No fewer than 25,645 workers have transferred N102.59billion in their Retirement Savings Accounts to other Pension Fund Administrators.
This move is coming after a displeasure with their Pension Fund Administrators operations.
The National Pension Commission disclosed this in a presentation titled ‘Understanding the RSA transfer process’.
According to the presentation, 2,799, 12,681 and 10,165 workers transferred N18.90bn, N47.78bn and N35.91bn in the fourth quarter of 2020, Q1, 2021 and Q2, 2021 respectively.
Recall that the pension regulator opened the transfer window in November 2020 stating that section 13 of the Pension Reform Act 2014 empowered an RSA holder to transfer their RSA to any PFA of choice, not more than once a year.
Also, it adeed that effective transfer of RSAs from one PFA to another required an accurate and reliable database as it was important to ensure that the pension assets transferred belonged to the bona-fide RSA holders initiating the transfers.
With the process finalised in June 2019, PenCom stated that opening of the RSA transfer window was delayed to ensure that robust IT infrastructure that would drive the process was put in place.
The pension regulator stated that ECRS incorporated extensive validations, controls and data requirements that would deliver high data integrity standards for the pension industry adding that an upgrade of RSA holders’ details to meet the ECRS standards was a prerequisite for RSA transfers.
Those who registered with various PFAs from inception of the Contributory Pension Scheme to June 2019 were required to get recaptured, it added.
Also, to ensure that all RSA holders who needed to be recaptured were speedily recaptured, PenCom approved the appointment of two agents to carry out a nationwide recapture exercise, beginning August 2021.
It stated that the agents were to recapture all staff of various employers, both in the public and private sectors, irrespective of their PFAs.
The exercise would be structured and carried out in accordance with the timetable approved by PenCom, it stated.