Featured
Paris Club Refund: How States Fared (1)
Majority of the states across the federation, have utilised the second tranche of the Paris Club refund they received to clear the arrears of their serving and retired workers’ entitlements.
However, in most states where the arrears of salaries, pensions and gratuities have been paid, some civil servants and retirees, especially those in the council areas, are still being owed.
A survey by the News Agency of Nigeria (NAN) indicated that some of the workers and pensioners were owed salaries and pensions for periods ranging between two and 11 months.
The Federal Government in July released about N243.79 billion to the states as the second tranche of the refund, having earlier released N388.30 billion to them in December 2016.
The funds were released following protests by the states against over-deductions from their allocations for external debt services between 1995 and 2002.
The federal government had advised the state governments to use between 50 and 75 per cent of their shares of the refund to clear the arrears of salaries, pensions and gratuities they owed.
Reports indicate that 15 of the 22 (68 per cent) states surveyed so far, have utilised the money in settling the arrears of the entitlements while nine have not.
Those that paid are: Jigawa, Yobe and Adamawa in the North-East; Kwara in the North-Central; all states in the South-South except Cross River; Abia in the South-East; and all states in the South-West.
Bauchi, Gombe and Borno in the North-East; Cross River in the South-South; as well as Enugu, Anambra and Ebonyi in the South-East have yet to pay the arrears.
In Jigawa, for instance, Alhaji Suleiman Kiyawa, Executive Secretary, Jigawa State and Local Government Contributory Pension Scheme, said the State Government had cleared the arrears.
Kiyawa said the state government paid about N461.4 million as terminal benefits to 339 retirees in the state.
Malam Muhammad Ali, a staff of the state Ministry for Local Government and Community Development, said no retired or serving worker in the state was being owed any entitlement.
Malam Abubakar Musa, a retired civil servant in the state, said that each time a civil servant retired, he/she collected the entitlements without delay.
In Yobe, Alhaji Baba Malam-Wali, the Secretary to the State Government (SSG), said the state had been paying salaries of workers as and at when due and would continue to do so.
The SSG spoke through his Press Secretary, Shuaibu Abdullahi, in Damaturu.
However, payment of the entitlements of the council workers in the state had been delayed due to an internal conflict among members of the state Local Government Retiree Screening Committee.
Alhaji Kachallah Goni, the state Chairman of Nigeria Union of Pensioners (NUP), commended the state government for the prompt payment and urged it to intervene in the matter to pave way for hitch-free settlement of the arrears.
On its part, the Borno Government said it approved N6 billion for the clearing of the outstanding retired workers’ gratuities and pensions in the state.
It was however reported however, that the concerned workers and retirees have yet to receive the payments.
Mr Yakubu Bukar, Head of Service and Alhaji Usman Zanna, Commissioner for Local Government and Chieftaincy Affairs respectively, said in a statement in Maidugiri that a committee had been constituted to handle it.
In Gombe, Mr Haruna Kamara, Chairman, Nigeria Labour Congress (NLC), said the State Government had not settled the arrears of gratuities of some retired civil servants.
He said that government did not inform the NLC in the state about the release of the second tranche, but that the organised labour only read of it on the internet.
“The truth of the matter is that nobody from the government of Gombe state consulted us about the fund and how they are going to use it,” he said.
Malam Abubakar Umar, a pensioner in the state, appealed to the state government to pay the outstanding gratuities.
All efforts to get the Secretary to the State Government (SSG), Mr James Phisagi, speak on the matter proved abortive.
In Yola, Gov. Muhamadu Bindow of Adamawa, acknowledged receipt of N6.11 billion as the state’s share of the refund.
“So far, we have settled six months inherited outstanding workers’ salaries.
It remains only one month salary arrears which I have directed the Commissioner of Finance to pay,” he said.
However, some primary school teachers, primary healthcare workers and pensioners complained of non- payment of their outstanding salaries and pensions.
Speaking to newsmen on condition of anonymity, some primary healthcare workers said they were owed three months salaries.
“As I am talking with you, we have not received even the July salary let alone the three months arrears. We are suffering,” said one of them.
Checks at the state Pension Board indicated outstanding arrears of N11 billion owed to the state government pensioners and N8 billion owed to the local government pensioners.
The Bauchi State Chairman of NUP, Alhaji Abu Gar, said the state government owed the retirees N26 billion as arrears of gratuities.
Gar who lamented what he called ‘poor handling of issues relating to pensioners’ in the state, said 43 members of the union had died because of hardship.
The Permanent Secretary, Bauchi State Ministry of Finance, Alhaji Abdullahi Dori, confirmed the state government’s receipt of its share of the second tranche of the refund.
