PenCom DG Proffers Amendments To Ondo State Pension Law For Improved Compliance

…As Ondo Explores Pension Funds For Infrastructural Development

The Director General of the National Pension Commission (PenCom), Ms Omolola Oloworaran, has proposed key amendments to the Ondo State Pension Law.

The key amendments include the introduction of a Minimum Pension Guarantee (MPG) to support indigent contributors and an Irrevocable Standing Payment Order (ISPO) to ensure consistent remittances by successive administrations.

This is even as the Governor, Lucky Aiyedatiwa has indicated that the State is exploring opportunities to leverage pension funds for infrastructural development in the state.

The Governor made the revelation on Tuesday, while receiving a delegation from the National Pension Commission (PenCom) led by the Director General, Ms. Omolola Oloworaran in Akure.

PenCom delegation were with the Governor to discuss critical pension reforms aimed at improving welfare for retirees and ensuring compliance with the Contributory Pension Scheme (CPS).

Speaking during the visit, Governor Aiyedatiwa extolled the critical role of pension funds in economic development and commended PenCom for its proactive engagement.

He reaffirmed his administration’s commitment to the full implementation of the Contributory Pensions Scheme (CPS) in Ondo State.

The Ondo State Pension Commission (OSPEC) scored 72.44% in state pension compliance during the last Routine Inspection carried out by PenCom.

The Governor expressed his aspiration to improve the State’s pension compliance rating from its current composite score of 72.44% to 95% by the next Inspection as challenged by the PenCom DG.

Also speaking, the PenCom Director General proposed key amendments to the Ondo State Pension Law, including the introduction of a Minimum Pension Guarantee (MPG) to support indigent contributors and an Irrevocable Standing Payment Order (ISPO) to ensure consistent remittances by successive administrations.

Ms. Oloworaran also advocated for the integration of a Pension Compliance Certificate (PCC) as a mandatory requirement for business licensing, registration renewals, and contract awards within the State.

She explained that this measure aims to enhance compliance and accountability in pension remittances by employers.

Additionally, the PenCom DG raised concerns identified during OSPEC’s last Routine Inspection, urging prompt resolution to improve the State’s pension compliance rating.

Governor Aiyedatiwa promised that the state would address most of the concerns before the next inspection.