21st July memorandum of action between the state government and ogun state public service employees on implementation of contributory pension scheme: matters arising

We recalled that the July 2025 industrial action embarked upon by the State and Local Governments civil/public service employees centred mainly on the State Government insistence on the full implementation of the Contributory Pension Scheme, [CPS] as provided in the amended Ogun State Pension Reform Law [OGSPRL] 2013.

Notwithstanding this contentious position of the State Government on the issue, the State Organised Labour acquiesced and had the nearly one whole week, [Monday 14th- Friday 18th July, 2025] industrial strike suspended whilst the process culminated in the signed Monday, 21st July Memorandum of Action, [MoA].

This document of mutual agreement clearly states, amongst other conditions, stages, timelines, and establishment procedures outlined specifically to correct and reboot those identified grey areas that have plagued the implementation of the OGSPRL since 2006.

Indeed, the State Government followed up on item (i) in the MoA with the constitution of the Pension Fund Management Committee [PFMC], which is in line with s.19(2) of PRL 2006. Of note also was the deployment of Pension Fund Managers’ data collection team whose mandate was to rejig their databases so as to ensure cleaner and clearer demographic data of all employees.

Ideally, the enablement of this scientific information template will foster neater, traceable records of individual employees with periodic interactions and information flow from their preferred Pension Fund Administrators, [PFAs] However, in spite of the allocated weeks for the data (re-)capturing, it was confirmed that nearly 45% of targeted employee registrants are currently grappling with issues bothering on: (i) Duplications of data; (ii) Inaccurate data capturing; (iii) Multiple/Double Personal Identification Number, (PIN) assigned to more than one personnel; (iv) Lack of, or No PIN at all; (v) Misplacement of, or total loss of Name/Identity, etc..

ASSESSMENT OF MOA IMPLEMENTATION

Arguably, one is tempted to rationalise that issues as listed above occur in human-managed exercise similar to the one under review. However, the jumbled database evidently raises fundamental questions on the drawn-up schedules (if any) that accompanied the recently released pension deductions vis a vis individuals savings account. It is confounding and disturbing enough for one to be lost in the wilderness of administrative deficiency of this sort. Frustrations generated from this quagmire have made the bewildered employees continue to beseige offices of the PFAs that are, in themselves, largely inoperative! Where thence goes the released fund(?)

Our conviction of the pledged readiness of the State Government on the full implementation of the OGSPRL is also shaken, especially in the adherence to the dictates of the law that, “remittance of pension deduction to PFAs must be remitted not later than a maximum of seven (7) days after payment of monthly salary.” The recent payments fell short of this proviso.

2. Granted that there had been a consensus on the engagement of an Actuarist firm, ….., the default of item (v) on particularly, the estimated timeline of delivery on the actuarial valuation points to the wobbly take off of the program that, undoubtedly, foreclosed detailed preparations.

For us, exercises as actuarial valuation demands adequate time that involves huge resources and logistics. Moreover, in this instance of the State/Local Governments Civil/Public Servants whose large population alongside their varied records of services covering nearly eighteen (18) years cannot be treated in a whiff of short time of eight (8) weeks as contained in the MoA. Neither then had the succeeding step of “immediate” remittance of “outstanding deductions including RoI for the first five years: 2nd July, 2025 to 1st July, 2030,” can be effected accordingly

Your Excellency, from the last fact, it is quite clear that the line-up sequence of actions has failed to align with the frenziness of expectations of the State workforce. It was the promise of “immediacy” of the owed arrears that actually aided the State Organised Labour to had successfully persuaded the workers to return to their duties back in July. Incidentally, nearly ten weeks have gone by since the date of the mutually agreed MoA, (Monday, 21st July to Wednesday, 7th October, 2025) with no clear routes to the promised El dorado.

Expectedly, it begs the question on the sequence of actions implemented so far in “putting in place appropriate legislative framework ” on the pronouncements of the State Government that:

1. public servants that are, by the OGSPRL 2013 amendment, excluded in the Contributory Pension Scheme (i.e. Consolidated Salary Scale Earners) will be reincluded;
2. there will occur enactment or inclusion of a proviso/section in the OGSPRL which will compel succeeding administration(s)(?) to be committed to the payments of balance of arrears and subsequent deductions and remittances.

We are still awaiting the return of the OGSPRL, 2006, (amended 2013) to the Ogun State House of Assembly for the essential amendments. After all, it is germane that all agreements must be implemented.

It is saddening and very pathetic that Public Servants who retired in (i) above from 1st July, 2025 have no clearly defined categorisation of pension scheme they fall into. For them, there had been total stoppage of contributory pension deductions sequel to their appointments and each of them scaled on consolidated salary structures. The dilemma here is the stretch of stoppage and its corresponding financial valuation, having earned handsomely from such privileged statuses. To those retirees in this category, the application of the OGSPRL in its full dictates becomes absolutely problematic.

We have endured so long with so much patience and pain particularly on this haphazard implementation of the OGSPRL and there exists no more steam nor force in our engine to push ahead with as basic as the desire to live.

At this juncture, the MoA’s item (vi) ” request for the deferment of commencement date of CPS, by all factual intents and purposes to 2042 when those employees whose letters of appointments capture them to Defined Benefits (Pension) Scheme exit the State Public Service.

The State Government hereby is put on twenty-one (21) day notice, from the date of this letter, on the resumption of the suspended industrial action upon lack of action(s) on our prayer.

Signed by

Comrades

Lasisi Akeem, TUC Chairman

Ahmed Ademola Benco, NLC Chairman

Olude Isa, JNC Chairman

Omoneh Chris, NLC Secretary

Adebiyi Olusegun, TUC Secretary

Olayemi Oloyede, JNC Secretary

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