NECA Applauds Federal Government for Inaugurating PenCom Governing Board
The Nigeria Employers' Consultative Association (NECA) has expressed commendation for the Federal Government following the inauguration of the Governing Board of the National Pension Commission (PenCom). This development is hailed as a critical step toward reinforcing governance, transparency, and accountability within Nigeria's pension industry.
Addressing Governance Gaps and Boosting Confidence
In a statement issued from Geneva, Switzerland, NECA's Director-General, Mr. Adewale-Smatt Oyerinde, highlighted that the inauguration comes after a prolonged delay, which had sparked concerns among employers and stakeholders regarding the oversight of pension assets and the overall integrity of the Contributory Pension Scheme (CPS).
Oyerinde stated, "The constitution of the PenCom Board is both timely and commendable. It addresses a significant governance gap and reinforces confidence in the management of pension funds, now valued at over N28 trillion, which represent the retirement security of millions of Nigerian workers."
Recognition of Government Action and Governance Standards
NECA specifically praised President Bola Tinubu's administration for taking decisive action to restore the statutory governance structure of PenCom in accordance with the Pension Reform Act 2014. The association also aligned with the Secretary to the Government of the Federation, George Akume, who urged the board to uphold the highest standards of corporate governance, ensure strict oversight, and avoid interference in daily management operations.
Emphasizing the importance of a clear separation between governance and management, Oyerinde noted, "Strong oversight, without operational interference, is fundamental to sustaining accountability and safeguarding contributors' funds."
Priorities for the New Board and Future Outlook
While welcoming this progress, the NECA leader urged the newly inaugurated Board to prioritize transparency, robust risk management, and strict adherence to global best practices. He stressed that maintaining employer and public confidence in the pension system is essential for the continued success and sustainability of the CPS.
Oyerinde added, "The business community remains committed to fulfilling its statutory obligations under the CPS. However, this commitment must be matched with strong governance frameworks that guarantee the safety, security, and efficient management of pension contributions."
NECA expressed optimism that the collaboration between the Board, led by Chairman Dr. Opeyemi Agbaje, and the Management of PenCom under Director-General Ms. Omolola Oloworaran, will usher in a new era of strengthened institutional performance and improved service delivery to contributors and retirees.
The Association reaffirmed its readiness to continue engaging with relevant stakeholders to promote policies and initiatives that enhance the efficiency, transparency, and sustainability of Nigeria's pension system.
