The Pension Transitional Arrangement Directorate (PTAD) has announced the commencement of implementation of the newly approved pension increments for retirees under the Defined Benefit Scheme (DBS), confirming that the adjustments will be reflected in the September 2025 payroll cycle.
In a statement signed by Management and posted on its official X handle on Tuesday, PTAD disclosed that the increase package includes a fixed ₦32,000 payment alongside percentage increments of 10.66% and 12.95% for eligible categories, covering about 832,000 pensioners under its management.
Recall that in August, PTAD announced that President Bola Tinubu had approved a series of measures to improve welfare benefits for DBS pensioners.
The approval followed a formal request by PTAD’s Executive Secretary, Tolulope Odunaiya, seeking an emergency budgetary allocation to implement pension reforms and enhanced welfare packages for retirees.
The measures approved include a ₦32,000 pension increment, percentage increases for pensioners of defunct and privatised agencies, pension harmonisation for all DBS retirees, enrolment into the National Health Insurance Scheme (NHIS), and the settlement of long-standing unfunded pension liabilities.
According to PTAD, the partial release of ₦820.188 billion by the Federal Ministry of Finance, from the ₦845 billion emergency funding earlier approved by the Federal Government, has now made it possible for pensioners to start receiving the enhanced payments immediately.
The statement read:
“Further to the President’s approval of the emergency budgetary allocation for the payment of the new pension increment rates for Pensioners under the Defined Benefit Pension Scheme (DBS) that was earlier published by the Pension Transitional Arrangement Directorate on Friday, 8th August, 2025, the Directorate is delighted to announce the commencement of the implementation of the 832,000, 10.66% and 12.95% pension increment for eligible pensioners under the management of PTAD, in the September 2025 pension payroll cycle.
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“This achievement has been made possible through the partial release of 820.188 billion by the Federal Ministry of Finance, from the initial 845 billion emergency funding approval granted by the Federal Government.
“This milestone clearly reaffirms the Federal Government’s dedication to safeguarding the welfare and entitlements of DBS Pensioners in line with the Renewed Hope Agenda.”
The Directorate expressed gratitude to President Bola Ahmed Tinubu for approving the emergency allocation, while also acknowledging the role of the Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun; the Minister of State for Finance, Dr Doris Uzoka-Anite; the Accountant-General of the Federation; key presidential aides; and parliamentary committees for their “timely interventions” and support.
PTAD also commended organised pension groups, including the Nigeria Union of Pensioners and the Federal Parastatals and Private Sector Pensioners Association of Nigeria, for their cooperation during negotiations and planning.
The statement added: “We further assure all our DBS Pensioners and Stakeholders that the Directorate will continue to collaborate with the relevant authorities towards release of the outstanding approved funds and subsequent fulfilment of all future obligations relating to the pension increments and the landmark reforms.”
The Defined Benefit Scheme covers pensioners who retired before the introduction of the Contributory Pension Scheme in 2004, including those from defunct public institutions, privatised agencies, and treasury-funded parastatals.
Over the years, many retirees have faced irregular payments, delayed harmonisation, and inadequate healthcare access, challenges that the new reforms are expected to address.