By Bimbola Oyesola
The National Pension Commission (PenCom) has warned employers of labour and companies from using touts and agents to obtain the Pension Clearance Certificates (PCC).
According to PenCom, such act is illegal and contrary to the provisions of section 104 (b) and (c) of the Pension Reform Act (PRA) 2014.
The pension sector regulator submitted that the issuance of PCC is free of charge and the application process is also very easy and transparent, adding that it takes seven working days to process applications submitted with full documentation.
PenCom urged employers to deal directly with the organisation on matters relating to the application for the issuance of the PCC.
The commission said certain documents must be submitted before the application can be processed.
“Certified list of employees of the organisation as at the end of the last fiscal year. The certification should be done with an authorized official of the applicant organisation,” it stated.
In addition, PenCom said companies must also provide certified rate of monthly pension contributions (specifying employer and employee rates).
It added, “The rates relating to the monthly emoluments are a minimum of ten percent (10%) by the employer; and a Minimum of eight percent (8%) by the employee.
“Evidence of remittance of monthly pension contributions for all employees as follows: For the last three fiscal years for organisations that were in existence for that period and have three or more staff.”
It however stated that for organisations that have not been in existence for the last three fiscal years, from the date of incorporation/registration/licensing to the last fiscal year, must provide evidence of remittance of all outstanding pension contributions and penalties (for late remittance).
PenCom added that evidence of transfer of pension fund and assets held prior to the commencement of the contributory pension scheme (CPS) to a licensed pension fund operator, must also be submitted.
“This is only applicable to organisations that had pension arrangements or were in the custody of pension assets before June 2004,” it stated.
In addition, PenCom equally stated that companies must provide evidence of current group life insurance policy procured for the staff of the organisation specifying the number of lives and sum assured.
It noted that the application is currently in the process of automation, stating that, “until this is completed, certificates of compliance can be picked up at the offices where applications were submitted.
“Applications can be submitted at either the commission’s head office at Plot 174, Adetokunbo Ademola Crescent, Wuse II, Abuja, or any of its zonal offices in the six (6) geo-political zones.”
According to PenCom, details of the zonal offices can be found on the commission’s website, www.pencom.gov.ng.”
It however implored applicants to track their applications by visiting its website where the list of Organisations that are issued clearance certificates is updated daily.
PenCom had earlier said in the first quarter of 2023, that it has processed and issued a total of 4,487 PCCs to organisations that met the requirements and the sum of N103,469,914,514.26
was remitted into the Retirement Savings Accounts (RSAs) of 119,865 employees of the 4,487 organisations that it has issued PCCs to so far.