Kwara set to implement contributory pension scheme

Governor Abdulfatah Ahmed of Kwara State

The Kwara Government on Monday expressed its readiness to start implementing contributory pension scheme in the state.

Dr Femi Akorede, Senior Special Assistant on Media and Communication to Gov. Abdulfatah Ahmed, made this known in Ilorin while reacting to a protest by the NLC against implementing the scheme.

Akorede called on the union not to panic on the policy but be assured of prompt and regular payment of pension as at when due.

He said the inability of the state to pay salaries as at when due was not an indication that it might not fulfil its financial obligation under the scheme.

Akorede said there was no cause for alarm as government had already device means of contributing its own part under the scheme.

“The fear is genuine that the state finds it difficult to pay salaries, but the state government has a plan to ensure its success.

“Some money had been set aside, a measure is already put in place by the government and the deduction from the government’s coffer would be made automatically.

“Beside, this situation of paucity of fund across states in the country is temporary,” he said.

Speaking on the advantage of the scheme, Akorede explained that the new system would guarantee payment of pension for retirees as at when due.

According to him, it was a legislation of the Federal Government and deductions goes into the account of approved Pension Fund Administrators (PFA) that will invest the money.

Akorede said that workers would have a relief that at least their pension would be paid every month.

He said some developed countries had cued into it and that Nigeria could not be lagging behind because of a belief that there was no money.

The state’s Chairman of NLC, Mr Yekini Agunbiade, had told the News Agency of Nigeria (NAN) that workers in the state were afraid of the government’s sincerity to implement the scheme.