The Pension Transitional Arrangement Directorate (PTAD) has successfully disbursed ₦1.023 billion to 7,091 pensioners from the Power and Transport Sectors in the Parastatals Pensions Department (PaPD).
This payment addresses 39% of pension arrears accumulated from August 2015 to September 2023. The monthly pension amount for PaPD retirees was calculated based on their career details, salary structure, and applicable pension increases. PTAD conducted a back-end calculation to determine the arrears. The investigation by PTAD revealed payroll issues affecting 7,091 pensioners, necessitating corrective measures.
PTAD’s Executive Secretary, Dr. Chioma Ejikeme, emphasized the importance of accurate pensions to ensure fairness and equity. PTAD was established in 2013 in line with the Pension Reform Act (PRA) of 2014. Before the PRA, government pensions were managed by separate offices, part of the treasury-funded Defined Benefits Scheme.
Section 42 (1) of the PRA 2014 empowered PTAD to take charge of the administration of former pension offices, including the Civil Service Pension Office (CSPO), Police Pension Office (PPO), Customs, Immigration, and Prisons Pension Office (CIPPO), and pensions of over two hundred Treasury Funded Parastatals.
These pensioners are individuals who served the Federal Government and retired on or before June 30, 2007, without transitioning to the Contributory Pension Scheme (CPS).
