By Damilola Omosebi
We are all hurtling toward old age. It is an inevitable truth. Yet, while we labor today, sacrificing our youth and vitality to build a nation, a silent predator lurks in the shadows: a pension system that shackles the dignity of our elderly and lines the pockets of administrators at the expense of vulnerable retirees. This is not a plea; it is a battle cry. Nigerians must rise now to dismantle a system that robs the aged of their financial freedom and condemns them to poverty after decades of service.
The Grim Reality: Pension Administrators or Exploiters in Disguise?
For years, pension administrators have positioned themselves as custodians of workers’ futures. But let us call this what it is: a grand deception. The current Contributory Pension Scheme (CPS), designed to safeguard retirees, has morphed into a machinery of exploitation. Retirees are forced to surrender control of their life savings to these entities, only to receive pittances that mock their years of labor.
Consider the cruel mathematics: A retiree like Mallam Karfi, who saved ₦20 million over a lifetime, is permitted to access just 50% of his savings (₦10 million) upon retirement. The remaining ₦10 million is doled out in monthly crumbs ₦55,555 over 15 years. By the time he reaches 75, the payments cease, leaving him stranded in his twilight years. But here’s the bitter irony: Pension administrators invest these withheld funds in high-yield instruments like treasury bills, bonds, and equities, earning returns as high as 15% annually. Meanwhile, the retiree; the rightful owner of the capital; is handed scraps.
The Liberation We Demand: Let Retirees Control Their Destiny
The recent move by the Nigerian Senate to amend the Pension Reform Act, allowing retirees to access up to 75% of their savings, is a step forward—but it is not enough. Why must retirees beg for what is rightfully theirs? Why must they be infantilized, denied the autonomy to decide how to invest or spend their hard-earned savings?
Imagine this alternative reality: If Mallam Karfi could withdraw his full ₦20 million, he could invest it in low-risk government treasury bills at 15% interest. This would earn him ₦3 million annually—₦246,575 monthly—without touching his principal. Compare this to the paltry ₦55,555 he currently receives. The difference is not just numerical; it is the difference between dignity and destitution, between security and despair.
Yet, under the current system, pension administrators profit handsomely from retirees’ capital. They harvest billions in returns while offering retirees peanuts. This is not just unfair; it is a moral crime.
A System Built on Exploitation: Who Benefits?
Let us be blunt: The current pension framework is a goldmine for administrators and a death sentence for retirees. Consider the arithmetic of exploitation:
- ₦20 million at 15% annual interest= ₦3 million per year (₦246,575 monthly) for the retiree.
- Current system: Retiree gets ₦55,555 monthly, while administrators pocket the difference.
Where is the justice? Why should intermediaries grow fat on the sweat of workers while the elderly scrape by? This is not a pension scheme; it is legalized robbery.
The Human Cost: A Nation Betraying Its Elders
Behind these numbers are human beings. Retirees who once built roads, taught children, healed the sick, and served the nation now face humiliation. Many cannot afford medications, rent, or even food. Others are forced to beg or depend on relatives; a crushing blow to their pride. Is this how we reward a lifetime of service?
Worse, life expectancy in Nigeria is 72 years, yet the pension system assumes retirees will die at 75. What happens to those who outlive this actuarial guess? They are abandoned. This is not just flawed policy; it is a systematic denial of humanity.
The Time to Act Is NOW: A Rallying Cry for All Nigerians
This is not Mallam Karfi’s fight alone. It is the fight of every worker, young or old. Today’s youth will become tomorrow’s retirees. If we remain silent, we sanction our own future exploitation.
We demand:
- Full access to pension savings: Retirees should have the right to withdraw 100% of their savings.
- Investment autonomy: Let retirees choose how to invest their funds; whether in treasury bills, real estate, or small businesses.
- Transparency and accountability: Pension administrators must disclose how they invest retirees’ funds and share profits equitably.
To the National Assembly: The Ball Is in Your Court
The Senate’s proposed amendment is a flicker of hope, but it must go further. We urge lawmakers to prioritize the Pension Reform Act as a matter of urgency. Pass legislation that empowers retirees, not administrators. The elderly cannot wait; they are dying in silence.
To Every Nigerian: Break the Silence
Share this message. Protest. Lobby your representatives. Tag the Senate on social media. This is a fight for our collective survival. If we do not rise now, we condemn ourselves to a future of indignity.
Final Word: Our Elders Deserve Better
A society is judged by how it treats its elderly. Today, Nigeria is failing that test. But together, we can rewrite this story. Let us unite to demand a pension system that honors, not exploits, those who built our nation.
The time to act is NOW. Tomorrow is too late.
Spread this message. Tag your representatives. Save Nigeria’s elders. Our future depends on it.
