The Enugu State Government has approved approximately ₦32 billion to settle outstanding legacy gratuities owed to retired workers, with an initial payment of ₦10 billion expected to commence next week.
The development was disclosed by the Secretary to the State Government (SSG), Prof. Chidiebere Onyia, on Friday while briefing journalists at the Government House in Enugu following a meeting of the State Executive Council.
Onyia said the payment plan was part of the administration of Governor Peter Mbah’s commitment to clearing inherited gratuity liabilities before the end of the governor’s first tenure.
The briefing was attended by the Commissioner for Information and Communication, Dr. Malachy Agbo; the Commissioner for Lands and Urban Development, Barr. Chimaobi Okorie; and the Commissioner for Human Development and Poverty Eradication, Prof. Benedett Ekwutosi Okoli.
According to the SSG, the state government has made provisions for the settlement of the outstanding gratuities in the 2026 budget, which has already received approval from the Enugu State House of Assembly.
He explained that the allocation was part of the government’s formal budgetary commitments rather than an unplanned financial decision.
“This amount of money was put in the 2026 budget and approved by the Enugu State House of Assembly. So, it is in appropriation law,” Onyia stated.
Government to Release Initial ₦10 Billion
The SSG disclosed that the government would begin the disbursement with an initial tranche of ₦10 billion, after which additional payments would be made until the entire verified liability, estimated at approximately ₦32 billion, had been settled.
He explained that the payment process followed a verification exercise established to determine the actual amount owed to eligible retirees and ensure that public funds were paid to the appropriate beneficiaries.
According to him, the state government suspended the existing gratuity verification process in December 2025 and constituted a committee to examine records dating back to 2000.
The committee reviewed retirees’ records and supporting documents to establish the genuine liabilities inherited by the present administration.
Onyia, who chaired the verification committee, said the amount approved by the State Executive Council was determined based on the findings of the exercise.
He added that the verification process was necessary to prevent fraudulent claims and ensure transparency in the distribution of the funds.
The SSG further assured retirees that those who disagreed with the outcome of the verification exercise could submit their complaints to the committee for further consideration.
Local Government Retirees to Benefit
Beyond the state-level gratuity payments, the Enugu State Government is also working towards resolving outstanding retirement benefit obligations owed to former local government employees.
Onyia disclosed that the outstanding gratuity liabilities at the local government level were estimated at more than ₦10 billion.
He said Governor Mbah had approved a meeting of the Economic Council to examine the liabilities and determine the appropriate steps for addressing them.
The proposed meeting is expected to help facilitate the commencement of gratuity payments to eligible local government retirees, allowing them to benefit alongside their counterparts in the state civil service.
The SSG noted that the administration recognised the importance of addressing retirement benefit obligations across the different levels of government.
Verification Covers 66,783 Records
Onyia revealed that the verification committee had examined the records of 66,783 persons across workforce and pension-gratuity categories.
He explained that the exercise was designed to establish the actual liabilities owed by the state, identify eligible beneficiaries and protect public resources from fraudulent claims.
The government also clarified that the current initiative specifically concerns legacy gratuities, distinguishing them from pension obligations.
According to the SSG, the administration had already commenced the payment of outstanding pension obligations following the verification of eligible beneficiaries.
He emphasised that the government’s intention was to ensure that retirees with legitimate claims received the benefits due to them.
“The gratuity owed to every retiree across the board from 2000 will be paid,” Onyia said.
Mbah Administration Targets Retirement Benefit Backlog
The planned gratuity payments form part of the Enugu State Government’s broader effort to address inherited financial obligations and improve the welfare of retired public servants.
Onyia said clearing the backlog would help prevent the continued accumulation of unpaid retirement benefits and reduce the burden passed on to future administrations.
He reiterated that the Mbah administration remained committed to settling verified legacy obligations while sustaining payments to eligible pensioners.
The government is also seeking to establish a more sustainable pension system that would minimise the emergence of similar backlogs in the future.
With the initial ₦10 billion payment expected to begin next week, retirees will be looking forward to the implementation of the approved payment plan and the eventual settlement of the outstanding gratuities.
The government has maintained that the process will be guided by the outcome of the verification exercise to ensure that only legitimate claims are paid.
