PenCom: 2,799 workers switched PFAs within seven weeks

The National Pension Commission (PenCom) says 2,799 retirement savings account (RSA) holders changed their pension fund administrator in the fourth quarter of 2020.

This is contained in the fourth-quarter report released by the commission.

PenCom launched the RSA transfer window on November 16, 2020, to allow RSA account holders to change their pension fund administrator.

“Following the launch of the RSA Transfer System, a total of 2,799 RSA holders initiated the transfer of their RSAs from their existing pension PFAs to other PFAs during the fourth RSA Transfer Quarter of 2020 (i.e. the maiden RSA Transfer Quarter), ” the report read.

“The total value of the RSA balances transferred stood at N18,898,848,438.79. All the 22 PFAs were involved in the transfer, as transferring and/or receiving PFAs.”

Section 13 of the 2014 Pension Reform Act allows RSA holders to transfer their accounts from one PFA to another once a year.

The transfers are effected on a quarterly basis.

The commission also said it approved 5,396 requests from individuals seeking to access 25 percent of their RSA balances due to temporary loss of employment between January and February 2021.

The individuals received N2.68 billion in line with section 7(2) of the Pension Reform Act 2014 which allows an employee who voluntarily retires, resigns or is disengaged from paid employment to access 25 percent of his/her RSA if he/she is unable to get another job after four months.