FEC Approves Gratuity Scheme For Retiring Federal Civil Servants
By Rashidat Olushola Okunlade
The Federal Executive Council (FEC) has approved the implementation of a new Exit Benefit Scheme that will grant retiring Federal Civil Servants a gratuity equivalent to 100 per cent of their total annual emolument.
According to a statement issued by the Office of the Head of the Civil Service of the Federation in Abuja, the scheme will take effect from January 1, 2026, marking a significant policy shift aimed at strengthening the welfare framework of the Federal Civil Service.
The initiative is designed to ensure that officers who have served the nation for a minimum of 10 years retire with improved financial security and dignity after years of public service.
The approval followed extensive consultations and technical work by an Inter-Ministerial Technical Committee established by the Office of the Head of the Civil Service of the Federation. The committee collaborated with the National Pension Commission, the Budget Office of the Federation, and the Office of the Accountant-General of the Federation to develop a sustainable framework for the scheme’s implementation.
The Exit Benefit Scheme is intended to complement the existing Contributory Pension Scheme by providing an additional financial safety net for federal workers at retirement. It will apply to civil servants in treasury-funded Ministries, Extra-Ministerial Departments, and Agencies.
The Head of the Civil Service of the Federation, Mrs. Didi Esther Walson-Jack, described the approval as a landmark decision that reflects the Federal Government’s commitment to improving the welfare of civil servants.
She noted that the initiative demonstrates the administration’s recognition of the dedication, professionalism, and sacrifices made by public servants in driving national development.
According to her, the new scheme will significantly strengthen the retirement benefits available to civil servants and enhance confidence in the government’s commitment to their well-being.
Walson-Jack also stated that the policy aligns with the ongoing reform agenda aimed at building a more motivated, performance-driven, and people-focused civil service.
She assured that detailed implementation guidelines for the scheme would be released in due course.
The reintroduction of gratuity payments for federal civil servants comes 22 years after the establishment of the Contributory Pension Scheme, and is seen as part of broader efforts by the Federal Government to improve workers’ welfare while sustaining reforms within the public service.
