Judge me by pension reforms, not promises, Tinubu tells Nigerians

Launching of Presidential Pension Security Initiatives

President Bola Tinubu has challenged Nigerians to judge his administration by its achievements in pension reforms rather than political promises, as the government launched a minimum pension guarantee and a healthcare scheme for low-income retirees.

The initiatives, unveiled Tuesday at the launch of the Presidential Pension Security Initiatives at the State House Banquet Hall in Abuja, aim to address longstanding concerns about inadequate retirement income and limited access to healthcare among pensioners.

The president, represented by Senate President Godswill Akpabio, said the Minimum Pension Guarantee Scheme will provide a financial safety net for eligible retirees under the Contributory Pension Scheme (CPS). At the same time, PenCare will help low-income pensioners access essential healthcare services at no cost.

President Tinubu described the initiatives as a departure from decades of unfulfilled commitments, noting that Nigerians who spent their working years contributing to national development deserve financial security and dignity in retirement.

“Please judge me by my record in this election,” the president said, challenging political opponents to explain what they did to guarantee minimum pensions and protect the welfare of retirees when they held public office.

He said the Minimum Pension Guarantee, which takes effect immediately, will be overseen by the National Pension Commission (PenCom) in accordance with the Pension Reform Act.

According to him, the minimum pension guarantee has remained unimplemented for over two decades despite provisions in the pension law.

He remarked that successive administrations failed to implement the guarantee, leaving some retirees with inadequate monthly income despite years of contributions.

“A law that is never implemented is not a law. It is a lie with a stamp on it. Today, I dare say that lie ends here,” he said.

“From this day, there is a floor beneath the Nigerian retiree. No one who contributed under the Contributory Pension Scheme will ever be allowed to fall below, not because this government is generous, but because it is your right,” he added.

Earlier, PenCom Director-General Omolola Oloworaran said the minimum pension guarantee has been set at N52,500 monthly, with 173,209 retirees expected to benefit.

She said more than N400 billion has been provided in the Pension Protection Fund to finance the initiative, describing it as a funded intervention rather than an unfunded promise.

According to her, 34 per cent of the beneficiaries are retirees from the federal public service, 12 per cent from state services and 54 per cent from the private sector.

She disclosed that the fund has received contributions from the Federal Government and the pension industry, urging private-sector employers and other stakeholders to contribute towards sustaining the scheme.

The minimum guarantee is expected to support eligible retirees whose pension payments fall below the established threshold, although the benefit is subject to the scheme’s eligibility and implementation arrangements.

Beyond income security, President Tinubu said PenCare is designed to address the healthcare burden confronting retirees, particularly those whose pensions are insufficient to meet medical expenses.

He said many pensioners struggle to afford treatment and medicines, sometimes expending their savings on hospital bills after years of service.

“A pension is more than a payslip. Ask any Nigerian what finished their father’s pension. It was not food. It was not rent. It was the hospital bill,” he said.

“One illness at 68 years can swallow 40 years of savings and leave the children to carry the burden of what remains thereafter. A pension that I cannot use to pay for medicine is not a pension; it is a receipt,” he added.

PenCare, funded by the pension industry, is intended to provide eligible low-income retirees with access to essential medical services free of charge.

Ms Oloworaran said the pension industry has set aside more than N7 billion for the initiative, which she described as a funded and sustainable healthcare intervention.

She added that the first beneficiaries will receive healthcare access cards, allowing them to obtain medical services under the programme.

The initiative initially targets vulnerable pensioners whose retirement income leaves them struggling to meet basic healthcare needs.

President Tinubu said the government has issued a N758 billion pension bond to settle long-standing accrued pension rights, while approving consequential adjustments for federal pensioners whose monthly earnings fall below the national minimum wage.

He added that the legacy pensioners under the Nigeria Social Insurance Trust Fund, who previously received as little as N18,000 monthly, now collect N206,000.

He also cited pension enhancements under the Contributory Pension Scheme, describing the interventions as significant improvements in retirement benefits.

“Nigeria was not built by oil. Nigeria was built by workers. Every road, every classroom, every hospital ward in this country was built by somebody and maintained by somebody.

“What did we do with them when their strength was spent after 30, 35 or 40 years of serving their country? We sent them to stand in the sun in order to prove that they were still alive. Some of them died in those fields.”

The president urged employers in both the public and private sectors to remit workers’ pension contributions promptly, warning that withholding such funds undermines employees’ financial security in retirement.

“Every naira you withhold is stolen from somebody’s old age. It is not your money; it never will be,” he said.

The PenCom director-general said the commission is working to expand pension coverage beyond salaried workers to include traders, artisans, farmers, transport workers and other Nigerians in the informal sector.

She added that the commission is also introducing accredited pension agents to reach workers in markets, motor parks and communities, while developing incentives to encourage wider participation.