ABUJA, APRIL 12, 2018 – The employers of labor that have been deducting employees’ pension, but failed to remit same to their respective employees Retirement Savings Accounts (RSA) have been forced to pay penalties amounting to over N6 billion, the National Pension Commission (PenCom) has said.
PenCom, in addition, added that as at the end of the fourth quarter 2017, the sum of N2.29 billion was recovered by the agents, adding that the recovery brought the total recoveries made by agents since inception of the exercise in 2012 to N13.69 billion, representing principal contribution of N6.95 billion and penalties of N6.75 billion, which had been credited to the respective RSAs of the employees as at fourth quarter of 2017.
The Commission also hinted that it has filed cases against 61 employers that failed to remit their outstanding pension contributions and penalties, even as it had recovered N13.69 billion from defaulting employers in five years.
PenCom noted that the cases were filed in 2017, adding that it has continued to record success with respect to matters at the tribunal, as most of the employers have requested to settle out of court, while others have remitted their outstanding pension contributions with penalties to the respective Retirement Saving Accounts (RSAs) of their employees.
The pension regulator posited that in the fourth quarter of 2017, it re-engaged 14 agents to recover outstanding pension contributions and penalties for late remittance, adding that the agents were required to review the pension records of the employers and recover outstanding pension contributions with penalties, stressing that following the re-engagement, 262 employers were assigned to the agents.
