On Tuesday, the enraged labour unions in Ogun State issued a dire ultimatum, threatening to launch an industrial strike over the government’s shocking neglect in remitting over N40bn in contributory pensions, cruelly deducted from workers’ salaries over the past 15 years.
The unions, comprising the Trade Union Congress, Nigeria Labour Congress, and Joint Negotiation Council, revealed their outrage in a fiery letter to Governor Dapo Abiodun.
A copy of the letter, which reached our correspondent, bore the signatures of the impassioned leaders: TUC Chairman Comrade Akeem Lasisi, NLC counterpart Hammed Benco-Ademola, and JNC Chairman Isa Olude.
The unions condemned the state government’s blatant disregard, highlighting that despite forming a committee to tackle this burning issue in October 2022, the administration has disgracefully failed to release the committee’s findings to the public.
They passionately asserted that they were compelled to pen the letter to the governor, as less than a year remains until July 1, 2025—the designated start date for the Contributory Pension Scheme per the 2013 State Pension Reform Law, amended in 2008. Yet, there is an alarming absence of any tangible evidence to prove the government’s genuine commitment to implementing this crucial pension scheme.
The labour unions stated, “We are talking of over N40billion unremitted deductions. The government altogether owed over 160 months.
“Former Gov Gbenga Daniel owed 25 months before he left office. Ex-Gov Amosun paid just only 9 months out of his eight-year tenure while Gov. Abiodun has not paid a dime since he came to office in 2019”.
The unions claimed that the government has not transferred the 7.5% monthly pension contributions deducted from each worker’s salary to the Pension Fund Administrators for more than 15 years.
They also stated that the government has neglected to pay its matching contribution of 7.5% of each worker’s salary, totaling 15%, to the PFA.
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The workers expressed that they cannot ignore the precarious situation, as their future welfare in retirement is uncertain due to the government’s mismanagement of their pension fund over the years.
The letter partly read, “Having thoroughly and objectively assessed the entire Contributory Pension Scheme routes from its legislation, implementation vis-a-vis its current position, one cannot but hold the conclusion that we are fully set for industrial unrest in the State Civil/Public Service.
“To the best of our knowledge, the State has maintained its unencouraging showing on the scheme with a rather disturbing trend that nothing has changed.
“Up until now, the Report of the much-publicised Committee on it set up back in October 2022 has not been made public.
“Your Excellency will agree with us, that, as the 1st July 2025 draws nigh, which is the effective date for the Contributory Pension Scheme [Ogun State Pension Reform Law, 2008 (amended 2013)], so also is the justification for the apprehension on the true stand of the State Government on its genuine interest and commitment to the welfare of her workforce, post-retirement.
“Fact is that the Scheme has not fared better in the State and our worries that the humongous unremitted deductions in the last fourteen years plus, no doubts, poses obviously, as that daunting debt that even a welfarist State would have some measure of restraints in an attempt to offset it.”
It added, “Interestingly, our membership of the committee on the Contributory Pension Scheme availed us the available true statistics of the scheme.
“At best, it could well be rested or be shifted to a much later date when finances of the State could accommodate its financial demands.
“For now, Your Excellency, the entire Ogun State Civil/Public Service employees are eager to learn about their fate before 1st July 2025.
“Immediate release of the Report of the Committee on the Contributory Pension Scheme and the release of the State Government White Paper on it would assist in dousing the tension which, unfortunately, is compounded by the grinding economic pains ravaging our homes”.
Source: The Punch
