By Ella Anokam
Abuja – The Federal Mortgage Bank of Nigeria (FMBN) has concluded plans to pay all outstanding pension arrears to retired staff members of the bank.
Mr Richard Esin, FMBN Managing Director, who disclosed this on Thursday in Abuja, said that FMBN has received approval of the Minister of Power, Works and Housing, Mr Babatunde Fashola to effect payment.
In a statement, Esin said the approval came after a thorough verification of eligible pensioners of the bank nationwide.
He said the arrears in question, which accumulated between January 2011 and February 2017, emanated from the agreed 50 per cent increment in monthly pension entitlements, out of which only 25 per cent increment was paid since then.
According to him, the bank obtains approval to settle the outstanding arrears in two installments.
“It has made payment on the first installment to the tune of N196.68 million to 915 pensioners of the bank.
“While the balance and second installment will be paid soon,” he added.
In the same vein, he said the management of the bank inaugurated the Board of Trustees (BoT) for the FMBN Staff Pension Scheme Fund, which had remained dormant since 2009, on March 28.
Esin explained that the BOT would be responsible for the coordination and welfare of FMBN Pensioners and equally administer and manage the Pension Fund in accordance with the Rules of the Fund.
The Board of Trustees consists of the Executive Director (Finance and Corporate Services) as the Chairman, with a representative each of FMBN Pensioners, Office of the Head of Service of the Federation.
Others are: Association of Senior Staff of Banks, Insurance & Financial Institutions (ASSBIFI), Union of Banks, Insurance and Financial Institutions Employees (NUBIFIE), and Heads of relevant Groups in the Bank.
Esin restated the management decision to prioritise the welfare of retirees and payment of pension regularly and promptly on or before the 23rd of every month.