ASSESSMENT OF THE IMPACT OF THE CONTRIBUTORY PENSION SCHEME ON NON-ACADEMIC STAFF: A CASE STUDY OF FEDERAL POLYTECHNIC, OFFA, NIGERIA (2019–2024)

Abstract

This study determined the impact of Contributory Pension Scheme (CPS) on non-academic staff of Federal Polytechnic, Offa, Nigeria, spanning from 2019 to 2024. The study specifically examined the timeliness and adequacy of pension disbursement, assessed the socio-economic and psychological impacts of delayed or inadequate pension benefits on retired staff, examined administrativeand institutional problems affecting CPS implementation and established how perceived CPS performance affects staff morale and retirement preparedness. A descriptive survey research design was adopted and the method of data collection was a quantitative approach. The population of the study group was non-academic staffs of Federal Polytechnic Offa, while the sample was 250 non-academic staffs for the general assessment and 80 for the welfare effect analysis. Data were collected by using structured questionnaire and analysis was performed by using (SPSS) which used descriptive, one sample t-test, Pearson correlation, Regression analysis, Relative Importance Index (RII). Findings showed that respondents considered pension disbursement under CPS to be significantly untimely (Mean = 2.41, p < 0.05) and inadequate (Mean = 2.58, p < 0.05). The results further revealed high significant association between pension delay/inadequacy and the socio-economic hardship (r = 0.681, p < 0.01) and psychological distress (r = 0.624, p < 0.01) among retirees and significantly predicted both welfare outcomes. Administrative bottlenecks were identified as a limiting factor for CPS implementation, where documentation and verification delays were found to be the most serious challenge (RII = 0.842). Additionally, perceived CPS performance was found to have a significant effect on staff morale and staff's readiness to retire (R = 0.742; R2 = 0.551; p < 0.05). The study concludes that CPS effectiveness in the institution is still limited by administrative inefficiencies and the perceived inadequacy of the benefits, thus undermining retirement welfare and confidence of staff. It recommends better remittance accountability, pension desk operations, documentation processes and pension literacy programmes to continue improving CPS outcomes for non-academic staff.