ABSTRACT
Pension as a scheme is designed to cater for the welfare of the pensionable retired workers. The working lives of employees move continuously towards a certain direction i.e from employment, to growth, to retirement. The main aim of this research is to ascertain the Effect of Pension Fund Management on Retirees in Nigerian Police Force. The study covers the existing administrative system of the centralized police pension offices and their various attempts to satisfy the increasing needs of retirees all over the federation. The main objective of this study is to examine the effect of pension fund management of retirees in Nigeria and so ascertain the problem of weakness in the administration system. Two hypotheses were tested, the null hypotheses was rejected and the alternative accepted. Questionnaire were formulated based on the hypotheses and were distributed. The recommendation was that more competent officers should be recruited to handle the growing need in the pension office and that then commission should intensity effort at ensuring timely remittances of benefits to the Retirement savings Accounts (RSA) by firms, Employees and employers.
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
Nigeria’s first ever legislative instrument on Pension Matters was the pension ordinance of 1951, which had retrospective effect from January 1, 1846. (That was in the colonial era).
National Provident Fund (NPF) scheme established in 1961 as the first legislation enacted to address private organized establishments Pension Matters in Nigeria.
It was followed 28 years later by the Pension Act No. 102 of 1979, as well as the Armed Forces Pension Act No. 103 of the same year.
Taken after the Armed forces experience, the Police and other Government Agencies pension schemes were established under pension Act No. 75 of 1987.
This was followed by the Local Government Pension Edit which culminated in the establishment of the Local Government Staff pension board in 1987. In 1993 NSITF scheme was established by Decree No. 73 of 1993 to replace defunct NPF scheme with effect from 1st July, 1994 to cater for workers in private sector of the economy against loss of Employment Income in Old Age Invalidity or Death.
With the provision these schemes mentioned above. Nigeria has been faced with the problem of paying retirement benefits for more than two decades and also there was crisis in the administration and management of retirement benefits (Gratuity and Pension) in Nigeria in both public and private sectors for instance.
§ Pay-As-You-Go pension in the public sector has totally collapsed due to lack of fund because it is noncontributory and not funded In advance by the government.
§ The Private Sector and many Federal Government parastatals that are assumed to have a strong and well organized pension schemes are shadow of themselves, they are grossly underfunded or unfunded at all.
This explain why the established NSITF scheme for Privahttps://newprojecttopics.com.ng/aggregate-stability-of-nkpologu-sandy-loam-soil-under-different-soil-and-crop-management-systems/te Sector does not live up to expectations.
§ Consumption of every disengagement benefits collected at the point of changing jobs among the private sector employees will lead to unpleasant situation if there is nothing to fall back on (Provident Scheme).
§ There is no standard guidelines on retirement benefits (Gratuity and Pension) and social security’s administration in the country which is also a problem facing Nigeria at old age upon retirement sectors.
There are also some pension crisis faced by the pensioners and these include;
1. Unfunded arrears of about N3 trillion?
2. Pensioners not being paid entitlements regularly
3. Existence of Ghost pensioners in the public service
4. Pensioners dying on verification queues
5. Unstructured and unfunded private sector schemes
6. Diversion and mismanagement of existing pension funds by the Board of Trustees (BOT) and managers of the funds
The following above are some of the problems and pension crisis affecting the public and private sectors in Nigeria. It is. not only the private and public sectors that has pension fund problems, also the Nigeria police force are been affected by their mismanagement of pension fund which affects their retirees. Since the case .study is centered round the Nigeria police force we can now take a look at that.
Many critics feel that management and leadership style of the Nigeria Police Force is ineffective while others strongly believe that caliber of people at the managerial positions constitute a services draw back to the police force as an organization.
A good number of such criticisms were reflected on some of the Nigeria dailies. The Nigeria Voice for instance on page 7 to 15th July, 1991 was captioned “the Nigeria Police Force, an abandoned establishment. Several other critics highlighted on the pages of newspaper are enough to keep the mind of a concerned citizen wondering whether the public force in Nigeria has got efficient management system.
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