PTAD Begins Pension Harmonisation for DBS Retirees
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PTAD Begins Pension Harmonisation for DBS Retirees
By Alabidun Shuaib AbdulRahman
The Pension Transitional Arrangement Directorate, PTAD has commenced the implementation of pension harmonisation for eligible pensioners under the Federal Defined Benefit Scheme, with effect from May 2026.
The Directorate said the development followed the approval granted by President Bola Tinubu in August 2025 for the inclusion of the pension harmonisation policy in PTAD’s 2026 budget, in line with the administration’s Renewed Hope Agenda.
In a statement issued by the Head of Corporate Communications, Olugbenga Ajayi, PTAD described the exercise as a major milestone in addressing long-standing disparities in pension administration under the Defined Benefit Scheme.
According to the agency, the harmonisation policy is designed to eliminate structural inequalities that existed in pension payments and ensure fairness among retirees with similar service records.
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The Executive Secretary of PTAD, Tolulope Odunaiya, said the intervention would restore confidence in the administration of the Defined Benefit Scheme and provide a more equitable pension structure for retirees.
“This intervention represents a significant step toward ensuring a more equitable structure and restoring confidence in the administration of the Defined Benefit Pension Scheme,” Odunaiya said.
She added that the initiative reflected the Tinubu administration’s commitment to the welfare of retirees and its determination to address structural imbalances affecting pensioners.
PTAD explained that before the harmonisation, pensions were calculated based on the salary structure in place at the time each retiree left service.
Under the new arrangement, however, pensions will be computed using the last salary structure applicable before the Defined Benefit Scheme was discontinued.
The Directorate said the new system would ensure that pensioners with the same rank, grade level and years of service receive comparable pension benefits regardless of when they retired.
According to PTAD, beneficiaries of the policy include Pure Federal Pensioners whose pension liabilities are fully borne by the Federal Government, as well as eligible State and Federal Share Pensioners under the Parastatals Pension Department, Defunct and Transferred Agencies Pension Department, and the Tertiary Education and Health Pension Department.
The agency added that pensioners who initially served under the Federal Government before transferring to state government ministries, departments and agencies, as well as retirees whose pensions were calculated on older salary structures, would also benefit from the harmonisation exercise.
Odunaiya reaffirmed the Directorate’s commitment to improving the welfare of retirees through sustained collaboration with relevant government agencies.
She said PTAD would continue to pursue initiatives aimed at enhancing the well-being of pensioners in line with the Federal Government’s social welfare objectives and commitment to justice for retired public servants.
