The National Pension Commission (PenCom) has stepped up its regulatory oversight measures to ensure adequate service delivery as the economy struggles.
The market-propelled policies of the new government has triggered severe economic challenges that have seen businesses shut down or downsized in order to remain afloat amid rising inflation.
At its 2023 journalists conference in Lagos on August 3, the director-general of the apex regulatory body, Aisha Dahiru Umar, explained measures taken by the Commission that have boosted public confidence to the benefit of the economy, stakeholders and pensioners.
This has resulted in a phenomenal growth in the assets of PenCom which stood at N16.76 trillion at the end of June 2023 following the additional N1.77 trillion realised in the first half of 2023, from N14.99 trillion in December 2022.
Membership also increased by 146,920 new contributors, from 9.86 million members as of the end of 2022 to over 10 million members as of June 2023.
According to the DG, the contributory pension scheme (CPS) has ensured that public and private sector workers can build retirement savings throughout their working lives and fostering financial security during their golden years.
She noted that the theme of this year’s workshop, ‘Transforming Service Delivery in the Pension Industry: Strategies for Improving Efficiency and Customer Satisfaction,’ is both timely and crucial.
“It reflects PenCom’s commitment to continuous service improvement in the Pension Industry so that contributors and retirees receive the best possible experience,” she added.
Sticking to its mandate, the Commission has enhanced its tools for approving, licensing, regulating and supervising pension fund administrators and custodians. It also reinforced its means of establishing standards, rules and guidelines for the management of the pension funds under the Act.
“We also ensure effective on-site and off-site supervision, ensuring high level of compliance and corporate governance culture as well as carrying out public awareness and education on the establishment and management of the Scheme.
“Regulatory oversight is pivotal in maintaining transparency, fairness, and efficiency, which are the cornerstones of our pension system,” the Commission said during the one-day workshop.
In the presentation ‘Strengthening Regulatory Oversight for Improved Service Delivery in the Pension Industry’, PenCom created the Consumer Protection Department (CPD) to ensure protection of rights and effective service delivery to consumers (Retirement Savings Accounts (RSA) holders and Retirees).
The Commission said it has evolved measures to address the major challenges such as service culture which is still evolving, non-functional Call Centres, inadequate spread of PFAs branches/service centres and infrastructure.
Others are incomplete customer information/records, high staff attrition rate
inadequate sensitization/public enlightenment programs, external exigencies/dependencies of the pension industry e.g employers, financial ecosystem and other service providers/vendors.
“This creation of CPD was anchored on the fact that the Commission’s new strategic plan prioritizes the quality of services rendered to consumers in the Pension Industry.
“By adopting a customer-centric approach, the focus is on understanding the needs and preferences of Contributors and Retirees.
This ensures that the pension services are tailored to meet their expectations effectively,” said Ikenna Chidi-Ebere, Head, Consumer Protection Department, in his presentation.
The participants learnt that the Commission has provided effective platforms to enable consumers to lodge their complaints for swift response through dedicated multiple telephone lines, e-mail, social media handles and walk-ins.
According to the Commission, the complaints generally border on issues of service delivery/consumer dissatisfaction that affects consumers including inquiries on the requirements of Pension Clearance Certificates, inquiries on the requirements for obtaining Employer Codes, and non-remittance of monthly Pension Contributions by employers (Private Sector).
Others are non-payment/delays in the receipt of Accrued Pension Rights for retirees of Treasury Funded Ministries Department and Agencies (MDAs), requests for resolution of multiple PIN registration delays in approval of transfers to Retiree Life Annuity (RLA), as well as delay in approval of Programmed Withdrawal, Temporary Access 25%, Residential Mortgage, Voluntary Contributions, NSITF and Pre-Act.
Requests for resolution of multiple PIN registration and delays in data-recapture; and RSA transfer related complaints are among the areas of concern that the Commission deals with under consumer complaints.
“Regulatory oversight is pivotal in maintaining transparency, fairness, and efficiency, which are the cornerstones of our pension system”, Umar said.
