TRANSPARENCY, COMPLIANCE AND SUSTAINABILITY OF CONTRIBUTORY PENSION SCHEME IN NIGERIA

Authors

  • Olanrewaju Atanda Aliu University of Ilorin, Kwara State, Nigeria
  • Mohamad Ali Abdul-Hamid UPM Serdang, Malaysia
  • Salami Suleiman Ahmadu Bello University Zaria
  • Salam Mudathir Olanrewaju Federal Inland Revenue Service, Nigeria

DOI:

https://doi.org/10.57233/gujaf.v4i1.204

Keywords:

Compliance, Transparency, Contributory Pension Scheme, Nigeria

Abstract

Policymakers have taken cognisance of necessity to improve the transparency and compliance level among parameters of pension reforms. Empirical literature found positive roles of transparency and compliance toward the achievement of pension reform objectives such as sustainability. However, the level of transparency and compliance of pension fund managers and employers of labour under the contributory pension scheme in Nigeria leaves much to be desired. Thus, this study examined the effects of transparency and compliance on the sustainability of the Nigerian contributory pension scheme. Data was collected with the use of survey questionnaires administered on purposive sampling method on the managerial level staff of contributory pension operators and active participants enrolled in the scheme. The data collected was analysed using partial least square structural equation modelling with the aid of Smart PLS statistical application. The results showed that transparency has positively significant effect on the sustainability of contributory pension scheme in Nigeria while compliance has positive but insignificant effect. The study recommends the need for National Pension Commission as the regulator of the contributory pension scheme to strengthen its capacity to enforce adequate transparency and compliance level among the operators and employers of labour in contributory pension scheme in order to achieve not only the sustainability but other objectives of contributory pension reform.

Author Biographies

Olanrewaju Atanda Aliu, University of Ilorin, Kwara State, Nigeria

Department of Accounting,
University of Ilorin, P. M. B. 1515. Ilorin Nigeria.

Mohamad Ali Abdul-Hamid, UPM Serdang, Malaysia

CA (M) Professor, Putra Business School,
UPM Serdang, Malaysia

Salami Suleiman, Ahmadu Bello University Zaria

Department of Accounting,
A.B.U Business School,
Ahmadu Bello University, P. M. B. 1013, Zaria, Nigeria.

Salam Mudathir Olanrewaju, Federal Inland Revenue Service, Nigeria

Federal Inland Revenue Service, Nigeria

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Published

2023-08-11

How to Cite

Aliu, O. A., Abdul-Hamid, M. A., Suleiman, S., & Olanrewaju, S. M. (2023). TRANSPARENCY, COMPLIANCE AND SUSTAINABILITY OF CONTRIBUTORY PENSION SCHEME IN NIGERIA. Gusau Journal of Accounting and Finance, 4(1), 135-150. https://doi.org/10.57233/gujaf.v4i1.204