…Effects Complete Liquidation Of NICON, Delta Steel Pension Liabilities
By CLEMENT NWOJI, Abuja
The Pension Transitional Arrangement Directorate (PTAD) has to date, offset a total of N39 billion of the inherited N95 billion pensions liabilities and severance benefits of ex-workers of about 75 agencies of federal government which were either privatized or liquidated.
The latest payment announced Thursday, was N7,053,150,168.14 for the complete liquidation of the outstanding 56 months of inherited pensions liabilities for NICON Insurance and the balance of 49 months owed to ex-workers of the Delta Steel Company. The beneficiaries involved were over 4,000 pensioners.
The PTAD Executive Secretary, Dr. Chioma Ejikeme disclosed these Thursday while giving updates on the operations of the Directorate in a briefing with Journalists.
OPTIMUM TIMES recalls that PTAD inherited these agencies with unpaid monthly pensions and with pension arrears ranging from 84 to 219 months while some of the agencies entitled to one off payments had not been paid.
Also, At the time of takeover, in 2017, PTAD did not receive any pension funds or assets to meet up with the huge liabilities inherited from these agencies.
Dr. Ejikeme explained that at the inception, NICON Insurance alone had a total of 100 months pension liabilities while that of Delta Steel Company was 96 months.
While giving insight into the efforts of the Directorate to ensure that the pensions and severance benefits of the ex-workers of the privatized or liquidated government owned agencies were paid, the PTAD Executive Secretary said: In February, 2017 when PTAD received directive from Board Pensioners of these agencies, they were inherited with unpaid monthly pensions and with pension arrears ranging from 84 to 219 months while some of the agencies entitled to one off payments had not been paid.
“At the time of takeover, PTAD did not receive any pension funds or assets to meet the huge liabilities inherited from these agencies.
“As at December, 2021, PTAD had completely liquidated inherited pensions liabilities of New Nigerian Newspapers, the Nigerian Re-Insurance Corporation, and had made one off payments to Savannah Sugar, Aluminum Shelter Company to their beneficiaries and next of keen etc and had settled some months of arrears to others.”
“Today is another landmark in the management of defunct agencies pensions. We are happy to announce the complete liquidation of the outstanding 56 months of inherited pensions liabilities for NICON Insurance. A total of 100 months were inherited.
“And the balance of 49 months owed to ex-workers of the Delta Steel Company which had a total of 96 months were inherited. The total amount paid is N7,053,150,168.14.
“This landmark achievement was made possible by the supports from the Finance Ministry, Budget and National Planning; the Senate and House Committees over sighting pension and the commitment and political will of President Muhammadu Buhari who had made payments of pensions and retirement benefits topmost priority of this administration.”
Dr. Ejikeme further disclosed that currently, these defunct agencies have a total monthly pensions bill of N2, 298, 893,000,321.8 and annual bill of over N52 billion representing 44 percent of the total monthly annual pension bill of the parastatals pensions department.
“As at today, we have settled a total of N39 billion of the inherited N95 billion with N3.4 billion of this amount making up one off payments. These payments are ongoing.
“I had earlier on several occasions assured our esteemed pensioners retired from the defunct agencies that PTAD was working tirelessly to ensure that retirements and severance benefits were paid as soon as possible”, she assured.
She also assured that the liquidated of the pension arrears and severance benefits of ex-workers of NITEL-MTEL would soon be accomplished as the processes are ongoing.
Apart from giving hints about the full roll out of the “I’m Alive confirmation solution”, a web based solution designed and launched to enable pensioners to easily confirm their aliveness, she enumerated other achievements of PTAD.
These include: Continuing and regular payments of monthly pensions to pensioners without fail -N8.5 billion accumulated arrears paid to pensioners and next-of kins of Civil service department, Enrolling of Assurance Bank and Nigerian National Shipping Line pensioners, Complete payments of 126 months of inherited liabilities with the Nigeria insurance company and New Nigerian Newspapers, and Complete payments of pensioners of Nigerian Aviation Handling Company and Savannah sugar company.
The Directorate had also completed implementation of 9.7 percent increments to ex-PHCN workers with the attendant arrears paid, Payments of arrears to work affected police officers since their pardon in 2000, the full payment of 33 percent pension arrears for the civil service, police, customs, immigration, prison pensioners which had been outstanding since 2010
In response to the liquidation of NICON Insurance outstanding arrears of pensions, Mr. Steve Momoh, an ex-staff of NICON Insurance who spoke on behalf other beneficiaries, applauded the efforts made by President Muhammadu Buhari’s administration for given attention to the pensioners, adding that with payments, their problems had been alleviated.
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