Private Sectors Vs Government Sectors: Who Provide Better Pension Rates?

Good-Guy

VIP Contributor
I believe that there are many people who are currently relying on pensions in order to live life because at an elderly age they have no other choice but to survive on pension. Not all the elderly people have the resources of starting their own businesses. This is because there are many people who spent their entire life working jobs and they never start their own businesses in their lives. When it comes to pension there are many governmental organizations as well as various private organizations that provide pensions, but I am curious about which sectors offers better pension rates to their retired employees? In my country, the condition of the governmental organizations is too poor, so I do not think that they could offer better pension rates. What about your country? Which sector is much better in terms of pension?
 

Bard Racheal

Active member
The private sector is preferable to that of the government.

Many of these retirees has been facing hurdles when it comes to government paying there wages.

Most times when I listen keenly to the radio,I hear the complaints of those retirees also the cry of their kinsmen, pleading to the government to pay them their wages.

Why I include kinsmen?
Some of these people who work for the government sector,are being denied their wages,at the long run ,they die in their working position.
Then,their kinsmen comes to plead on radio and in television, trying to make their voice heard by the government,if they can hear their plea to release their gratuities.

But for that of the private sector, it's not all that pronounced, about them not paying their workers.

For the government;it may be that the governor himself or president has issued out the certain amount to clear up the monthly arias of their workers,but the people in charge of the distribution must have swapped the money into other things as they feel it's right to their eyes, neglecting their workers.

If it's being noticed that the private sector hasn't paid yet,their office is at their reach, the workers can go there at anytime to lay their complaint of not being paid.

But with the government; it's not so easy, except there's a certain figure head who would go on the behalf of those workers. And this process would take a very long time if care is not taken.
 

Kingsley

Valued Contributor
When considering the answers to this question we will have to look at the type of country, their economic structure, the strength of the economy. Now if I should use my country here in west Africa (Nigeria) as a case study, first the country is severely broke and pensioners are suffering because if those that are working are not been paid adequately let alone the pensioners, many of the pensioners are been owed months of their due payments. So in that regards I would say pension under the governmental structure is worse off while that of private structure could be more preferred.
 

Good-Guy

VIP Contributor
When considering the answers to this question we will have to look at the type of country, their economic structure, the strength of the economy. Now if I should use my country here in west Africa (Nigeria) as a case study, first the country is severely broke and pensioners are suffering because if those that are working are not been paid adequately let alone the pensioners, many of the pensioners are been owed months of their due payments. So in that regards I would say pension under the governmental structure is worse off while that of private structure could be more preferred.

The situation of my country is also the same. There are many government employees who have been suffering and they have to wait for a long time to receive pension. The government is suffering from crisis and I think private sectors are performing much better and this is the reason why they are able to pay better pension rates as compared to the government. Do private sectors pay better rates in Nigeria?
 

General01

Active member
I believe that there are many people who are currently relying on pensions in order to live life because at an elderly age they have no other choice but to survive on pension. Not all the elderly people have the resources of starting their own businesses. This is because there are many people who spent their entire life working jobs and they never start their own businesses in their lives. When it comes to pension there are many governmental organizations as well as various private organizations that provide pensions, but I am curious about which sectors offers better pension rates to their retired employees? In my country, the condition of the governmental organizations is too poor, so I do not think that they could offer better pension rates. What about your country? Which sector is much better in terms of pension?
That's exactly the case in my dear country
Nigeria,
It is very poor in terms of the amount and pay-time
And it's not all companies that offer the privilege of pension to their workers
 

xmbferreira

New member
I believe that there are many people who are currently relying on pensions in order to live life because at an elderly age they have no other choice but to survive on pension. Not all the elderly people have the resources of starting their own businesses. This is because there are many people who spent their entire life working jobs and they never start their own businesses in their lives. When it comes to pension there are many governmental organizations as well as various private organizations that provide pensions, but I am curious about which sectors offers better pension rates to their retired employees? In my country, the condition of the governmental organizations is too poor, so I do not think that they could offer better pension rates. What about your country? Which sector is much better in terms of pension?
I would suggest looking int diverse industries - stocks and bonds in international markets or put some into a crypto wallet
 

