Retirees under the Contributory Pension Scheme in Lagos State have threatened to stage a protest on August 31 if the state government fails to implement a proposed pension increase by August 19.

The pensioners, under the Lagos State Council of the Nigeria Union of Pensioners, Contributory Pension Scheme, said they had become frustrated by what they described as prolonged delays by the Lagos State Pension Commission in processing the adjustment.

The ultimatum was contained in a July 31, 2026, letter signed by the council chairman, Michael Omisande, and addressed to Governor Babajide Sanwo-Olu.

The retirees said the proposed increase followed a template transmitted to the Lagos State Government in January by the national leadership of the NUP, CPS, for the implementation of the pension increase/wage award approved for federal retirees.

They said the matter had also been discussed at a meeting convened by Sanwo-Olu at the Government House, Alausa, on May 22, 2025, attended by representatives of the pensioners, the Lagos State Pension Commission and members of the state cabinet.

According to the pensioners, Deputy Governor Obafemi Hamzat subsequently intervened in the matter, while the Director-General of the Lagos State Pension Commission, Babalola Obilana, confirmed receipt of the template.

They said Obilana informed them that an actuary had been engaged in February to determine the financial implications of implementing the increase for Lagos’ CPS retirees.

The pensioners, however, said they were yet to see the adjustment implemented.

“Till date, LASPEC has been foot-dragging, and things are no longer at ease with us,” they said.

They further said that during a visit to LASPEC in May, the commission’s Director-General informed them that the actuary had submitted its report but that further clarification was required before it could be forwarded to the governor for consideration and approval.

The retirees said the delay was taking a toll on pensioners who depended on their monthly payments for their basic needs.

“We are dying daily due to paucity of funds to take care of ourselves after serving the state meritoriously for 35 years,” they said.

Consequently, the union directed the state government to ensure that the relevant pension accounts were credited through the Pension Fund Administrators by August 19.

“In view of the foregoing, sir, we are compelled to issue an ultimatum, effective 1st August, 2026, to the State Government to credit our accounts at the various Pension Fund Administrators, PFAs by 19th of August, 2026,” the letter stated.

The pensioners warned that failure to meet the deadline would result in a mass demonstration.

“If our demands are not met, sir, at the expiration of the ultimatum, over 50,000 CPS pensioners will have no choice but to stage a ‘Mother of Protest’ on Monday 31st August, 2026,” they warned.

Reacting to the development, the Lagos State Government said it had not received funds from the Federal Government for the pension increase and was funding the additional liability for eligible state pensioners from its own resources.

The government said the claim that federal funds meant for pensioners were being held by the state in a bank to generate interest was incorrect.

It said Lagos had already implemented the approved increase for eligible pensioners under the Defined Benefits Scheme, while the process for CPS retirees was still ongoing.

According to the government, the difference in the treatment of the two schemes was due to the structure of the CPS and the need to determine the state’s financial exposure before implementation.

“Given the structure of the CPS and the need to determine the state’s full financial exposure accurately, an independent actuary has been engaged to assess the liability and provide the appropriate basis for implementation,” the government said.

It added that comprehensive data on affected CPS pensioners had been requested from relevant PFAs and Approved Existing Schemes/Administrators to validate the number of eligible beneficiaries, determine the applicable adjustments and establish the overall financial implications.

The government therefore rejected the suggestion that it was deliberately delaying or withholding the benefit.

“The Lagos State Government, therefore, wishes to assure its pensioners that there is no deliberate delay or withholding of funds.

“The necessary work is being undertaken to ensure that the CPS component is implemented accurately, transparently and sustainably,” it said.

The government also said pensioners under the Defined Benefits Scheme were already receiving the enhanced pension.

It explained that where a Lagos retiree’s pension included a Federal Government component, the increase on that portion had already been paid by the Federal Government, adding that Lagos would not duplicate the payment.

The state government said it remained committed to the welfare of pensioners and urged them to be patient as the process for the CPS beneficiaries was completed.