Dapo Abiodun, the governor of Ogun State, has stated that his administration will start implementing the state employees’ contribution plan in full from July 2025.
When he met with members of the Organised Labour to discuss the issues that plagued the implementation of the Contributory Pension Scheme and other pressing issues that led to the state’s ongoing strike, the state’s workers began to engage in this action.
Abiodun stated that his administration would provide immediate payment to workers who retire from July 2, 2025, at a meeting with the organization’s leadership at the governor’s office in Oke-Mosan, Abeokuta.
He had already stated that the first phase of the 10-year payment plan would begin in 2025 and end in 2030, while the second phase, which would begin in 2035, would begin in 2025.
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He claimed that the arrangement would allow his successors to receive payment for the remaining two years of their terms, and for the remaining eight.
The key is that we have chosen to pay retirees who have already retired from July 2, 2025, to July 2030, outstanding contributions. He promised to pay that amount right away.
“We will make the second payment for those who will be retiring from July 2, 2030 to July 1, 2035, the second payment being made next year.”
We will be making immediate payments for those who will be retiring after my successor’s ten years in 2027.
The gratuity scheme will stop effective on July 2, 2025, so there won’t be one. The Contributory Pension Scheme will replace all Consolidated Salaries.
There has been a lot of work put in this. In the past, we have discovered that those in charge of our pensions were incompetent, and that this has caused things to move more slowly than they should have.
Any retiree will receive their benefits, and we will give PENCOM the resources to make sure that they fulfill their obligations and that it will be done right away.
He declared, “We will pass the appropriate laws to support this decision.”
After the appropriate Pension Fund Administrators have been chosen, the governor made it clear that his administration would ensure the immediate appointment and registration of all employees under the Contributory Pension Scheme (CPS).
Abiodun noted that his government had already provided inherited leave allowances up until 2013 while N8 billion had not yet been received and would instead be paid in tranches for the amounts from 2014 to 2022.
He made it clear that between 2019 and 2019, there have been pension payments of N37 billion and N16 billion for local government and state employees.
Instead of starting an industrial dispute, the governor demanded that labor unions find peaceful ways to talk with the government about issues that affect workers’ welfare.
Abiodun praised them for the support their administration has shown since 2019, which has resulted in the state’s socio-economic development.
According to Hameed Benco, the state chairman of the Nigeria Labour Congress (NLC), the union has decided to start the strike in response to rumors, speculations, and concerns about the implementation of the Contributory Pension Scheme, which had caused the workers to be concerned.
Akeem Lasisi, the state’s trade union leader, claimed that the governor should be drawn to the strike because it was necessary to bolster the state’s economy in light of the passage of the 2006 Pension Reform, which became effective on July 1, 2025.
Source: Channels TV
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