Mass resignation hits FAAN

According to Tribune, the country's aviation sector especially the Federal Airports Authority of Nigeria (FAAN) may soon be confronted with shortage of manpower following the conclusion of 30 per cent of its total 6, 000 work force to tender their resignation letters, because of the new pensions scheme propelled by the National Pension Commission (PenCom).

PenCom had few months ago, written the management of FAAN directing it to migrate from its internal pension scheme to the new scheme of PenCom latest by March 31st, 2014 as against the 2015 earlier announced.

If the new pension scheme is followed by the FAAN management, it means the pensionable staff, particularly those who have put in at least 10 years in service or attain the age of 45 years will have their monthly retirement benefits reduced by over 90 per cent.

If the new policy becomes a reality for instance, a level 17 officer whose basic salary is about N320, 000 and entitled to the sum monthly after retirement, will now earn between N22, 000 and N25, 000 monthly as monthly benefit.

PenCom had in the letter warned FAAN staff that anyone who refuses to tender resignation letter on or before the deadline would automatically be migrated to the new scheme and equally advised the pensionable staff who don't want to migrate to the new system to tender resignation letters immediately.

With this directive, those who have spent close to 30 years in the system or have few years left to spend in the agency, have since turned in their resignation letters in drove, a situation, which is currently causing panic in FAAN.

The mass resignation according to information has further compounded the situation as the FAAN management is said to have refused to honour the resignation letters due to inadequate funds to pay the gratuities and other retirement benefits of those who have tendered resignation letters.

"There is a serious crisis in FAAN over this new pension scheme, which PenCom is bent on implementing very soon. In fact, most staff who are pensionable have indicated interest to leave the system because they don't want to be caught up with the new system, but FAAN is finding it difficult to pay them.

"Also, there is a fear within the management that if the staff resigns enmasse, there will be a large vacuum in the system as the experienced hands would leave the system without adequate covers for those on ground. It is an issue presently generating controversies in the agency", a source in FAAN hinted.