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Ogun Governor Announces Full Implementation of Contributory Pension Scheme

monthly pension increase

The Ogun State Government says it has commenced full implementation of the Contributory Pension Scheme (CPS) in a bid to resolve the ongoing industrial action that has disrupted public services across.

Speaking with labour leaders, the governor of the state, Mr Dapo Abiodun, said the scheme commenced on July 2, 2025, describing the move as a decisive step toward restoring trust between the state and its workforce.

“This is not just a policy adjustment, it is a commitment to ensuring that our workers are not deprived of what is rightfully theirs,” the governor said.

He also said the state government has also rolled out a 10-year framework to clear outstanding pension liabilities in two five-year tranches, scheduled for completion by 2035.

Mr Abiodun promised that the arrangement would be codified into law to ensure continuity beyond his administration, revealing that in addition to the pension reform, his administration will implement long-delayed promotions from 2023 and 2024.

Workers promoted in 2023 will begin receiving salary increases reflective of their new ranks in September 2025 while those promoted in 2024 will see theirs by December, three months earlier than the initial March 2026 timeline, he promised.

The Organised labour under the Nigeria Labour Congress (NLC) in Ogun State commenced an indefinite strike over the government’s failure to remit pension deductions, implement the national minimum wage, and address other unresolved issues.

Speaking on Monday, the Ogun State Chairman of NLC, Mr Demola Hameed-Benco, said this followed a resolution reached at a statewide congress of civil service workers in Abeokuta, according to the News Agency of Nigeria (NAN).

The statement directed all civil and public servants to withdraw their services immediately, citing the government’s alleged non-compliance with the Contributory Pension Scheme (CPS) established under the Ogun State Pension Reform Law of 2008, amended in 2013.

At the time, Mr Abiodun said the strike was unnecessary and avoidable.

“There was no need for industrial action when we could have sat down to iron out the issues,” he said, urging union leaders to prioritize dialogue moving forward.

The governor further emphasized that structural measures had been put in place to ensure a seamless rollout of the CPS, aimed at guaranteeing retirement security for civil servants.

On their part, the labour leaders said the strike was not intended to paralyze the state’s economy or undermine its peace, but rather to safeguard the rights of workers.

They thanked the Ogun governor and pledged to continue cooperating with the government, reaffirming their commitment to maintaining the state’s reputation.