Borno, Kano to Adopt Jigawa Contributory Pension Scheme Model.

Borno State Government is to adopt Jigawa State Contributory Pension Scheme Model.

This was made known by the Permanent Secretary Ministry of Finance and Pension Board   in  Borno State, Hajiya Maryam Shehu when she led a delegation to the office of the Jigawa State  Head of the Civil Service, Alhaji Hussaini Ali Kila.

She said the visit concerned the Pension Scheme model adopted by Jigawa State in the last 18 years, adding that  they were in the State  to learn the positive Pension Policy of Jigawa State.

Hajiya Maryam Shehu Borno  State wanted to borrow a leaf from Jigawa State using such model with a view to improving its Pension Scheme.

Responding, the Jigawa State Head of the Civil Service, Alhaji  Hussaini Ali Kila said the Jigawa State Contributory Pension Scheme was initiated in 2003.

He said  Jigawa State is the first State in the Federation to enact and establish the Pension Scheme Programme even before the Pension Reform Act, PRA, of 2004.

Alhaji Hussaini Ali Kila explained that the development has eased the suffering of Jigawa workers who retired or who died in active service, saying that now Jigawa State is leading in Pension payment with other States like Katsina, Kano, Gombe, Adamawa, Yobe and Zamfara thronging to the State to emulate the Policy.

On his part,  the Executive Secretary, Jigawa State and Local Governments Contributory Pension Scheme, Honourable Hashim Ahmed Fagam said the Contributory Pension Scheme in Jigawa State was the first of its kind in Nigeria and has provided an opportunity for the State employees to contribute into their retirement future

He disclosed that the State Government contributes 17 per cent of employeesโ€™ basic salary, while employees contributes  8 per cent of their basic salary, adding that this followed an agreement reached between the State Government and workers in 2001, that they would contribute 8 per cent while government contributes 17 per cent  making a total of 25 per cent.

Honourable Hashim Fagam said  Government decided to contribute higher percentage to complement workersโ€™ efforts aimed at making the Scheme successful and sustainable by successive administrations in the State.

The Executive Secretary, described Jigawa State Model as the best Pension Scheme in the Country.

He explained that the Jigawa State and Local Government Contributory Pension Scheme has appointed 10 Pension Fund Administrators, PFAs, as contained in the National Pension Commission, PenCom, guidelines, adding that the  State Government adopted the use of Defined Benefit Scheme, DBS, instead of Retirement Savings Accounts, RSA, which is as easy and simple for any retired or family of deceased workers to have access to their retired or death benefit without any hitch and the remittance fluctuated based on the number of retirements and deaths recorded in the work force.

During the visit, the delegation has inspected Departments of the Scheme where it was briefed about the activities of the scheme by the Head of the Departments.

Meanwile, Kano  State said it will  borrow a leaf from Jigawa  State Pension Scheme   to improving  its Pension Scheme.

The Permanent Member 1, Kano State Pension Fund Trustees, Alhaji  Maifada Bello Kibiya, made this known when he led a delegation from the State to the Jigawa State and Local Governments Contributory Pension Scheme Board on a study visit to the State.

He described Jigawa State and Local Governments Contributory Pension Scheme as the best Pension Scheme in the Country.

He said Kano State Pension Fund Trustees is making efforts towards engaging the Services  of Pension Fund Administrators and that is why the team is in Jigawa to learn from the positive Pension policy of Jigawa State.

Kibiya explained that Kano State Government will amend its Pension Law to enhance the State Pension Administrator as according to him most of the Pension problems is related to the Law.

Responding, the Executive Secretary, Jigawa State and Local Governments Contributory Pension Scheme, Honorable Hashim Ahmad Fagam said the Jigawa State Contributory Pension Scheme was initiated in 2003, going side-by-side with the public service Pension system being paid directly from Government revenues.

He explained that under the arrangement, โ€œCivil Servants in the State contribute 8 per cent of their monthly basic salary, while the State and Local  Governments contributes 17 per cent.

He said the State is ready to support any State with the anything possible that will help in improving their Pension Scheme.

During the visit, the delegation was briefed about the activities of the scheme by the Permanent Secretary, Directorate of Salary and Pension Administration, Alhaji Lawan Muhammad Bello, Directors of the Board and some Directors from the Directorate of Salary and Pension Administration.

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