Yobe set to adopt contributory pension scheme – Buni

Yobe State is set to become the 26th state to adopt the Contributory Pension Scheme, as Governor Mai Mala Buni expressed readiness for the scheme.

This was the outcome of a recent visit by the Director-General of the National Pension Commission, Omolola Oloworaran, to the governor of Yobe State.

As of the second quarter of 2024, the number of states (including the Federal Capital Territory) with laws on the CPS remained 25, with six states at the bill stage. Six states have adopted the Contributory Defined Benefit Scheme. Two out of the six, i.e., Jigawa and Kano, are currently implementing the scheme (Kano has yet to transfer pension assets for custody), while four others, Gombe, Katsina, Zamfara, and Adamawa, have yet to commence implementation of the CDBS. However, Kano has yet to transfer the pension assets to a pension fund custodian.

In a statement on Friday, PenCom said that Governor Buni reiterated his administration’s dedication to the welfare and financial security of retirees in the state.

“He emphasised the importance of the CPS as a part of ongoing efforts to ensure a stable and sustainable pension system for state employees.

The governor highlighted that the adoption of the CPS would not only provide long-term benefits but also address issues related to pension arrears and past service liabilities. He further emphasised the need for sensitisation programmes to ensure that all stakeholders understand the scheme’s benefits and operational framework,” part of the statement read.

Also, the PenCom DG emphasised the long-term benefits of the CPS for state employees.

“Discussions centred on the importance of passing the CPS Bill, ensuring timely remittances, and addressing past service liabilities through actuarial valuation.

“A key outcome of the meeting was the Governor’s assurance of his administration’s readiness to implement the CPS by passing a robust pension law and setting up the necessary administrative structures. Governor Buni also reaffirmed his commitment to pre-retirement training programmes aimed at equipping civil servants with skills for post-retirement opportunities,” PenCom stated.

Oloworaran commended Buni for his forward-thinking approach, particularly his initiative to clear pension arrears owed to retirees. She pledged continuous technical support from PenCom to facilitate the smooth adoption of the CPS in Yobe State.