The Kogi State Pension Commission (PENCOM) is finalizing arrangements to shift from the current Defined Benefits Scheme to the Contributory Pension Scheme (CPS), with full implementation expected to commence next year.
Director General of PENCOM, Hajia Mariam Abedo, revealed this during an official engagement in Lokoja with Ismail Isah, the Special Adviser on Media to the Kogi State Governor.
She noted that preparatory work is already underway, including data collation and registration of workers with Pension Fund Administrators (PFAs), marking the initial phase of the transition process.
Under the CPS, employees will contribute 8% of their salaries while the state government will provide a 10% counterpart contribution. Abedo said this model is designed to facilitate timely and efficient access to retirement benefits.
She said the change is necessary to address the delays and complications retirees have faced under the existing pension arrangement.
Since assuming office in August 2020, Abedo said the Commission has significantly reduced the backlog of unpaid gratuities dating back to 2002, while also ensuring the regular payment of monthly pensions.
“We are determined to build a pension system that is transparent, responsive, and fully digitized. With the Contributory Pension Scheme, the future of our workers is secure,” she said.
She also highlighted the success of the ‘I Am Alive’ biometric verification initiative, which enables pensioners to validate their status at any commercial bank close to them, eliminating the need to travel to Lokoja.
Describing it as “the easiest and most effective exercise ever introduced” in the state’s pension system, Abedo noted that the initiative has made life easier for retirees.
The PENCOM DG applauded Governor Ahmed Usman Ododo for his ongoing commitment to pensioners’ welfare.
She mentioned that, in addition to ensuring the regular disbursement of monthly gratuity payments, the Governor has approved the development of a new office complex for the Commission — to be known as Pencom House — aimed at improving working conditions and institutional capacity.
“His Excellency is passionate about pensioners and their wellbeing. Even before he became Governor, he played a key role in addressing challenges in the pension sector, and his support continues to drive the reforms we are implementing,” she said.
