FG sets up committee to address military pension arrears

The Federal Government has set up a  working group made up of high-level team from the Federal Ministry of Finance and representatives of military pensioners  to harmonise positions on pension arrears and address other issues arising from  the payment of pensions to retired military personnel.

Addressing pensioners who were protesting  against delays in the payment of their pension arrears  in her office, the Co-ordinating Minister for the Economy and Minister of Finance, Dr Ngozi Okonjo-Iweala, said that the group will be chaired by the Director General of the Budget Office of the Federation, Dr Bright Okogu and will include the Chairman Military Pensions Board , representatives of the military pensioners, the National Salaries, Income and Wages Commission as well as staff of the Federal Military of Finance.
The pensioners who acknowledged that they have been receiving a 33 per cent  increase on their pensions since August 2013  also demanded  that the increase should be 53 per cent  to put them at par with their colleagues who are in active service.
The government’s  team which engaged the pensioners included the Permanent Secretary of the Finance Ministry, the DG Budget and the Chairman  of the Military Pensions Board.
Explaining the genesis of the problem, the Minister told the pensioners that the 53 per cent  increase in public sector wages which was implemented in 2010 left government with a very high recurrent budget which poses a significant funding challenge.
According to her,  even though she was not in office when the hike was implemented, government is a continuum and the ministry under her watch, with the strong support of President Goodluck Jonathan has been working hard to address the challenges because soldiers who put their lives on the line to serve the nation deserve the greatest honour and consideration.
She explained that it was because of this that the federal government has implemented a 33 per cent  increase in military pensions alone since August 2013 following a recommendation of a government committee.
On the pension arrears,  Okonjo-Iweala stressed that government was committed to paying but that, given the realities, this had to be done on an agreed schedule in tranches.
“I cannot tell you that everything will be paid at once but I can assure you that you will be paid when we agree on a realistic schedule”, the minister said.
Earlier, the representatives of the military pensioners  had spoken passionately about the challenges they are facing because of delayed pension payments.