Members of the Nigeria Union of Pensioners, Wema Bank Branch, have called on the federal and state governments as well as regulators in the financial system to impress it on the management of the bank to review the pension paid to its retirees.
The retirees, during a meeting in Lagos last week, said Section 10 of the Wema Bank Plc Staff Retirement and Pension Fund handbook stated the condition for the payment of gratuity and pensions, which was for life.
Speaking on behalf of his colleagues, the National Chairman, NUP, Wema Bank Branch, Mr. Bayo Shittu, said, “Because we have satisfied the provisions of the handbook, we have been taking our monthly pensions regularly without increment in the past nine years. The refusal of the bank's management to review our pensions for the past nine years clearly negates the provisions of the 1999 Constitution of the Federal Republic of Nigeria.
“It is a pity and quite unfortunate to state here the paltry pension being paid to every category of retirees. Over 80 per cent of our pensioners are receiving a ridiculous amount of N6,000 each monthly. This has resulted in acute malnutrition and untimely death of several of our members and their dependants.”
Shittu said all efforts made to ensure that the bank reviewed upwards the pensions through meetings and several correspondences had not yielded positive results.
He said, “Instead of acceding to our persistent requests on increments as promised, the management suddenly made a u-turn by opting for pay-off, a move the pensioners are not against. What the pensioners are against is the bank's five-year pay-off proposal, which will give every pensioner N360,000 for the rest of his or her life.
“We humble call on well meaning Nigerians, the Governor of the Central Bank of Nigeria, the managing director of Nigeria Deposit Insurance Corporation, Minister of Labour and Productivity, governors of the South-West states, the National Assembly; Chairman, Board of Directors, Wema Bank Plc and valuable shareholders to impress it upon the bank's management to stop maltreating the goose that laid the golden eggs on which the management of the bank is now feeding fat.”
The National Secretary of the union, Mr. Lekan Adio, said in response to the management's proposal of a five-year pay-off, the executives of the pensioners' union resolved that the offer was grossly misconceived and unfortunate, and subsequently rejected it.
According to him, a pensioner's life expectancy is a minimum of 100 years, and if for example, a pensioner is 70 years old on the date of payment, the calculation of the number of his or her pay-off should be 30 years.
Adio said, “We resolved that the individual age and current monthly pension should be used as the determinant of the individual's pay-off. We also resolved that whatever amount to be paid must include medical allowances for the number of years applicable to every pensioner.
“Any attempt by the management of the bank to credit individuals' accounts before the determination and agreement by both parties will be seriously challenged and adverse publicity may not be in the interest of the bank's image.”
When contacted on the matter, the bank's General Manager, Corporate Services, Mr. Soji Jenyo, admitted that the management of the financial institution had been meeting with the retirees on the issue.
