SOCIAL PROTECTION POLICY AND WELFARE ADMINISTRATION IN NIGERIA. A STUDY OF CONTRIBUTORY PENSION SCHEME

This study examined social protection policy and welfare administration in Nigeria, with particular focus on the Contributory Pension Scheme (CPS). The study was undertaken against the background of the increasing importance of pension administration in protecting workers and retirees from economic insecurity associated with old age and retirement. The study specifically examined the extent to which the Contributory Pension Scheme had contributed to the welfare of workers and retirees, determined the effect of CPS administration on access to retirement benefits, and assessed the effect of the scheme on the financial security of retirees. Three research questions and corresponding null hypotheses guided the study. The study adopted a survey research design. The population comprised 844,000 retirees receiving retirement benefits under the Contributory Pension Scheme in Nigeria. Using the Krejcie and Morgan sampling approach, a sample size of 384 respondents was determined, while 379 properly completed questionnaires were used for the final analysis. Data were collected through a structured questionnaire and analysed using descriptive statistics and the Chi-square statistical technique at the 0.05 level of significance. The findings revealed that the Contributory Pension Scheme had a significant effect on the welfare of workers and retirees in Nigeria, as the calculated Chi-square value of 429.84 exceeded the critical value of 7.815. The study also found that the administration of the CPS had a significant effect on retirees' access to retirement benefits, with a calculated Chi-square value of 321.05, which was greater than the critical value of 7.815. Furthermore, the study established that the CPS had a significant effect on the financial security of retirees, with a calculated Chi-square value of 380.30 exceeding the critical value of 7.815. The study concluded that the Contributory Pension Scheme constitutes an important instrument of social protection and welfare administration in Nigeria by providing retirement income, improving access to pension benefits and strengthening the financial security of retirees. However, the effectiveness of the scheme depends substantially on efficient administration, timely payment, adequate benefits, transparency and effective regulatory supervision. The study therefore recommended that PenCom and Pension Fund Administrators should strengthen pension administration by simplifying verification and documentation procedures, improving communication with retirees, and ensuring timely processing and payment of retirement benefits. It also recommended improved measures for ensuring the adequacy of pension benefits in the face of rising living costs.