Abia State Begins N62bn Gratuity Payments to Retirees

The Abia State Government has commenced the phased payment of a N62 billion gratuity backlog owed to verified pensioners who retired between 2001 and 2010. Okey Kanu, the Commissioner for Information, announced this in Umuahia, stating that beneficiaries have begun receiving payments.

The total outstanding gratuity liability was established at N61.8 billion, with N7.2 billion owed for the period of 2001 to 2010, N43.6 billion from 2011 to May 2023, and an additional N10.9 billion accrued from May 2023 to the present. Kanu noted that previous administrations had only addressed less than 0.01 percent of the gratuity owed for the 2011 to May 2023 period.

The government plans to incorporate annual gratuity payment implications into the state’s Medium-Term Expenditure Framework from 2026 to 2031. Payments will be made directly to verified retirees through a dedicated platform linked to the State Treasury Single Account, utilizing biometric validation to prevent fraud.

The oldest arrears will be prioritized in subsequent payments.