GUIDELINES FOR CROSS-BORDER ARRANGEMENTS UNDER THE PENSION REFORM ACT
Guideline · Labour
Guidelines govern the handling of Nigerian pension rights for workers moving between countries, including portability of savings. They target Nigerian workers abroad, foreign nationals in Nigeria, and multinational employers. The aim is to facilitate seamless pension transfers and prevent loss of entitlements.
GUIDELINES FOR CROSS-BORDER ARRANGEMENTS UNDER THE PENSION REFORM ACT
What Is This Policy?
PenCom guidelines governing how Nigerian pension rights and obligations are handled when a worker moves between Nigeria and another country, including portability of pension savings and treatment of foreign workers in Nigeria.
Who Does It Target?
Nigerian workers employed abroad with accumulated Nigerian pension savings Foreign nationals working in Nigeria subject to the CPS Multinational employers with cross-border workforces PFAs managing internationally mobile contributor accounts
What Does It Aim to Achieve?
Facilitate the portability of pension rights for mobile workers, provide clarity on cross-border pension obligations, and ensure Nigerian workers do not lose pension entitlements when working internationally.
Key Features
RSA Portability: Allows Nigerian workers returning from abroad to continue contributing to or drawing from their existing RSA. Foreign National Coverage: Defines the conditions under which foreign nationals employed in Nigeria are subject to the Contributory Pension Scheme. Bilateral Arrangement Framework: Provides a template for bilateral social security agreements between Nigeria and other countries. Benefit Access Abroad: Addresses how Nigerian retirees living abroad may receive pension payments.
Current Status
Rollout Stage: Active Coverage: Nigerian workers with international employment history; foreign workers in Nigeria Beneficiaries: Internationally mobile workers; expatriate employees in Nigeria Funding: Not applicable
How to Access
Notify your PFA of a change in employment or country of residence Foreign workers: register for an RSA if exempt from home country scheme Retirees abroad: provide bank account details for international pension transfers Application method: Contact your PFA or PenCom for cross-border arrangement guidance.
Important Terms
No bilateral social security agreements currently in force; workers may be subject to double contributions in some jurisdictions RSA cannot be surrendered for a lump sum before retirement age solely due to departure from Nigeria Fraudulent claims for cross-border pension rights are prosecuted
Official Resources
Website: https://www.pencom.gov.ng Contact: National Pension Commission (PenCom)
Legal Framework
Issued under the regulatory powers of the National Pension Commission (PenCom) pursuant to the Pension Reform Act 2014. Implements portability provisions consistent with ILO Convention No. 157 on the Maintenance of Social Security Rights, the ECOWAS Protocol on the Free Movement of Persons, and bilateral social security arrangements. Operates alongside the Immigration Act 2015 and the Labour Act.