National Pension Commission. Photo: PenCom The National Pension Commission has directed treasury-funded Ministries, Departments and Agencies to submit details of employees who retired or are due to retire between January 1 and December 31, 2026, as part of preparations for the implementation of the Federal Government’s newly approved Exit Benefit Scheme.
In a circular dated June 16, 2026, PenCom said the information must reach the Commission on or before July 6, 2026, warning that submissions must be complete, accurate and strictly comply with the prescribed template. The circular, signed by the Acting Head of the Contribution and Bond Redemption Department, Murtala M.
Modibbo, was addressed to heads and chief executive officers of treasury-funded federal MDAs. According to PenCom, the data collection exercise is critical to the smooth rollout of the Exit Benefit Scheme, which was recently approved by the Federal Government for employees of treasury-funded MDAs.
“The National Pension Commission is pleased to inform you that the Federal Government has approved the implementation of an Exit Benefit Scheme for employees of Treasury-funded Ministries, Departments and Agencies,” the circular stated. PenCom directed affected MDAs to forward the required information through designated official email addresses before the July 6 deadline.
The commission explained that the scheme provides for the payment of 100 per cent of the final total annual emoluments of eligible retiring employees who have served for a minimum of 10 years at the point of exit from service. Related News Buni builds, reconstructs Yobe schools Group lauds Tinubu for Abia bridge reconstruction after 58 years Osun violence: CSOs protest killings, ADC suspends campaign The benefit takes effect retrospectively from January 1, 2026.
To support implementation, PenCom said the Head of the Civil Service of the Federation has already issued guidelines outlining eligibility requirements, documentation, payment procedures, budgeting processes and the responsibilities of MDAs under the scheme. The commission also disclosed that it is upgrading its Contribution and Bond Redemption Application to incorporate a dedicated Exit Benefit Scheme sub-module.
The Exit Benefit Scheme is one of the measures introduced under the provisions of the Pension Reform Act 2014 to provide enhanced financial support for retiring public servants in treasury-funded federal institutions. Under Nigeria’s Contributory Pension Scheme, employees and employers make periodic pension contributions into Retirement Savings Accounts managed by Pension Fund Administrators.
However, labour groups and retirees have often raised concerns about the adequacy of retirement benefits, particularly amid rising inflation and the increasing cost of living. The introduction of the Exit Benefit Scheme is expected to provide an additional financial cushion for eligible federal workers at retirement while helping to strengthen social protection for public servants after active service.
With the July 6 deadline now set, attention is expected to shift to how quickly MDAs can compile and submit accurate records to enable timely implementation of the scheme and payment of benefits to eligible retirees. In a circular dated June 16, 2026, PenCom said the information must reach the Commission on or before July 6, 2026, warning that submissions must be complete, accurate and strictly comply with the prescribed template.
The circular, signed by the Acting Head of the Contribution and Bond Redemption Department, Murtala M. Modibbo, was addressed to heads and chief executive officers of treasury-funded federal MDAs. According to PenCom, the data collection exercise is critical to the smooth rollout of the Exit Benefit Scheme, which was recently approved by the Federal Government for employees of treasury-funded MDAs.