6. The Act reviewed upwards, the minimum rate of pension contribution.
It has increased from 15 per cent to 18 per cent of monthly emolument, where 8 per cent is retained as contribution by the employee and a minimum of 10 per cent by the employer. “This will provide additional benefits to workers’ Retirement Savings Accounts and thereby enhance their monthly pension benefits at retirement”. It further mandates the Pension Transition Arrangement Directorate (PTAD) to ensure greater efficiency and accountability in the administration of the Defined Benefits Scheme in the federal public service such that payment of pensions would be made directly into pensioners’ bank accounts in line with the current policy of the Federal Government.
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