The Pension Transitional Arrangement Directorate (PTAD) has faulted a protest by former employees of the defunct Assurance Bank Plc over their exclusion from the N32,000 pension increment approved by the Federal Government, insisting that the retirees are not entitled to the benefit under existing guidelines.
The retirees staged a demonstration at PTAD’s Lagos office on June 10, alleging discrimination in the administration of their pensions and demanding inclusion in the pension enhancement approved by President Bola Tinubu in 2024.
However, PTAD maintained that the protest was premised on a demand that falls outside the provisions governing the affected category of pensioners.
In a statement issued after the demonstration, the directorate acknowledged the constitutional right of retirees to express their grievances, but noted that the former workers had previously been informed of their pension review status.
According to PTAD, pensioners from the defunct Assurance Bank, Peoples Bank of Nigeria, Nigeria Reinsurance, NICON Insurance, and NITEL/MTEL were specifically excluded from the N32,000 pension increment approved for certain categories of Defined Benefit Scheme (DBS) pensioners.
“According to the National Salaries, Incomes and Wages Commission circular Ref. No. SWC/S/04/S.542/III/461 dated September 27, 2024, Defined Benefit Scheme pensioners of Peoples Bank of Nigeria, Assurance Bank, Nigeria Reinsurance, NICON Insurance, and NITEL/MTEL are exempted from the N32,000 pension increment,” the agency stated.
PTAD explained that, instead of receiving a flat-rate increase, pensioners in the affected institutions were covered by a separate pension review arrangement that provided percentage-based increments.
According to the directorate, a subsequent circular issued by the National Salaries, Incomes and Wages Commission approved pension increases of 10.66 per cent and 12.95 per cent for the affected retirees.
“Pursuant to NSIWC Circular Ref. No. SWC/S/04/S.557/T/233 dated November 24, 2024, DBS pensioners of Peoples Bank of Nigeria, Assurance Bank, Nigeria Reinsurance, NICON Insurance, and NITEL/MTEL are entitled to pension increases of 10.66 per cent and 12.95 per cent,” PTAD said.
The agency expressed surprise that the retirees proceeded with the protest despite what it described as prior communication of the policy position.
“This position has been duly communicated to all affected DBS pensioners. It is therefore surprising that ex-workers of Assurance Bank Plc visited the PTAD Lagos State Office to protest their non-inclusion despite being aware that they are not entitled to the benefit under the applicable guidelines,” the statement added.
PTAD also disclosed that it had implemented the approved pension reviews and settled related arrears for eligible beneficiaries.
According to the directorate, the 10.66 per cent and 12.95 per cent pension increases, alongside the N32,000 increment for eligible retirees, were reflected in its September 2025 payroll.
The agency further revealed that it disbursed N5.1 billion in December 2025 to 11,205 eligible Defined Benefit Scheme pensioners from the affected institutions as part payment of arrears arising from the approved pension reviews.
“In December 2025, PTAD disbursed a total sum of N5,095,197,136.52 to 11,205 eligible DBS pensioners of Peoples Bank of Nigeria, Assurance Bank, Nigeria Reinsurance, NICON Insurance, and NITEL/MTEL, being a 50 per cent payment of the arrears arising from the 10.66 per cent and 12.95 per cent pension increment,” the agency said.
The directorate reaffirmed its commitment to the welfare of pensioners and pledged to ensure that eligible retirees receive their entitlements in accordance with government policy.
PTAD’s response followed complaints by former employees of the defunct Assurance Bank and Arab Bank, who protested in Lagos over what they described as a discriminatory pension arrangement.
The retirees argued that many members of the group receive monthly pensions of less than N10,000 and called for their benefits to be adjusted to the N32,000 benchmark applied to other categories of pensioners.
They also demanded the payment of outstanding pension arrears and greater transparency regarding unresolved retirement benefits dating back to the liquidation of the banks more than two decades ago.
The dispute underscores continuing concerns over pension adequacy, disparities in retirement benefits, and the long-term financial wellbeing of retirees living on fixed incomes amid rising living costs, highlighting broader issues surrounding social protection and retirement security in Nigeria.
