Oyo State Governor, Engr. Seyi Makinde on Monday June 1, 2020, revealed that the state has a backlog of N26 billion in unpaid gratuities to 6,274 pensioners.
Makinde stated this yesterday while releasing the sum of N180 million as part of the outstanding gratuity and pension arrears for 2013 retirees from the civil service.
Pointing out that his administration has been making efforts to offset the alarming debt despite the limited sources of funds for the government, he promised, “As our economy is getting expanded, so also we will be adding more to what we need to pay to pensioners to ensure that we shorten the period within which we can offset this debt”.
He said, “When a child inherits fortune from his father, he will not reject it. In the same way, if he inherits debt, he is duty-bound to do something about it and that is what I just explained. We are doing something about it. We are aware of this debt even while going around for electioneering but what we did not know at that time was the capacity to pay and also how the finances of the state were being managed, prior to our coming on board.
“As I said during my broadcast in commemoration of our administration’s one year in office, we have paid more gratuities and entitlements in one year than the previous administration did in eight years. This was possible because we increased monthly allocation for gratuities from N100 million to N180 million with effect from June 2019 and what this means is, we have committed N1.908 billion to this payment in the past one year with a total number of 886 retired civil servants, hospital workers, teaching and non-teaching staff benefitting. When we came in, we still had the gratuities arrears of 2011. Now, we have completed the arrears of 2011 and 2012 and we are now on 2013. I give you the assurance that we will keep paying off these debts and I know we will finish paying them”.
The governor reiterated the determination of his administration to ensure that everyone in the state feels the impact of governance.
Earlier, the Commissioner for Establishment and Training, Prof. Kehinde Sangodoyin said the increase in the release for payment of gratuity from N100m that was paid by the last administration to N180m by the Makinde administration has alleviated the suffering of the helpless retirees and has gone a long way to project this administration as a people-centred government.