PenCom, short for National Pension Commission, is the National body that regulates and ensures the proper administration of pension issues in Nigeria. Basically, the federal government regulated body ensures prompt payment of pension benefits to pensioners and boasts of over 700,000 members who trust them to be secure.
Prior to the establishment of PenCom, many pension schemes were poorly managed by fund managers and the board of trustees. Therefore, this made the federal government initiate a pension reform order to resolve the issue pertaining to pension schemes in Nigeria.
An Overview of PenCom
The National Pension Commission (PenCom) is a National body established in 2004 by the Pension Reform Act under the administration of President Olusegun Obasanjo. Also, they established the body to control, support, and guarantee the effective administration of Pension related issues in Nigeria.
In addition, PenCom ensures the smooth sailing of the Pension Fund Administrators (PFA) and resolves the challenges facing the successful administration of retirement funds in Nigeria.
In 2014, the Pension Reform Act resolved the issues pertaining to the pension dispensing of professors and political officeholders.
Why is PenCom important?
PenCom is important because it ensures the effective regulation and smooth sailing of the Nigerian Pension industry. Also, they make sure retirement benefits are paid on time.
What are the functions of the National Pension Commission (PenCom)?
Basically, PenCom organizes everything pertaining to pension administration in Nigeria. Here’s a breakdown of its functions:
- PenCom controls and supervises the Pension Reform Act in Nigeria.
- The body issues guidelines for investing pension funds.
- Also, they approve, license, and regulate custodians, pension fund administrators, and other institutions relating to pension matters.
- PenCom ensures the maintenance and smooth sailing of a National Data Bank pertaining to all pension issues.
- The National body establishes standards and guidelines for the management and regulation of the Pension funds under the Act.
- They receive and investigate complaints concerning impropriety levelled against any custodian or Pension fund administrator.
- In addition, they promote the capacity building of all custodians and Pension fund administrators.
- PenCom creates public awareness and enlightening on how the government established and manages it.
Lastly, PenCom also performs other duties which are important for the discharge of its functions under the Pension Reform Act In Nigeria. You can read more about the compulsory insurance scheme here.
What are the core values guiding PenCom?
There are five major core values guiding PenCom. They include:
- Transparency: PenCom is reputable for its clearness, openness, and accountability in all its dealings.
- Responsiveness: The body’s receptiveness, sensitivity, and promptness ensure the effective management of Pension Fund Administrators in Nigeria.
- Proactivity: PenCom carries out practical examples of every order it gives.
- Integrity: Integrity is the quality of being honest and upright in everything. PenCom incorporates honesty and uprightness in all its affairs.
- Professionalism: The federal body consist of a team of highly competent experts who apply their professionalism towards solving problems relating to Pension administration.
Basically, these qualities make PenCom an exceptional organization that ensures that retirement funds are received promptly by every pensioner in Nigeria.
How can I contact PenCom?
You can contact PenCom through any of the following means:
Head office: 174 Ademola Adetokunbo Wuse 2, Abuja, Nigeria. However, they have several branches all over Nigeria.
Email: info@pencom.gov.ng
Official phone number: +234-9802-2032.
Bottom line
Without a doubt, PenCom has created a pathway for Pension fund administrators to perform their duties seamlessly. This information will definitely put your mind at ease if you are unsure of the security of retirement funds in Nigeria.
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