In Ilorin, North-Central, Dr Muideen Akorede, Senior Special Assistant on Media to Gov. Abdulfatah Ahmed of Kwara, said N2 billion of the N5.1billion received, was released to the 16 local government councils.
He also said that the state government released N312million to the state-owned tertiary institutions for the payment of salary arrears.
A pensioner, Mallam Ibrahim Salmanu, however, said most local government retirees in the state were owed up to 11 months arrears of pension.
According to him, payment of gratuities to state pensioners had been stopped since March 2014.
All the states in the South-West said they utilised the fund in settling the salary and pension arrears they owed their serving and retired workers.
In Ibadan, Mr Bimbo Adekanmbi, the Oyo Commissioner for Finance and Budget, said the state spent over 60 percent of the first and second tranches of the refund on clearing the arrears.
Adekanmbi said the N7.9 billion it received as the second tranche was used to pay the arrears of April and May salaries as well as pensions.
Mr Waheed Olojede, state NLC Chairman, confirmed the payment, but Mr Bayo Titola-Sodo, President, Nigeria Union of Local Government (NULGE), Oyo State chapter, said council workers were still owed salary arrears.
In Abeokuta, the Ogun Commissioner for Finance, Mr Wale Osinowo, said government had committed N4.5 billion to the payment of arrears of cooperative deductions owed workers in the state.
He said the payment represented 79 per cent of the N5.7 billion received.
The NLC Chairman in Ogun, Akeem Ambali, however, said that the 12 months arrears of cooperative and check-off due deductions made this year had not been paid.
In Osogbo, the Osun Commissioner for Information and Strategy, Mr Adelani Baderinwa, said the state government spent N5.10 billion of the N6.31 billion it received to clear the arrears.
Baderinwa said the payment schedule was recommended by the State Revenue Allocation Committee chaired by Mr Hassan Sunmonu.
“The only outstanding payment owed pensioners here is the gratuity and this is because some who retired in 2011 and 2012 choose not to participate in contributory pension scheme,’’ he said.
The state Chairman of the NLC, Mr Jacob Adekomi, however, claimed that some workers and pensioners were still being owed.
The labour leader said that civil servants in the state had been receiving modulated salaries since July 2015.
“A modulated salary scheme means workers on grade one to seven receiving 100 per cent of their salaries, and workers on grade level 8 to 12 being paid 75 percent of theirs, for instance,” he said.
In Akure, the Ondo State Government said that it received N6.38 billion as the second tranche of the Paris Club refund.
Olusegun Ajiboye, Chief Press Secretary to Gov. Oluwarotimi Akeredolu, said 32.68 percent of the amount was allocated to the local government councils while the state government got 67.32 per cent.
“That is why Ondo state government used 75 per cent of its share to settle the salary and pension arrears,” Ajiboye said.
But Mrs Bosede Daramola, the NLC Chairman in the state, described fractional payment template adopted in the state as a breach of contract, saying it was unacceptable to the workers.
The Ekiti Government, on its part, said it received N4.7 billion as the second tranche of the refund.
The Commissioner for Finance, Chief Toyin Ojo, told NAN in Ado Ekiti that local government councils in the state got N1.8billion of the N4.7 billion.
He disclosed that the state government sought for additional fund in order to pay one month salary and leave bonus to all workers.
The NLC Chairman, Mr Ade Adesanmi and his TUC counterpart, Mr Odunayo Adesoye, said they were involved in the disbursement of the refund.
His NUT and NULGE counterparts, Mr Segun Olugbesan and Mr Bunmi Ajimoko respectively, also confirmed their involvement.
To be continued.
Obeta writes for News Agency of Nigeria.
Ejike Obeta
The Administrator of Rivers State, Retired Vice Admiral Ibok-Ete Ekwe Ibas, has assured the commitment of Rivers State government to workers’s welfare and industrial harmony in Rivers State.
The Sole Administrator gave the assurance after meeting with leadership of organized labour unions at the Government House, Port Harcourt on Wednesday.
Ibas reaffirmed government’s policy of prompt payment of salaries and pensions to workers and retirees, stating that all local government employees are not receiving the approved minimum wage.
He disclosed that approval has been given for payment of newly employed staff at Rivers State University Teaching Hospital and the Judiciary, while medical workers in Local Government Areas will now receive correct wages.
Ibas explained that, Government is reviewing implementation challenges of the Contributory Pension Scheme ahead of the July 2025 deadline, adding that Intervention buses have been reintroduced to ease workers’ transportation ,with plans to expand the fleet.
He said specialized leadership training for top civil servants will commence within two weeks, while due consideration is being given to implementing the N32,000 consequential adjustment for pensioners and clearing outstanding gratuities.
