Nigerian gov clears N1.4bn gratuity arrears of LG retirees, primary school teachers

Ondo State Governor, Lucky Aiyedatiwa, has cleared a total of ₦1.4 billion in unpaid gratuities owed to retired local government workers and primary school teachers who left service in 2014.

Speaking at the flag-off ceremony in Akure on Monday, Governor Aiyedatiwa said the payment marks a continuation of the bulk gratuity settlement initiative he introduced while serving as Deputy Governor.

He explained that the disbursement followed his administration’s structured payment process, which uses the year of exit from public service as the sole qualification criterion to ensure fairness, transparency, and predictability.

“I started this even when I was Deputy Governor. I presented the case to the then governor, who approved it, and we began saving money periodically. Whenever we had a favourable allocation, we set aside funds to settle retirees’ gratuities. This will continue now that we are fully in charge,” Aiyedatiwa said.

He added that the bulk payments for the 2011, 2012, and 2013 sets under his administration were unprecedented in the history of the state.

“Today, we are exiting 2014, and very soon, we will exit 2015, and so on, until everyone is cleared,” the Governor said.

“Since our assumption of office, we have paid serious and deliberate attention to the welfare of pensioners. Ondo is one of the few states in Nigeria that approved an upward review of a flat rate of ₦30,000 for pensioners to cushion the effects of the current economic hardship.”

He stressed that the prompt payment of pensions and gratuities was not an achievement but a moral and constitutional duty.

“We are often reluctant to list prompt payment of pensions as an achievement because it is our obligation. However, compared to times when pensions were paid in percentages or fractions, there is reason to celebrate,” he said.

Aiyedatiwa noted that the disbursement would rekindle hope among pensioners and reassure serving workers that their gratuities would be promptly paid after retirement.

He also announced that the next of kin of three local government staff who lost their lives in a motor accident while on official duty to Niger State would receive cheques for their terminal benefits.

Permanent Secretary, Ministry of Health, Dr. Adeniran Ikuomola, who represented the Head of Service, commended the Governor’s compassion and prioritisation of pensioners’ welfare.

“Most of these retirees left service about 11 years ago and are now in their seventies. The Governor could have used N1.4 billion for other things but chose to prioritise the elderly,” he said.

Ikuomola advised beneficiaries to use the money wisely, pay attention to their health, and enrol in the state’s Contributory Health Scheme.

Also speaking, the Commissioner for Local Government and Chieftaincy Affairs, Alhaji Amidu Takuro, praised the governor for initiating the pension savings scheme that now ensures regular gratuity payments.

“A week ago, when you asked about our savings balance and we told you, you said, ‘What are you waiting for? Pay them now!’ You also instructed that every quarter, funds must be saved for pensioners, he recalled.

Chairman of the National Union of Pensioners (NUP) in the state, Johnson Osunyemi, lauded the governor for restoring dignity to retirees and rekindling their hope.