Ogun Approves Additional Pension Benefit for Retirees

By 𝔸bdulrazak Tomiwa

The Ogun State Government has approved an Additional Pension Benefit (APB) to boost financial security for retirees under the Contributory Pension Scheme.

Commissioner Dapo Okubadejo stated that this initiative aims to close existing gaps and provide significant relief to former workers.

This first-of-its-kind innovation in Nigeria makes the pension scheme more attractive by offering favorable payouts based on years of service. It is specifically designed to alleviate common fears regarding financial stability after retirement.

The APB serves as compensation for retirees whose contributions were delayed by previous administrations. This one-off payment helps cushion the loss of investment returns that resulted from those past remittance failures.

Effective from July 2025, the new benefit program will run for 10 years. This timeline ensures a stable transition and provides equitable financial support for those who served the state.

The government is also working with the National Pension Commission to safeguard regular monthly stipends. While the APB provides a lump sum, this collaboration ensures long-term monthly income remains protected for all retirees.

Labour unions have hailed the reform as a bold, worker-friendly move that addresses long-standing concerns over pension adequacy. Leaders from the NLC and TUC pledged full support for the administration’s commitment to retiree dignity.