An exploratory study of workers’ participation in pension scheme. Examples from a Nigerian university

Abstract

One of the major problems faced by workers in most developing countries of the world had been the challenges of survivals after retirement particularly as it relates to pension and gratitude payment. That is why; non payment or irregular payment of pension had contributed greatly towards poverty among the retirees in Africa region of the world. With the reformed pension scheme in Nigeria, the perspectives of workers about the scheme become imperative for socio-economic development. This study aims at examining (1) to assess the relationship between demographic profile of workers and their preparation for retirement vi-avis expectations from pension reforms in Nigeria. (2)To investigate fertility behaviour of workers in close association to pension issues. (3)To examine gender response to retirement and pension issues among University Workers in Olabisi Onabanjo University, Ogun State. The study was conducted in Olabisi Onabanjo University, Ago Iwoye, and Nigeria. 200 workers were selected through quota sampling methods from five Faculties of the University for the study. Results indicated that concern for survival at old age accounted for most workers’ interest in the pension scheme. Religion of the respondents correlated significantly with workers’ perceptions about pension reforms (chi-square value of 12.709, degree of freedom 6and assumption level of significance as 0.048,) with their participations in the reformed pension scheme. Other variables like age, education, sex and living number of children maintain no significant relationships. The study found out that(1) workers who are younger in age express more concern about old age than their older counterparts and hence seek alternatives for pension through investments than their older counterparts. (2)Respondents’ religion maintains a great influence on their preparation for old age and pension scheme.(3)Respondents with higher educational qualification are more involved in pension scheme and preparation for old age than those with lower level of education. (4)There is a changing trend in fertility behaviour of most workers in Olabisi Onabanjo University, Ago-Iwoye. Desired numbers of children now range between 1-2. Yet, children are still perceived as security for old age. (5)Men express more concern about life after retirement and old age than their female counterparts, they alley their fear through savings, investments and participation in pension scheme than women. The study concludes that, workers major concern about the pension scheme in Nigeria is in its implementation and payment vis-a-vis corruptions that are likely to exit.