The National Pension Commission (PenCom) and the National Union of Road Transport Workers (NURTW) have initiated discussions for a partnership to bring an estimated nine million transport workers under Nigeria’s Contributory Pension Scheme through the Personal Pension Plan.
This significant development was announced following a courtesy visit by NURTW National President Musiliu Akinsanya, also known as MC Oluomo, to PenCom’s Director-General, Omolola Oloworaran, at the commission’s headquarters in Abuja.
The engagement focused on extending pension coverage to transport workers in the informal sector and exploring viable financing models for the acquisition of modern mass-transit vehicles across the country. PenCom highlighted that this collaboration could substantially enhance pension and financial inclusion for workers in motor parks, logistics, and urban transport networks.
Akinsanya emphasized the NURTW's extensive nationwide reach and large membership as a prime opportunity to include transport workers who have historically been excluded from formal pension systems. The union has proposed a three-part framework: mass enrollment into the Personal Pension Plan, an automated daily contribution system linked to existing revenue collection platforms, and a National Transport Workers Mobility Enhancement Programme.
This programme is designed to facilitate access to modern vehicles through structured financing. A key component involves establishing a sustainable financing framework, supported by development finance institutions and commercial banks, to enable transport operators to acquire vehicles. Daily collections from operators would be channeled through union structures to service vehicle financing and fund individual pension accounts, aiming to improve repayment efficiency and encourage long-term savings.
Oloworaran welcomed the proposal, commending the NURTW for its commitment to social protection and economic empowerment for its members. She described the initiative as a “bold intervention that could significantly advance pension inclusion in the informal sector and contribute to broader economic development goals.”
PenCom reaffirmed its dedication to collaborating with the NURTW and other stakeholders to develop practical implementation pathways. Broadening pension coverage remains a key priority for PenCom, aligning with efforts to strengthen financial inclusion and improve the economic well-being of Nigerians.
The proposed partnership also supports key pillars of the Federal Government’s Renewed Hope Agenda, including social protection, poverty reduction, economic empowerment, financial inclusion, and transportation sector reform. Oloworaran noted that this initiative represents one of the most ambitious pension inclusion drives targeting Nigeria’s informal sector in recent years.
The successful implementation of this partnership could significantly expand Nigeria’s pension contributor base, enhance retirement security for millions of transport workers, and establish a sustainable framework for modernizing public transportation nationwide. Both organizations expressed optimism that the collaboration could evolve into a flagship national program, delivering substantial socio-economic benefits and extending social security to underserved segments of the workforce.
The Personal Pension Plan, introduced by PenCom, is designed for self-employed individuals and informal sector workers not covered by the mandatory Contributory Pension Scheme. It allows for flexible retirement savings and provides access to a portion of contributions under specified conditions.
