The National Pension Commission (PenCom) has imposed a fine of N14.3 billion on 911 employers for failing to remit pension contributions on time. The Commission disclosed this in its latest report, which also revealed the recovery of N13.83 billion in outstanding pension contributions from defaulting employers.
According to the report, the recovery exercise, which began in June 2012, has achieved significant milestones. As of December 2024, a total of N28.187 billion had been recovered, consisting of N13.829 billion in outstanding pension contributions and N14.348 billion in penalties for late remittances.
Providing further details, the report stated: “Between June 2012 and December 31, 2023, PenCom recovered a total of N25.447 billion, comprising N12.929 billion in principal contributions and N12.517 billion in penalties from non-compliant employers.”
To facilitate this process, PenCom engaged 41 Recovery Agents who were assigned to various employers. These agents are required to present official introductory letters from PenCom before commencing their review of an employer’s pension records. Their responsibilities include identifying outstanding pension liabilities dating back to January 2005, calculating penalties on unremitted contributions, and issuing demand notices to defaulting employers after obtaining clearance from PenCom.
The Commission reaffirmed its commitment to enforcing the Pension Reform Act (PRA) 2014, stating: “The National Pension Commission (PenCom) remains dedicated to protecting employees’ pension rights by ensuring compliance with the PRA 2014. Under Section 92(2) of the Act, we are empowered to appoint Recovery Agents to review employers’ pension records and ascertain outstanding liabilities.”
