The House of Representatives Committee on Pensions has charged the Pension Transitional Arrangement Directorate to address gratuity provisions, capital project implementation, and compliance with Corporate Social Responsibility requirements in the 2026 Appropriation Bill.
This is just as the Committee commended PTAD for its commitment to pension reforms and retirees’ welfare under the Defined Benefit Scheme.
Addressing the Committee in Abuja during the Directorate’s 2025 budget performance on Tuesday, PTAD’s Executive Secretary, Tolulope Odunaiya highlighted several achievements despite funding cconstraints.
She listed seamless implementation of the 28% pension increase approved in 2024, payment of arrears to over 155,000 pensioners, and recent presidential approvals to clear outstanding arrears, introduction of health insurance coverage for pensioners, and strengthening og the Defined Benefit Scheme as significant milestones.
She disclosed that ₦128.9bn was appropriated for pensions in 2025, with ₦62.7bn as of June released by June, 2025 while ₦56.6bn has already utilised, representing 91.2% of the releases.
She added that while no allocation was made for gratuities in the current year due to an oversight, PTAD continues to meet its pension obligations and is working with the Federal Government to address unfunded liabilities and other challenges.
The Executive Secretary also admitted that no funds were appropriated for gratuities in the 2025 budget due to what she described as an “Inexplicable oversight,” despite ₦777.8m allocated and fully released in 2024.
According to her, ₦25bn was appropriated for unfunded pension liabilities in 2025, with ₦13bn released and ₦8.7bn utilised so far.
She continued, “On personnel expenditure, ₦2.4bn was appropriated for 2025, out of which ₦1.09bn had been released and fully utilised. Overhead costs recorded ₦1.49bn in appropriations, with ₦434m released and ₦334m expended by mid-year.
“Capital expenditure of ₦820m is yet to be implemented due to delays arising from the bottom-up cash flow management policy and the extension of the 2024 capital budget to December 2025. ”
Chairman of the Committee, Jallo Mohammed, commended PTAD for its “Tangible efforts to safeguard the welfare of pensioners,” noting that the Directorate has consistently demonstrated commitment to accountability and service delivery.
He however reminded the agency of the significance of CSR, saying, “Corporate social responsibility is not just about compliance, it’s about giving back. As we move into the 2026 budget year, we want to see CSR captured by all pension agencies, including PTAD,” Mohamed said.
