Ogun State Governor, Dapo Abiodun, has announced that the government will begin the full implementation of the Contributory Pension Scheme (CPS) starting July 2025. He made this known in a statement following talks with organized labour.
“We have resolved to commence the full implementation of the Contributory Pension Scheme (CPS) for Ogun State workers beginning this July 2025. Following a constructive engagement with organized labour, we addressed concerns surrounding the scheme and reaffirmed our commitment to workers’ welfare,” the governor said.
As part of the new arrangement, payments to retirees under the first phase will begin from July 2, 2025, and continue through July 2030. The second phase, which covers July 2030 to July 2035, is expected to commence next year.
Governor Abiodun also confirmed that the state will discontinue the gratuity scheme from July 2, 2025. “We are reverting all consolidated salaries to the CPS. To guarantee prompt benefits, we shall equip PENCOM accordingly and back this plan with appropriate legislation,” he explained.
The governor further revealed that registration of employees under the CPS will be expedited through licensed Pension Fund Administrators. He noted that his administration has paid N37 billion in gratuities and N163 billion in pensions to date.
He added that six promotion exercises have been conducted and that payments for 2023 and 2024 promotions will begin in September and December 2025. A review of the basic salary structure is also ongoing to meet regional standards.
Governor Abiodun appreciated the understanding of organized labour and reaffirmed his administration’s goal of building a worker-friendly state.