DBS Pensioners: PTAD Implements Harmonisation, Advances Pension Equity

The Pension Transitional Arrangement Directorate (PTAD) has announced the implementation of Pension Harmonisation for eligible Pensioners under the Federal Defined Benefit Scheme (DBS) managed by the Directorate with effect from May, 2026.

President Bola Tinubu, in August 2025, approved the proposed Pension Harmonisation policy for DBS Pensioners in PTAD’s 2026 Pension Budget.

The implementation of the Pension Harmonisation has addressed the long-standing structural disparities within the DBS pension administration and reinforced the Federal Government’s commitment to fairness, social justice, and the welfare of retirees.

According to the Executive Secretary (ES) of PTAD, Tolulope Odunaiya, “this intervention represents a significant step toward ensuring a more equitable structure and restoring confidence in the administration of the Defined Benefit Pension Scheme”.

She added that the intervention demonstrates His Excellency, President Bola Ahmed Tinubu’s administration’s steadfast commitment to DBS Pensioners’ welfare, as well as its resolve to identify structural inequities and implement corrective measures that duly recognise and honour the contributions of DBS retirees.

Prior to this implementation, pensions were computed for all Pensioners based on the salary structure applicable at the time of their individual retirement from Service.

However, with the pension harmonisation, pensions are computed using the last salary structure at the cut-off date for the DBS pension. This ensures that DBS Pensioners of similar ranks, grade levels, and years of service receive equitable pension benefits regardless of their retirement date.

The eligibility for pension harmonisation applies to Pensioners who are Pure Federal Pensioners, whose entire DBS pension obligation falls under Federal Government’s purview, State and Federal Share Pensioners under Parastatals Pension Department (PaPD), Defunct and Transferred Agencies Pension Department (DTAPD), and Tertiary Education and Health Pension Department (TEHPD) who initially served with the Federal Government and subsequently transferred to State Government MDAs, and Pensioners on earlier salary structures whose pensions were hitherto calculated on salary structures predating the final approved Salary Structure.

The ES, PTAD further reassures DBS Pensioners of the Directorate’s unwavering commitment to prioritizing their welfare through continuous collaboration with relevant Government Agencies to enhance their overall well-being, according to a statement by Olugbenga Ajayi, Head, Corporate Communications.