Nigerian gov clears N12bn gratuity arrears

Bayelsa State Governor, Douye Diri, has been applauded by labour unions after settling a backlog of N12 billion in gratuities owed to retirees from eight local government councils.

At a ceremony in Yenagoa, symbolic cheques representing the N12bn were handed over to more than 1,000 former council workers.

In recognition of his commitment to the welfare of grassroots staff, the Nigeria Union of Local Government Employees (NULGE) named Diri the “Best Governor on Local Government Reforms in Nigeria.”

NULGE National President, Comrade Aliyu Kankara, presented the award during a conference themed “Promoting Local Government Workers’ Welfare: The Bayelsa Model.”

Kankara highlighted several of the governor’s initiatives, including reforms that improved fiscal management at the local level, consistent staff promotions, better welfare packages and timely payments. He also cited the introduction of an N80,000 minimum wage for council employees, salary increases of 25 and 30 per cent, and state support for the payment of primary school teachers.

According to him, “The Governor of Bayelsa State has excelled where many other state governors have failed in human capital development by prioritising the welfare of workers in the state, particularly those at the grassroots level. From available information, Governor Diri’s administration has paid over N20 billion as arrears of gratuity to retired workers in Bayelsa State since he was sworn in in 2020.”

The National President of the Medical and Health Workers Union of Nigeria, Dr. Kabir Sani, also commended Diri for prioritising the welfare of council workers, including those in his union.

Responding, the governor maintained that prompt payment of salaries and retirees’ benefits was part of his mandate and “should not be celebrated.” He recalled that he was once accused of playing politics for addressing the gratuity backlog, which dated as far back as 2007.

He explained that upon taking office, he met several councils in deficit and dependent on bailouts from the state. His administration, he said, had to embark on sweeping reforms to restore stability.

According to Diri, his broader vision is to improve citizens’ livelihoods, ensure food security and boost state revenues. He reiterated his directive that council chairmen should invest in farming ventures where they hold a comparative advantage.

“The moment you retire at 60 or 65 years, you become a senior citizen and you are entitled to your gratuity. In other climes, it is taken for granted. Therefore we should not celebrate it,” he said.

“Initially, some persons queried it when I started immediately paying gratuities. They said previous administrations did not pay. I reminded such critics that my father was a teacher, a headmaster. If not for the opportunity of a child like me, he would have died without his pensions and gratuity. Having that at the back of my mind, one of the priorities I had was to ensure that the backlog of gratuities were cleared. I recall a particular month we had a windfall in our allocation, I directed the payment of seven billion Naira for gratuity and pensions.”