The National Pension Commission has directed the Pension Fund Administrators to implement pension enhancement for retirees on programmed withdrawal under the Contributory Pension Scheme.
PenCom maintained that the pension enhancement is for Contributory Pension Scheme retirees who retired between July 2007 and December 2017 and have accumulated significant growth in their Retirement Savings Accounts
A statement from the organization revealed that this formed the second edition of the pension enhancement for retirees on the programmed withdrawal mode of retirement.
“Accordingly, the retirees referred to above are by this notice advised to contact their respective Pension Fund Administrators to confirm their eligibility and complete requisite documentation.”
This measure which is the second edition of the pension enhancement exercise for retirees on Programmed Withdrawal mode of retirement is a follow-up to the first pension enhancement plan for the programmed withdrawal retirees implemented in January 2017,
PenCom stated that it had concluded the exercise and increased the monthly pension of all retirees on the programmed withdrawal due to the income earned on investing their pension assets.
Latest figures from PenCom revealed that the number of retirees receiving their pensions under the programmed withdrawal contracts increased by 3.81 per cent from 214,538 as of the end of the first quarter of 2019 to 222,712 in the second quarter.
Some retirees will however not benefit from the increase as a result of low balances in their RSA