EFFECTS OF PENSION SCHEMES ON THE NIGERIAN WORKERS
(A CASE STUDY OF ENUGU STATE)
ABSTRACT
No man is an island; collectively we have been able to make a thorough research on how effective pension scheme in both the civil and public sectors of the Nigerian economy has been beneficial or just a mirage to the Nigerian workers; thus a case study of Enugu state.  In the first case, the purpose of the study shall be looked at. As an overview, the aim of this study as to look at the impact of pension schemes on a sector of Nigerian workers of this public servants and how effectively this pension arrangement would be made so as to cover every sphere of there problem in relation to this. So, the purpose stretches from the important of a proper pension arrangement and how best it shall be implemented to affect a proper working of the plan.        The method of study is purely on both qualitative and quantitative basis. But in particularity, the table analysis was used for the analysis of the data collection.  The third part of the project, death on method of data collection which was purely on interview; so the response from the interview as used a data per analysis for the research work. The last part deals with basically the major pounding. This shall be merit viewed as follows the factors which militate against the effective administration of pension scheme in the country which may include: irregular payment of benefits lack of enlightment programme etc. in our findings, the following recommendation could ensure a need for regular review of pensioners, the manpower needed making the scheme to be contributory etc.
 TABLE OF CONTENT
CHAPTER ONE
INTRODUCTION                                                          
1.1    Background of Study                                           
1.2    Statement of Problem                                          
1.3    Objectives of Problem                                          
1.4    Significance of Study                                           
1.5    Scope of the Study                                                      
1.6    Limitations of the Study                                                
        Reference
CHAPTER TWO
LITERATURE REVIEW
2.1    Concept of Retirement                                           
2.2    Pension Reform Act Contribution in Nigeria Workers
2.3    Retirement Benefits                                               
2.4    Methods of Providing Benefits                                          
2.5.0Establishing Retirement Benefit Scheme                     
2.5.1Creation of the Legal Frame Work                             
2.5.2Letter of Exchange                                                          
2.5.3Traditional Occupation Schemes                               
2.5.4Informing the Employees                                                 
2.6.0Types of Benefits                                                    
2.6.1Early Retirement                                                    
2.6.2Later Retirement                                                    
2.7   Types of Retirement                                               
CHAPTER THREE
PRESENTATION AND ANALYSIS OF DATA
3.1    Data Presentation                                                 
3.2    Summary of Findings                                   
3.3    Recommendations                                               
3.4    Conclusion                                                  
        Bibliography
                                       CHAPTER ONE
INTRODUCTION
1.0    Background of Study
          In the traditional Nigerian society, aged parents look up to their children for support and this is one reason that the average numbers of children in Nigeria home are usually more than those of their counterparts in more developed countries. The home is therefore the bedrock of provision for the old. This arrangement therefore instates the role of a pension scheme on a less final setting.
        It would be appropriate at this junctures to briefly give the meaning of a pension.
        A pension can be defined as a series of regular payments provided by government or former employer for a person who has come to the end of his normal working life. It is an income during retirement at it’s most basic level. Such an income will assist the retired person to survive and depending on the amount and on any other means he may have, it may also enable him continue to enjoy some of the luxuries which he could afford during his working life. As earlier indicated, it is evident now that the Nigerian traditional society simply substitutes the large extended family as a pension scheme. Members of the family collectively make every provision required by the retired for his/her upkeep until death.
        This method of course is crude and not very effective one which can be illustrated as thus: Assuming the retired has an infirmity this would mean double trouble for the supporting family and where the loss by accidental means one can retire only imagine the plight of such a retiree and dependents.
        In order not to dabble much into that aspect, we will now examine the background of the pension scheme itself. Accordingly, pension dates back to the twelfth century and in those time, it was only through local manors or boroughs that protection was obtained from hardship and also within the confines of the community that guilds distributed relief. At that time though it was only regarded as relief for the old and poor and not necessary as a benefit for service rendered during one’s working days. These guilds were founded on religious or charitable basis and as time went on, merchants and craft guild were also founded. Gradually as strong central government emerged, caring of the poor because a national issue rather than a local responsibility so legislature concerning the poor becomes common.
        As time went on, the occupational pension scheme which established a right to a pension as a result of previous employment was also introduced and this is where, we are most concerned with in this research work.
        In Nigeria generally, pension scheme does not import much meaning to the workers, not to mention it’s usefulness. It still has not rested it’s full weight on the Nigerian populance because all they see and know about is that it is some sort of income which one is supposed to be entitled to after retirement but never gets.
        This is the present position of what the average Nigerian worker feels and knows of pension, which is pathetic.    What is the cause of this situation? How do we go about correcting the system? All these and other questions will enable us straighten out the present position of pension schemes in Nigeria using Enugu state as a case study.
        Many Nigerian workers after retirement from active service whether voluntary or otherwise are not aware of what entitlements they are entitled to as pension or where there is awareness, those in authority seen to be up to one thing or the other in order to delay the commencement and safe of the retiring employee’s pension.
        Experts in Nigeria agree that due to the fact that most workers become dejected and worn-out after retirement, not a few of them (workers) look up to their retirement period with optimism.
        While the retired civil servants could be slightly better if as they are entitled to monthly stipends in the firm of pensions their counterparts in the private sector are not so lucky. They receive theirs en-bulk at the initial time of retirement and no more. Therefore it becomes difficult for them to plan and carry out their obligations which they still carry along with them regardless of their fresh status, as retried workers.
        Another area where this research would tend to examine are the reasons being given for the delay in payments of gratuities and pensions which range from structural defects in payment arrangement in relation to bureaucracy, fraud and mismanagement of pension funds, though the Nigerian constitution on the protection of pensioners safe “The right of a pension in all the public service of the federation to receive pension or gratuity shall be regulated by law. Any benefit to which a person is entitled shall not be withheld to his disadvantage it however, is salient on when payments should be made and penalties for delay.
        It is against this background that this research work will be established and recommendation made curb the present disheartening situation as regards pension schemes in Nigeria.
1.2    statement of Problem
          This study will aim at examining the problems associated with pension scheme effectiveness and efficiency, the administration of pension funds and criteria for setting up such schemes in Nigeria. It intends to finds out why it is near impossible for retirees to receive their pensions, the employees’ role in pension’s arrangement and the administration of the pension funds. Another problem that would be considered would be that of managing the retirees in such a way that they are given adequate opportunity which would enable them to prepare very well or their new lives after their disengagement from active service as well as rehabilitating them so as to prevent the social menace in the society.  
1.3    Objective of Study
          The objectives of the study are enumerated as follows:
Examine the effects of pension schemes on the average Nigerian workers
Ascertain difficulties associated with the administration of the scheme.
Cross check methods in which schemes are run.
Recommendation on row to solve difficulties.
1.4    Significance of the Study
          The significance or import of this study is such that would be a useful parameter in the following ways:
Reward for loyal service
Promote efficiency within an organization by making it possible for older employees to retiree without fear of poverty and wretchedness.
Help employers attract the right types of staff and retain them.
Encourage good employer/employee relationship the study will also be an invaluable contribution to the following groups:
a.   Employers of labour
b.   State and local government Authorities
c.   Management and staff of the Nigerian social insurance trust fund
d.   Federal government
e.   Insurance and brokerage companies
1.5    Scope of the Study  
        The scope of this study will be limited to Enugu State and focus on two public limited companies Nigerian Railway Corporation (NRC) and NNPC but focusing mainly on Nigerian Nationally Petroleum Corporation (NNPC). It is anticipated that the result of this research would provide valuable insight for a possible re-valuation of not only the target companies but other companies administration of pension scheme.