Ibas commended Rivers State workers for their dedication to service and called for sustained partnership with labour unions to maintain industrial peace.
“This administration recognizes workers as critical partners in development. We remain committed to addressing your legitimate concerns within available resources,” he stated.
The State NLC Chairman, Comrade Alex Agwanwor, thanked the Administrator for the steps taken so far with regard to workers welfare while appreciating his disposition towards alleviating the transportation problem faced by workers.
He also expressed appreciation for the government’s openness to dialogue and pledged continued cooperation towards achieving mutual goals.
The Rivers State Government assured all workers of its unwavering commitment to their welfare and called for continued dedication to service delivery for the collective progress of our dear State.
The Nigeria Labour Congress (NLC), Rivers Council, has called for policies that will improve the economic situation of the country in order to ensure enhanced living standard for workers.
The State Chairman, Mr Alex Agwanwor, made the remark on behalf of the unions affiliated to Labour Congress during the 2025 workers day celebration in Port Harcourt, yesterday.
Agwanwor highlighted the demands of the Unions which included the immediate payment of pension arrears, implementation of the N32,000 minimum wage for pensioners, and payment of gratuities and death benefits without further delay.
“We are calling for the regulation and protection of e-hailing drivers, implementation of increments and promotions, and resolution of long-standing issues in the polytechnic sector,” he said.
Agwanwor on behalf of the unions appealed to President Bola Tinubu to reinstate the democratically elected Governor, Deputy Governor, and members of the Rivers State House of Assembly.
He stressed the importance of democratic governance and good working relationship with elected representatives.
According to him, the unions expressed disappointment over the imposition of taxes, increase in electricity tariff, and high cost of goods and services, which have further worsened the plight of workers.
“We urge the federal government to take measures to alleviate the suffering of citizens,” he said.
Vice-President Kashim Shettima says President Bola Tinubu is committed to unlocking Nigeria’s full potential and position the country as a leading force on the African continent.
Shettima stated this when he hosted a delegation from the Hertie School of Governance, Berlin, led by its Senior Fellow, Dr Rolf Alter, at the Presidential Villa in Abuja last Wednesday.
He said Nigeria was actively seeking expertise from the global best institutions to enhance policy formulation and implementation, particularly in human capital development.
The Vice-President noted that President Tinubu was determined to elevate Nigeria to its rightful position as a leading force in Africa.
“The current crop of leadership in Nigeria under President Bola Ahmed Tinubu is ready and willing to unleash the full potential of the Nigerian nation on the African continent.
” We are laying the groundwork through strategic reforms, and at the heart of it, is human capital development.”
He described the Hertie School as a valuable partner in the journey.
According to him, Hertie School of Governance, Berlin, has track record and institutional knowledge to add value to our policy formulation and delivery, especially in this disruptive age.
Shettima reiterated the government’s priority on upskilling Nigerians, saying ” skills are very important, and with our Human Capital Development (HCD) 2.0 programme.
“We are in a position to unleash the full potential of the Nigerian people by enhancing their capital skills.”
The Vice-President acknowledged the vital support of international development partners in that effort.
” I want to thank the World Bank, the European Union, the Bill and Melinda Gates Foundation, and all our partners in that drive to add value to the Nigerian nation,” he maintained.
The Vice-President said human capital development was both an economic imperative and a social necessity.
Shettima assured the delegation of the government’s readiness to deepen cooperation.
” We need the skills and the capacity from your school. The world is now knowledge-driven.
“I wish to implore you to have a very warm and robust partnership with the government and people of Nigeria.”
Shettima further explained recent economic decisions of the government, including fuel subsidy removal and foreign exchange reforms.
“The removal of fuel subsidy, the unification of the exchange rate regime and the revolution in the energy sector are all painful processes, but at the end of the day, the Nigerian people will laugh last.
“President Tinubu is a very modern leader who is willing to take far-reaching, courageous decisions to reposition the Nigerian economy,” he added.
Earlier, Alter, congratulated the Tinubu administration for the successful launch and implementation of the Human Capital Development (HCD) strategy.
The group leader described the development as ambitious and targeted towards the improvement of the lives of the citizens.
He expressed satisfaction with the outcome of his engagements since arriving in the country.
He applauded the zeal, commitment, energy and goodwill observed among stakeholders in the implementation of Nigeria’s HCD programme.
Alter said the Hertie School of Governance would work closely with authorities in Nigeria across different levels to deliver programmes specifically designed to address the unique needs of the country.
He, however, stressed the need for government officials at different levels to be agile and amenable to the dynamics of the evolving world, particularly as Nigeria attempted to successfully accelerate its human capital development aspirations.