Di National Pension Commission, wey dem dey call PenCom, don call on state governors to show stronger political will for di implementation of di Contributory Pension Scheme, wey dem know as CPS.
PenCom warn say if di governors delay pension reforms, e go expose millions of public sector workers to financial hardship for retirement and also saddle states with mounting pension liabilities.
Omolola Oloworaran, wey be di director-general of PenCom, yarn dis tori for di first 2026 Consultative Forum for States, di Federal Capital Territory and Licensed Pension Fund Operators wey hold for Lagos.
She tok say only eight states don fully implement di CPS, despite di proven benefits for securing workers retirement savings and improving fiscal sustainability.
“Governors need to demonstrate stronger political will by prioritising di welfare of dia workers, not only during dia years of service, but also after retirement,” Oloworaran tok.
“Dem must look beyond immediate needs and ensure say workers get financial security when dem retire.”
She caution states against keeping workers pension contributions inside government-controlled accounts, wey she describe as a major threat to di integrity of di pension system.
“You no fit deduct pension contributions from employees and pay dem into a state account. Dat should never happen because another governor fit assume office without understanding di purpose of di funds, and di money fit be diverted to other uses,” she explain.
“Dat go ultimately increase pension liabilities and undermine di integrity of di pension system.”
According to Oloworaran, while state governments get di constitutional authority to enact dia own pension laws, implementation must align with di principles of di CPS, especially di protection of contributors retirement savings through licensed Pension Fund Administrators.
She stress say pension reform no longer be a policy choice but a leadership responsibility, noting say countries and sub-national governments wey delay reforms now dey grapple with unsustainable pension obligations and growing fiscal pressures.
“Di question before every state no longer be whether pension reform necessary. Di real question na whether we get di courage and foresight to build a pension system wey go protect workers 20, 30 or even 50 years from now,” she yarn.
“Dat na test of leadership.”
To strengthen implementation, Oloworaran say PenCom don introduce di Pension Contribution Remittance System to improve transparency and efficiency for pension remittances, as well as di Three-Dimensional Pension Model to help states clear legacy pension liabilities while transitioning sustainably to di CPS.
She maintain say regulatory frameworks alone no go guarantee success.
“No framework, regulation or model, no matter how well designed, fit substitute for political will. Real reform begin where legislation end, with implementation,” she tok, urging states wey never fully adopt di CPS to accelerate action.
Also speaking, Babalola Obilana, wey be director-general of di Lagos State Pension Commission, wey represent di Lagos State Head of Service, Bode Agoro, say sustained collaboration among regulators, state governments and pension operators dey critical to strengthen pension administration across di country.
“As one of di leading states for pension administration, Lagos believe say di continued success and sustainability of di Contributory Pension Scheme depend on strong collaboration among all stakeholders,” Obilana tok.
He note say consultative forums provide opportunity for policymakers and industry operators to exchange ideas, address emerging challenges and develop practical solutions wey go improve pension administration nationwide.
Obilana add say as di pension landscape dey evolve, governments must embrace technology, adopt global best practices and strengthen institutional partnerships to build a pension system wey transparent, efficient and responsive to di needs of workers.
He reaffirm Lagos State commitment to support initiatives wey promote good governance, regulatory compliance, service excellence and di long-term sustainability of pension administration.
