BENIN CITY — The Edo State Government has assured pensioners recently migrated from the Contributory Pension Scheme (CPS) to the Defined Benefit Scheme (DBS) of the refund of their eight per cent personal pension contributions.
The Permanent Secretary of the Edo State Pension Bureau, Mr. Washington Abbe, gave the assurance during an interview with journalists in Benin City, where he addressed concerns surrounding the transition and the protection of affected workers’ interests.
Abbe said the State Government was committed to ensuring that no pensioner was disadvantaged by the migration process, assuring that the contributions made by affected workers under the CPS would be refunded in line with the Government’s decision to transfer them to the DBS.
He also clarified the status of the 10 per cent matching contributions made by the State Government under the CPS arrangement.
According to him, the Government’s matching contributions would be refunded to the State and subsequently reallocated towards the settlement of outstanding pension liabilities.
Why Remittances Stopped
Explaining why the State Government’s remittance of workers’ CPS contributions stopped in January 2025, the Permanent Secretary attributed the delay to a new payment process introduced by the National Pension Commission (PenCom) for state governments and Pension Fund Administrators (PFAs).
He explained that under the new arrangement, PenCom appointed an intermediary to facilitate the remittance of pension contributions and protect employees’ funds from loss or misallocation arising from missing Personal Identification Numbers (PINs) or discrepancies caused by PIN mismatches.
Abbe said state governments were required to reconcile the PINs of all employees before pension contributions could be processed and transferred through the designated intermediary.
He, however, assured that the funds were ready for remittance, noting that the Edo State Government was awaiting confirmation from PenCom on the safety and security of the funds before proceeding with the payment through the intermediary.
The Permanent Secretary reiterated the State Government’s commitment to ensuring that the pension transition process was conducted transparently, efficiently and in a manner that protects the interests of affected workers and pensioners across Edo State.
Government’s decision to transfer them to the DBS.
He also clarified the status of the 10 per cent matching contributions made by the State Government under the CPS arrangement.
According to him, the Government’s matching contributions would be refunded to the State and subsequently reallocated towards the settlement of outstanding pension liabilities.
Why Remittances Stopped
Explaining why the State Government’s remittance of workers’ CPS contributions stopped in January 2025, the Permanent Secretary attributed the delay to a new payment process introduced by the National Pension Commission (PenCom) for state governments and Pension Fund Administrators (PFAs).
He explained that under the new arrangement, PenCom appointed an intermediary to facilitate the remittance of pension contributions and protect employees’ funds from loss or misallocation arising from missing Personal Identification Numbers (PINs) or discrepancies caused by PIN mismatches.
Abbe said state governments were required to reconcile the PINs of all employees before pension contributions could be processed and transferred through the designated intermediary.
He, however, assured that the funds were ready for remittance, noting that the Edo State Government was awaiting confirmation from PenCom on the safety and security of the funds before proceeding with the payment through the intermediary.
The Permanent Secretary reiterated the State Government’s commitment to ensuring that the pension transition process was conducted transparently, efficiently and in a manner that protects the interests of affected workers and pensioners across Edo State.