All the above challenges have culminated in what we have described as a preference by our respondents for the DBPS than CPS as shown in figure 5
45% of the respondents in figure 5 prefer the DBPS, while 34% of the respondents prefer the CPS.
One offensive feature in the 2004 CPS Act is the fact that the retirees' monthly percentage pension is lower than the percentage pension that retirees in the DBPS receive.
Participation--Our discussion and analysis of respondents' opinions to one of our questions shows that the Nigerian workers prefer the DBPS to CPS.
If the government can pay 80% of workers salary while in service as pension to DBPS retirees, it is illogical for retirees who contributed to their pension funds to receive less than their FFDBPS counterparts.
The inadequate CPS benefits (statutory 50% of monthly emoluments which is far less than that in practice) about one quarter in relation to the DBPS benefits (80% of monthly emoluments) should not in any be jeopardized.
The reasons for Nigerian workers' preference for the DBPS may not be unconnected with inadequate information at their disposal, the fact of their noninvolvement in the decision processes leading to the establishment of the scheme, (see figure 2) and the immediate monetary value that they are denied by their contribution of a part of their salaries to pension fund.
The fact that monthly or quarterly pension benefits in CPS are not as high as in DBPS (80% in DBPS and legally not less than 50% in CPS, which is far less in practice, about one quarter of the retiree's monthly emoluments while in service) is also worth noting.
The paper, however, found that the CPS has positive potentials over the DBPS and has, therefore, proffered suggestions to enhance the workability and acceptance of the CPS.