Pension News

Organized labour in Ogun, Reject State Pension Law 2020

Organized labour in Ogun State has given a week ultimatum to the State Government, to suspend the Ogun State Pension Reform Law 2020, or face industrial action in the state, because they alleged that the law was hurriedly and unilaterally done by the State House of Assembly without inputs from relevant stakeholders.

The Chairman, Ogun State Joint Negotiating Council (JNC) Comr. Folorunsho Olanrewaju, who disclosed this at a press briefing held at the Secretariat of Nigerian Union of Journalists (NUJ), Ogun State Council, Oke Ilewo, Abeokuta, stated that the Pension Reform Law made in 2006 and amended in 2013 was a product of collective bargaining, unlike the State Pension Reform Law 2020.

Olanrewaju disclosed that this did not only contravene International Labour Convention but was also immoral, unconstitutional, and smack off mischief on the part of the State House of Assembly for doing things that could be considered to be unfortunate for our growing democracy.

He explained that the new Pension Reform Law stated that all employees of the state and local governments irrespective of grades are now regarded as subscribers of the contributory pension scheme effective from 30th of June, 2014 whereas the amended Pension Reform Law of 2013 of the state had picked 2025 as the effective date for the implementation of the contributory pension scheme.

Olanrewaju revealed that “what this means is that the state and local government have no further liability with their employees once disengaged from the service. Those already in retirement from the said date are to be lumped into the new arrangement and should jettison the hitherto held hope of benefiting gratuities”.

He stated that unfortunately, in the last nine years the state government had not demonstrated a clear conscience to this contributory pension scheme and had consistently defaulted in remitting over N49bn deducted contributory pension from the state workers to the appropriate Pension Fund Administrators (PFAs).

Olanrewaju said, “it was disheartening to witness the deliberate maltreatment of the senior citizens of the state who had served the state with black hair and now be left to wallow in anguish saying that this no doubt could encourage those still serving the state to resort to self-help and indulge in corrupt practices”.

While saying that the state workers had also lost faith in the Government-Labour Consultative forum set up by the governor, the workers also demanded the immediate reversal of this controversial law within the next seven days to avert a total strike by the workers.

error: Content is protected.