The Lagos State Government has defended its handling of pension matters revealing that it has paid N168.2 billion to more than 48,000 retirees under the Contributory Pension Scheme (CPS) since the scheme commenced in the state.

The government’s position came amid renewed agitation by pensioners over outstanding pension increases and wage awards, with retirees threatening further protests if their demands are not addressed.

In a statement on Tuesday by the Lagos Commissioner for Information and Strategy, Gbenga Omotoso, the state said its pension interventions had covered both retirees under the CPS and those under the older Defined Benefits Scheme (DBS).

The government said the Lagos State Pension Commission (LASPEC) had also disbursed N92 billion in accrued rights to more than 25,000 retirees between May 2019 and 2026.

Accrued rights represent the gratuity and pension benefits owed to workers who retired under the transition to the CPS.

According to the government, the figures reflected its efforts to settle retirement obligations while improving the welfare of former public servants.

It said one of the major interventions came in July 2024, when N5 billion was released to 1,963 retirees in a single payment, which it said cleared the outstanding backlog of pension obligations under the CPS at the time.

The government also said it increased pension contributions in 2020, with employers contributing 10 per cent and employees eight per cent, describing the measure as an effort to increase the funds available to workers at retirement and strengthen the pension scheme.

Beyond regular pension payments, the state said it had introduced an expedited gratuity payment arrangement for sick pensioners, allowing them to receive their gratuity promptly while their pension component continues to be paid into their Retirement Savings Accounts.

It added that welfare programmes were being organised twice yearly for retirees to provide assistance amid rising living costs.

For retirees under the DBS, the government said more than 10,000 pensioners received the N25,000 wage award given to serving state workers between December 2023 and February 2024.

This was followed by pension increases of 20 per cent and 28 per cent in March 2025, while in May 2026, the state approved a N32,000 wage increase for its DBS retirees, following a similar intervention by the Federal Government for its pensioners.

The government said the latest intervention had increased the pension wage bill for the affected retirees by more than 100 per cent.

It further disclosed that LASPEC had paid more than N4 billion to 1,862 retirees so far in 2026, with another N1 billion expected to be paid to about 700 retirees within the following week.

The government’s explanation comes against the backdrop of renewed protests by pensioners under the CPS over what they describe as delays in implementing pension enhancement and wage awards.

The pensioners, under the Nigeria Union of Pensioners, Contributory Pension Scheme (NUPCPS), have given the state government an August 31 deadline to address their demands or face a larger protest in Alausa.

The dispute is therefore centred not simply on whether Lagos pays pensions, but on the implementation of specific pension increases and wage awards being demanded by the CPS retirees.

The government, however, maintained that its record showed sustained commitment to pension obligations, citing the N168.2 billion paid since 2007, the N92 billion accrued-rights payments since 2019, the clearance of the CPS backlog and continued disbursements to retirees in 2026.

It said the various interventions demonstrated the commitment of the Governor Babajide Sanwo-Olu-led administration to the welfare and dignity of retired public servants in Lagos.

The latest development leaves the two sides with different positions: while the government is highlighting its cumulative payments and pension reforms, the protesting retirees are demanding that the specific outstanding increases and awards they are seeking be implemented.

The August 31 deadline issued by the pensioners is now expected to determine the next phase of the dispute.