Project Materials

RETIREMENT POLICY AND PROBLEM OF IMPLEMENTATION IN NIGERIAN PUBLIC SECTOR

ABSTRACT

The study Retirement policy and the problem of implementation in the Nigerian public sector was aimed at determining the effects of old pension schemes (pay-as-you-go-defined benefits), and they are corruption and inflation, weak institutional capacity, and non-compliance of stakeholders, which lead to non-implementation of the previous pension scheme, thereby growing rise to the contributory pension scheme (PRA 2004), as a way of strengthening the powers of the scheme operators. The survey method was used to give questionnaires to Enugu state civil service employees and retirees, and the sample size was determined using Bourley’s formula. The retirees reported that they had trouble obtaining their gratuity and pension, which prevented them from enjoying their retirement period due to the challenges faced by the defined benefits system. The successful implementation of the Pension Reform Act (PRA) of 2004 would prevent pensioners from Enugu stage government service from facing difficulty after retirement, forcing them into productive ventures. To expedite the distribution of retirees’ benefits in the form of gratuities and pensions, the federal government forms the national pension commission, which later licenses fund administrators (PFAS) and pension fund custodians (PFCS) for the scheme’s effective operations. Finally, the federal government should establish a proper legal framework to assure political economy and the necessary support for the program from successive governments, and all hands should be on deck to ensure the success and sustainability of the Pension Reform Act (PRA) 2004.