The Gombe State Government has released N10.32 billion for the payment of gratuities to 6,665 retired state and local government workers. This move is part of the government's efforts to settle outstanding liabilities to its retirees. The payment was announced by Governor Muhammadu Inuwa Yahaya, who flagged off the latest round of payments in Gombe. The governor stated that the disbursement marked another major step towards addressing outstanding liabilities.

According to Governor Yahaya, N6.24 billion was approved for 2,354 state retirees whose gratuities fell due in 2024 and 2025. Additionally, N4.08 billion was released to the 11 local government councils to settle outstanding entitlements of 4,311 retirees. The governor also mentioned that gratuities accruing to state retirees from January 2026 would be paid early in 2027. This move is expected to bring relief to the retirees who have been waiting for their entitlements.

Governor Yahaya's administration inherited a N21 billion gratuity backlog when it assumed office in 2019. The backlog covered local government retirees from 2012 to 2019 and state retirees from 2014 to 2019. However, the governor stated that his administration had paid N33.283 billion in gratuities before the latest disbursement, putting the cumulative expenditure since 2019 at N44.134 billion.

The governor described the beneficiaries as workers who devoted their productive years to the development of the state. He also announced the approval of N299 million in gratuities for former employees of the dissolved Gombe Investment and Property Development Company. This move follows the establishment of the Gombe State Investment Promotion Agency.

Governor Yahaya also announced the settlement of outstanding gratuities owed to former local government chairmen and councillors from the previous administration to date. To prevent further accumulation of liabilities, the governor stated that the government was considering a sustainable funding mechanism. This could include a possible contributory pension arrangement or deductions from the Consolidated Revenue Fund.

The governor linked the clearance of inherited gratuity arrears to the government’s capacity to recruit workers sustainably. He explained that the financial burden of unpaid retirees’ entitlements had previously constrained large-scale recruitment. The government is working to prevent further accumulation of liabilities and ensure that workers' entitlements are paid promptly.

The release of N10.32 billion in gratuities is a significant step towards addressing the outstanding liabilities to retirees in Gombe State. The government's efforts to settle these entitlements are expected to bring relief to the retirees and their families. The governor's administration has made significant progress in clearing the inherited gratuity backlog and is working to prevent further accumulation of liabilities.

Key points

  • The Gombe State Government has released N10.32 billion for the payment of gratuities to 6,665 retired state and local government workers.
  • The government has paid a total of N44.134 billion in gratuities since 2019, including the latest disbursement.
  • The governor is considering a sustainable funding mechanism to prevent further accumulation of liabilities, including a possible contributory pension arrangement or deductions from the Consolidated Revenue Fund.

Share this story

Written by

SaharaWire Newsroom
SaharaWire

Reporting for SaharaWire from the Nairobi bureau.