At least 131,376 workers, who retired from active service, cannot be placed on monthly pensions, according to the National Pension Commission.

Figures obtained from PenCom show that the affected workers have received all the contributions in their Retirement Savings Accounts totalling N32.58bn and quit the Contributory Pension Scheme.

PenCom said the affected retirees had below N550,000 as the balance in their RSAs. As such, the pension regulator said the retired workers were not qualified to be enrolled in either of the two retirement options-annuity and programmed withdrawal.

The latest figure of 131,376 retirees indicates a 14.4 per cent increase from the 114,837 retired workers that withdrew N28.46bn as of the end of June 2020.

Between June 2020 and December 2021, PenCom said the affected retirees rose by 16,539 who withdrew N4.12bn.

The pension regulator also said some foreign nationals returning to their countries withdrew their savings before leaving.

According to the Pension Reform Act 2014, any worker with less than N550, 000 is expected to be given the total balance in the RSA by the PFA and subsequently allowed to quit the pension scheme.

Credit: Punch

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