On attainment of age 60, the employer submits a completed benefits form on behalf of the retiring member. The benefits are computed and paid as follows :
- with at least ten years scheme membership, the retiring member receive a gratuity and is also paid a periodic pension.
- With less than ten years scheme membership, the retiring member receives lump sum payment. No periodic pension is paid.
VOLUNTARY RETIREMENT BENEFIT
Members who wish to retire prematurely for immediate benefit may do so at the age 45 and must have completed a minimum pensionable service period.
- With at least ten years scheme membership, the retiring member receives a gratuity and a periodic pension.
- With at least five years membership, the member receives a lump sum.
RETIREMENT ON GROUNDS OF ILL HEALTH
A member may prematurely be retired on grounds of ill health and disability. However such retirement must be advised by a medical authority. Upon the advice of a medical authority, a member is paid benefit relating to ill health. The benefit payable is proportional to the degree of disability suffered by the member.
When a member institution of the pension scheme is obliged to down-size its workforce or close operations entirely some or all its staff are laid redundant. Staff who may be laid off in such an exercise will be paid redundancy benefit. Lay off members who have completed ten years pensionable service will be paid a gratuity and periodic pensions. Those with less than ten year’s scheme membership will be paid a lump sum.
When a member dies whilst in active service, a survivor’s benefit is paid to the defendants. The benefits payable is at least twice annual salary of the deceased member. However, the claim must be supported by the death certificate of the deceased member.
THE PENSION BENEFITS COMPUTATION FORMULA
The benefit computation formula for the pension scheme is s follows :
- 1/600 x completed months of service x terminal salary; OR
- 1/480 x completed months x terminal salary plus fixed allowances.