The President of the Nigeria Labour Congress, Joe Ajaero, has welcomed the Federal Government’s approval of an enhanced gratuity package for retiring federal civil servants.
Ajaero gave the commendation in an interview with the News Agency of Nigeria on Tuesday in Abuja.
The Federal Government recently approved a new exit benefit scheme for federal civil servants, under which retiring workers will receive a gratuity equivalent to 100% of their total annual emolument.
The gratuity will be paid in addition to pensions under the Contributory Pension Scheme.
The scheme is expected to take effect from January 1, 2026, and will apply to civil servants who have served for at least 10 years.
Ajaero described the approval as a positive step that would provide support for workers at the end of their service.
According to him, gratuity is different from pension because it serves as a form of appreciation for workers who have served their employers diligently over the years.
“It recognises the dedication and loyalty of civil servants throughout their careers.
“The contributory pension scheme alone may not adequately support retirees immediately after leaving service, so gratuity provides immediate financial support to start something meaningful,” he said.
Ajaero added that the payment would help retirees manage their affairs while waiting for their pensions.
The labour leader further stated that if gratuity had been discontinued in the past without any law abolishing it, those who were not paid should have their entitlements settled.
“The government must ensure fairness for all retirees affected in the past,” he said.
He noted that gratuity was important because it enables retirees to start new ventures before relying on their pensions.
According to him, it also provides security and dignity for workers immediately after leaving service.
He stressed that gratuity should not be treated as part of pension benefits, as both serve different purposes.
“Both should operate independently to ensure retirees are fully supported,” he added.
Ajaero also maintained that there is no law abolishing gratuity in the civil service and urged the government to ensure workers previously denied the benefit receive their entitlements.
He further called on organisations in the private sector to adopt similar gratuity arrangements for their workers.
“It would encourage a culture of gratitude and fairness across all sectors,” the NLC president said.