Pension Reforms Act 2014 in Nigeria: A critique on matters arising

Abstract

One critical area that has assumed much prominence and has received much attention at governmental circle in developing world is pension administration. Nigeria is not an exception in this trend, and in response, the federal government-initiated pension reforms through the Pension Reforms Act 2004 which was a dramatic departure from the previous pension scheme in the country since independence in 1960. However, after 10 years of its existence or operation in the country, the pension reform was repealed and replaced with the new Pension Reforms Act on 1 July 2014 arising by its condemnations and cynicisms by the workers and retirees. After 7 years of the operation of the Act, this study, therefore, aimed at critiquing the PRA 2014 vis-à-vis its provisions and implementation. To facilitate the study, primary and secondary sources of data collection were adopted with qualitative content analysis technique for presentation of findings. The theoretical framework for this study is the Marxist theory of capitalism by Kari Marx. The findings in the study showed that there were gaps and loopholes in the PRA 2014 and its implementation which negatively altered the noble objectives of the reforms, thereby failed the yearning expectations of workers and retirees. The study, therefore, suggested the need for further review and amendment of the provisions in the PRA, 2014 by the nation’s National
Assembly to take care of the identified loopholes and gaps in the Act. There is also a need for sincere political will by the three tiers of government in Nigeria, and holistic synergy among the stakeholders to nurture the scheme to an enviable world Standard. This is by strict compliance in implementation of the provisions of the Act (as amended) which has been the bane of the present PRA Act 2014.