The Federal Executive Council has approved a new exit benefit scheme granting retiring federal civil servants a gratuity equivalent to 100 percent of their total annual emolument, marking a major policy shift in Nigeria’s public service retirement structure.
Okay News reports that the Office of the Head of the Civil Service of the Federation disclosed the development in a statement issued on Thursday. The gratuity scheme will take effect from January 1, 2026, and applies to civil servants who have served the federal government for a minimum of ten years in treasury-funded ministries, extra-ministerial departments, and agencies.
The government explained that the initiative is not a replacement for the existing Contributory Pension Scheme but rather a complementary benefit aimed at improving retirement income. The approval followed recommendations from an inter-ministerial technical committee that worked with the National Pension Commission, the Budget Office, and the Office of the Accountant-General of the Federation to develop a sustainable implementation framework.
Head of the Civil Service of the Federation, Mrs. Didi Walson-Jack, commended the council for the approval, describing it as a profound acknowledgement of the contributions of civil servants who have devoted their productive years to public service. The scheme is expected to significantly improve retirement packages while boosting morale across the civil service. This gratuity scheme approval reflects the government’s commitment to strengthening welfare frameworks for federal public servants
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