funmi

Verified member
Obviously, in my country, government sectors pays better pension rates than their private counterparts. In fact, that is the major reason why many people struggle and try all their best to get a government job at any cost.
The only private sector that I know that pays their retirees are the big companies and oil companies too. In the sector where I work which is teaching profession, if you like spend 30years in their school and work very hard, when you want to retire they will just give you some amount of money as a disengagement money and nothing more than that.
I have a practical example in my school. A woman worked for my boss a cleaner for 24years in my school, in fact, she is the oldest staff in age and experience. She started falling sick at some point and she was diagnosed of chronic ulcer. She had no choice but to retire one day. After she retired, my boss gave her two hundred thousand naira(#200,000) in our country money and that was all.
Whereas, my boss new she was supposed to go for surgery. That is a practical example of how private sectors treat people who retired from their place of work.
 

Good luck

Verified member
The difference between private and government sector is very wide.You can't compare both when it comes to finance Job security and retirement.You get all these from government job combined with other renumeration apart from major salary.You also work less in government establishment but the reverse is the case in private job.You work tirelessly getting stipends.
 

Alexandoy

VIP Contributor
To be honest, I really don't know about the pension plan of insurance companies here although I know that some of my colleagues (the younger ones in the office) had taken a policy for their pension. The government pension here is very limited and I think it is only $200 per month as the maximum and that would depend on the number of monthly contributions that you had made. For the minimum pension, you need to contribute at least 120 months and over that will increase your pension from the minimum. The amount of contribution is also a factor when the monthly pension is computed. Nevertheless whatever you contribute the amount of monthly pension is still limited. If you want a bigger monthly pension then you have to buy a pension plan from the insurance company.
 

Kendy

Verified member
I would not give a general view because I do not know how other countries operate but in my country, getting a government job is always like a dream come true for 80% of people. Although some do not prefer it but a larger percentage prefers the government organizations despite the harsh treatment. In private organisations, some of them do not have a pension scheme or funding, the administration is run only to the welfarism of the management, ignoring the needs and expectations of the employees. It gets worse in schools, where there is nothing like pension schemes and if there is any, the funding is done solely by the employees. The rate at which private organisation met out harsh treatments to their workers is so appalling, this was more evident during the covid-19 pandemic, where many private workers were laid off without prior notice and no pension funding to fall back on.


This is where government organizations proves more profitable because the pension schemes is a joint contributory effort of both the workers and the government and no matter the strike, pandemic or economic crisis, the government workers would still be paid their salaries in full. Government jobs have the leverage of fringe benefits such as incentives, maternity leaves and sabbatical but in private jobs, the birth of a child, can make you loose your job and this is most visible in the banking sectors.
 

Mika

VIP Contributor
In our country, there is a lot of attraction for a government job because you not only receive a good salary but also receive a lot of benefits like provident funds and pension plans. Only a few private companies can offer retirement benefits just like government agencies. Some private organizations, especially big companies or international organizations are offering better pay rates but these jobs are rare for the majority of people. Government jobs are also very competitive. Hundreds of thousands of people compete for a position that is open only for a handful of people. You need to be very talented to pass competitive exams and work for the government.
 

Rachael

Verified member
I might not know for other geographical setting but when it comes to my country, to a greater extent, the government sector provides a better pension rate than the private establishments. This is the more reason government jobs is been regarded ads hot cake and has very limited slots, which makes people lobby for it at all cost and this also offers the opportunity for hoodlums or fraudsters to use the desperation to extort money from vulnerable individuals. private sectors are known to be coupled with lots of stringent rules which is coupled with low wages and in some cases, absolutely no benefits, rather it is coupled with frequent deductions at any slight offense.

Most private sectors do not treat their employees well and this is because of the present state of the economy. Some employers treat their employees with no regards because they feel, that the labor market is already filled with lots of people roaming without no jobs and definitely the employees would have to endure because they would not want to join them in job hunting again. Public sectors offer both pension and gratuities, the pension is a contributory effort of both the potential pensioners and the government and there is guarantee of job security as well whereas private sectors if at all pension is offered, it is solely done by the employees
 
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