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Big Relief as Abia Govt Commences N61bn Pension Arrears Payment
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Big Relief as Abia Govt Commences N61bn Pension Arrears Payment

This Day about 2 hours 3 mins read

Boniface Okoro in Umuahia

There is big relief for retirees in Abia State as the government of Governor Alex Otti has commenced payment of outstanding N61.8 billion gratuities owed to retired state and local government workers.

Commissioner for Information, Prince Okey Kanu, announced this during a post-State Executive Council media briefing Monday in Umuahia, describing the move as part of the administration’s commitment to workers’ welfare and responsible governance.

According to Prince Kanu, the government is beginning a structured process to address an inherited liability of N61.8 billion accumulated in the last 24 years.

The Commissioner said that a comprehensive review by the Gratuity Committee set up by the present administration established the breakdown: N7.2 billion accrued between 2001 and 2010, N43.6 billion between 2011 and May 29, 2023, and another N10.9 billion from May 30, 2023, to date.

The government said a 24-year accumulation of unpaid gratuities cannot realistically be cleared in the first three years of one administration, but Governor Otti has taken the “responsible and compassionate decision to confront the challenge rather than ignore it.”

To ensure sustainability, gratuity payments from 2026 to 2031 will be incorporated into the state’s Medium-Term Expenditure Framework and captured in annual budgets.

This, the government said, will provide a clear pathway to settle the backlog while preventing fresh arrears.

The payment process will be technology-driven and transparent. Verified beneficiaries will receive payments directly through a dedicated gratuity payment platform linked to the state’s Treasury Single Account, with biometric validation to eliminate duplication and fraud.

Kanu added that the oldest outstanding obligations will receive priority, while payments will be structured to reflect the state’s financial capacity and other developmental responsibilities.

It confirmed that the process has moved beyond planning, as some verified beneficiaries have already received their final gratuity payments.

For assistance, the Abia State Citizens Contact Centre has been opened. The helpline 0800-000-0232 operates from 8:00 a.m. to 4:00 p.m. on working days, while enquiries can also be sent to contactcenter@abiastate.gov.ng.

In a related development, the Commissioner also announced the resolution of all issues that led to the recent industrial action by Academic Staff Union of Universities (ASUU), Abia State University, Uturu (ABSU) chapter.

He said the outstanding check-off dues have been paid and a new salary scale incorporating academic and teaching allowances has been processed for payment with the August 2026 salary. A new scale for other categories of staff will also reflect in August pay.

The government said these steps reflect the Otti administration’s philosophy of confronting inherited problems with honesty, prioritizing workers and retirees, and resolving disputes through dialogue.

Answering questions from news men, the Commissioner for Finance, Mr. Uwaoma Ukandu, while confirming that the gratuity being paid currently covers 2001 to 2010, informed that the state government intends to defray the gratuity in phases as the amount involved was huge and couldn’t be paid in one tranche.

This article was sourced from an external publication.

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