The Bauchi State Government has commenced the payment of N11.7 billion in gratuities to 5,736 retired civil servants. The disbursement, which was officially flagged off by Governor Sen Bala Abdulkadir Mohammed, aims to clear outstanding payments owed to retirees from 2012 to 2016. According to validated government records, the outstanding gratuity obligation stands at N11,704,200,221.83. This initiative is part of the government's renewed strategy to address pension liabilities inherited from previous administrations.
The breakdown of the gratuity payments shows that N6,132,505,444.44 is owed to 3,570 state government retirees, while N5,579,694,779.39 is owed to 2,256 local government retirees. The government has approved an initial N10 billion for the exercise, which will be paid in batches based on the age of the debt, availability of funds, completeness of documentation, and successful verification. A committee led by Alhaji Sabiu Baba is coordinating the exercise in collaboration with the Bauchi State Contributory Pension Commission.
The first phase of the payment will cover local government retirees from the 2012–2013 period and state civil service retirees from 2013. The government has assured that retirees outside the initial phase will not be excluded and that the payment exercise will continue until the backlog is cleared. Many pensioners have waited for more than a decade for their benefits, while some have died before receiving their entitlements. The government has directed the pension commission, Head of Service, and participating commercial banks to eliminate bureaucratic bottlenecks, corruption, and favouritism in the payment process.
The government has also directed verification teams to give priority to elderly and physically challenged retirees during screening. Pensioners were urged to cooperate with verification officials and provide the required documents to facilitate payment. This initiative builds on previous efforts by the state government to address pension obligations. Under its 2025 budget, the government allocated N5 billion for gratuities and N8.5 billion for pensions as part of its social benefits programme.
Beyond clearing the current backlog, the government is working towards establishing a fully automated pension system to prevent the accumulation of unpaid retirement benefits in the future. The gesture has been described by organised Labour and other stakeholders as an economic stimulus and proof of a labour-friendly administration. Ibrahim Maikudi, representing organised Labour, commended the state government for prioritizing workers' welfare, noting that Bauchi is among the first states in the country to implement the N70,000 minimum wage for civil servants.
Maikudi also stated that Bauchi is the first state in the North to implement the N32,000 minimum pension for pensioners. He disclosed that the current phase covers retirees from 2012 to 2013, with assurance that the exercise will continue from 2016 to 2026 to clear all outstanding arrears. Alhaji Yahuza Adamu, Executive Chairman of Ningi Local Government Area, spoke on behalf of other chairmen of local governments, saying the payment goes beyond politics and is economic in nature, injecting funds into the public domain in Bauchi State.
Yahuza maintained that the gratuity payment, which had become a mirage over the years, was promised by successive administrations but never fulfilled. He pledged the support of local government councils for the developmental programmes of the state government and urged beneficiaries and their families to continue to pray for the success of the administration. The payment exercise is expected to have a positive impact on the state's economy and is seen as a demonstration of the government's commitment to the welfare of its workers.
Key points
- The Bauchi State Government has started disbursing N11.7 billion to settle outstanding gratuities owed to 5,736 retired civil servants from 2012 to 2016.
- The payment will be done in batches based on the age of the debt, availability of funds, completeness of documentation, and successful verification.
- The government aims to establish a fully automated pension system to prevent the accumulation of unpaid retirement benefits in the future.