Ogun State Governor Dapo Abiodun has announced the full implementation of the Contributory Pension Scheme (CPS) as part of efforts to resolve the ongoing workers’ strike that has disrupted public services across the state.
Speaking on Thursday, July 18, 2025, during a meeting with labour leaders at the Governor’s Office in Oke-Mosan, Abeokuta, Governor Abiodun confirmed that the pension scheme took effect on July 2, marking a major policy shift aimed at restoring workers’ confidence.
“This is not just a policy adjustment, it is a commitment to ensuring that our workers are not deprived of what is rightfully theirs,” the governor said.
To address outstanding pension liabilities, the state government unveiled a 10-year repayment plan, structured in two five-year tranches. The plan is expected to be completed by 2035 and will be passed into law to ensure implementation beyond the current administration.
Beyond pension reforms, the governor also approved the long-awaited implementation of staff promotions for 2023 and 2024. Workers promoted in 2023 will begin receiving salary increases from September 2025, while those promoted in 2024 will receive theirs by December 2025—three months earlier than originally scheduled.
The announcements come in response to an indefinite strike launched by the Nigeria Labour Congress (NLC) in Ogun State over the government’s alleged failure to remit pension deductions, implement the national minimum wage, and address other long-standing issues.
On Monday, the NLC Ogun State Chairman, Comrade Demola Hammed-Benco, issued a directive for all civil and public servants to withdraw their services, citing the government’s non-compliance with the CPS as mandated by the 2008 Ogun State Pension Reform Law, amended in 2013.
Governor Abiodun described the strike action as “unnecessary and avoidable,” insisting that the matters could have been resolved through dialogue. “There was no need for industrial action when we could have sat down to iron out the issues,” he said, while urging labour leaders to prioritize negotiation in future disputes.
Nonetheless, he maintained a conciliatory tone, thanking the unions for their cooperation and acknowledging their role in sustaining Ogun State’s investment-friendly image. He added that his administration had already put structural mechanisms in place to guarantee a smooth rollout of the CPS and secure the future of retirees.
Labour leaders present at the meeting—Comrade Hammed-Benco (NLC), Comrade Hakeem Lasisi (TUC), and Comrade Isa Olude (Joint Negotiating Council)—welcomed the governor’s steps and acknowledged his openness to workers’ demands.
They apologized for the impact of the strike, clarifying that the action was not meant to destabilize the state but to protect workers’ rights. The union representatives pledged continued cooperation with the government and reaffirmed their commitment to ensuring that Ogun State remains Nigeria’s industrial hub.
As the government moves forward with its pension and promotion commitments, both parties appear to have reached a turning point in their strained relationship, setting the stage for renewed collaboration and long-term industrial peace.