Establishments and Training, Mr. Afolabi Ayantayo, while giving assurance on the payment, affirmed this while responding to the backlog of pension payments in the state.

Ayantayo, also expressed the state government’s commitment to continually upscale and upskill the civil service in order to meet the aspiration of the 21st-century public service as part of the overall objectives of Governor Babajide Sanwo-Olu’s THEMES Plus agenda.

The commissioner said the government had been consistent in the payment of pensions to its retirees and was reputed to be the best pension administration in the federation.

According to Ayantayo, “Let me first of all say that Mr. Governor’s THEMES Agenda has now been graduated to THEMES + (plus) Agenda.

“However, be that as it may, Lagos State has been in the forefront in adopting world class ‘people management initiatives’ in the Public Service in Nigeria and we will continue to do so.

“One of the strategic pillars of the Ministry of Establishments and Training is accelerated capacity development. Human capital is at the centre of our strategy for development and we recognize that developing their capacity is not only critical for realizing individual potentials for greater efficiency, it is central to achieving some of the goals of THEMES plus agenda.

“As a government, we are prepared to continue to invest in capacity building of the state’s workforce.

“In the coming months, we will be deliberating in increasing the rate of our learning        and development interventions in the shortest time frame in order to upscale and                upskill the State Civil Service.

“We are determined to work on innovative learning and development initiatives for the workforce and to ensure that every civil Servant is equipped with relevant skill set and competencies to deliver on their assigned jobs for the benefit of the State.

“We will deploy existing technology and improve             on the training schedules from sector specific hands-on and interactive training to industry exchange programmes to ensure that significant number of civil servants benefit from the ministry’s capacity building programmes.

“Our learning strategy will seek to even support professional development across board regardless of cadre or level and stimulate overall self-development.”

On the series of complaints about retirees not getting their pensions, the commissioner said,”There is nothing to do differently. The Lagos State Government has been consistent in the payment of pensions to retirees and it is reputed to be the best pension administration compliant state in the Federation.

“We are not going to deviate from this path except to assure state’s pensioners of the State Government commitment to improve on timely payment of retiree’s pensions and clear the backlog.

“Mr. Governor has shown greater commitment and determination to clear the backlog of pensions and it is anticipated that at the end of 2023, this would be achieved so that on retirement from 2024, retirees would to collect their entitlement without waiting even for a day.”

The State Government runs two pension regimes. They are Defined Benefit Scheme and Contributory Pension Scheme. The Defined Benefit Scheme is a fully funded pension payment for all pensioners of the State Government who retired before 31st March, 2010.

“The pension is calculated based on the terminal salary of the retirees and the number of years spent in active service. Payment in this category is in two parts: the lump sum Gratuity Payment and Monthly pension payment.”