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The National Pensions Regulatory Authority (NPRA) has issued a stern warning to employers in Ghana, urging them to immediately register and remit Tier 2 pension contributions for their employees or face legal action.
During a media engagement in Accra on April 9, 2026, NPRA emphasized that failing to comply with the provisions of the National Pensions Act 2008 (Act 766) is a punishable offence and poses a serious threat to the retirement security of workers.
The Chief Executive Officer of NPRA, represented by Deputy CEO Victor Azuma Mejida, highlighted that some employers have neglected to register Tier 2 occupational pension schemes, while others have been deducting pension contributions from employees’ salaries without remitting them to the trustees.
“These violations of workers’ rights will not be tolerated. Employers must cease such actions immediately, or they will face prosecution,” the Authority warned.
NPRA stressed the severe implications of non-compliance, underscoring that the failure to pay pension contributions jeopardizes employees’ future financial security. “Not paying these contributions is detrimental to the worker’s future,” the statement emphasized.
In a bid to strengthen enforcement, NPRA reported that in 2025, it successfully prosecuted 11 non-compliant employers and recovered over GH¢27 million—about 30 percent of the estimated GH¢91 million in unpaid contributions.
The Authority has deployed compliance officers nationwide to conduct inspections of company records, issue demand notices, and pursue legal action where necessary. Employers who fail to pay are also subject to a 3 percent monthly compounding penalty on overdue contributions.
To bolster its efforts, NPRA has trained 44 prosecutors across the country and intensified inspections in line with its legal mandate. “It is a legal offence to default on the pension contributions of your employees,” the Authority warned, assuring that sanctions would be strictly enforced.
Under Section 3 of Act 766, all employers, regardless of size, are required to enroll workers in a Tier 2 occupational pension scheme and ensure timely payment of contributions. The NPRA further clarified that failure to even register a pension scheme constitutes a breach of the law.
The Authority is also calling on the media and the public to support its efforts by exposing employers who are defaulting on their pension obligations. This collaboration is crucial in safeguarding the pension rights of Ghanaian workers.
NPRA reiterated that pensions are a vital aspect of financial security and dignity for workers, reinforcing its commitment to enforcing compliance and protecting the retirement income of employees across the country.
Story by Efua Nessa
Source :Loco tv