PenCom issues revised regulation for retirement benefits

The National Pension Commission on Monday issued a revised regulation on retirement and terminal benefits for immediate implementation.

The regulation simplifies some difficulties and guides the process of accessing retirement and terminal benefits by pension contributors and retirees under the Contributory Pension Scheme.

This is the first comprehensive review of the regulation since its initial issuance in 2007.

The commission said the review has input from “key stakeholders” in order to ensure a more efficient retirement benefits administration.

According to a release by the commission Monday, the revised regulation contains several new provisions on pension enhancement, voluntary contributions, temporary access to RSA due to loss of job, payment under the Micro Pension Plan, administrative sanctions for violations by Pension Fund Administrators (PFAs), amongst others. It also introduces salient amendments to several existing provisions while providing more clarity on others.

The key highlights of the revised regulation include the simplification of the documentation process, non-confirmation of employment status by employers, access to lump sum, RSA consolidation before payment of benefit.