Pension registration falls by 10% in Q1 —  PenCom

Workers’ interest in the Contri butory Pension Scheme, CPS, waned in the first quarter of 2023, Q1’23, as the number of new enrolment in the Retirement Savings Accounts, RSAs, dropped by 10.2 per cent year-on-year, YoY, to 83,654 from 93,114 registered in the corresponding period of 2022, Q1’22.

Meanwhile, the National Pension Commission, PenCom, has stated that it is still maintaining the services of Recovery Agents (RAs) for the recovery of unremitted pension contributions and penalties levied against defaulting employers.

In its Q1’23 report, the Commission said further, “Demand notices were issued to defaulting employers whose pension liabilities were established by the Recovery Agents.

“During the quarter, the sum of N384,280,651.48 comprising principal contributions (N193,058,483.56) and penalties (N191,222,167.92) was recovered from 34 defaulting employers.

“Four defaulting employers were forwarded to the Commission Secretariat/Legal Advisory Services Department for prosecution. From the commencement of the recovery exercise in June 2012 to 31 March 2023, a total sum of N24,533,339,305.09 comprising of principal contributions (N12,440,682,240.91) and penalties (N12,092,657,064.18) was recovered from defaulting employers.”

A breakdown of the performance of the Pension Fund Administrators, PFAs, in RSA registrations in Q1’23 show that Stanbic IBTC continued to maintain the largest market share of 28 per cent with 23,586 new registrations.

This was followed by Access Pensions Limited which had 11 per cent market share with 9,546 new registrations, while ARM Pension Managers Limited was third with 9.2 per cent market share recording 9,546 new registrations.

Leadway Pensions recorded 8.8 per cent market share with 6,430 new registrations, while Premium Pension Limited followed with seven per cent market share of 6,044.

On the bottom of the performance table are NPF Pensions Managers with only 131 new RSAs which represent 0.001 per cent of total registrations.

Nigerian University Pension Management Company was next with 179 new RSAs which represent 0.1 per cent of total registrations.

Guaranty Trust Pensions Managers Limited followed with 879 new RSAs which represent 1.1 per cent of total registrations.