The Federal Executive Council (FEC) has approved a new exit benefit scheme granting retiring federal civil servants a gratuity equal to 100% of their total annual emoluments.
The Office of the Head of the Civil Service of the Federation announced on Thursday that the scheme, effective January 1, 2026, is aimed at enhancing the welfare of federal civil servants and ensuring that officers who have served at least 10 years retire with financial security.
The approval followed recommendations from an inter-ministerial technical committee that collaborated with the National Pension Commission, the Budget Office of the Federation, and the Office of the Accountant-General of the Federation to design a sustainable framework.
According to the statement, the new exit benefit complements the existing Contributory Pension Scheme, further strengthening retirement income security for civil servants in ministries, extra-ministerial departments, and agencies funded by the treasury.
The Head of the Federal Civil Service, Didi Walson-Jack, praised FEC for the approval, calling it a bold recognition of the dedication, sacrifice, and professionalism of federal civil servants.
“This scheme significantly enhances the retirement package of our officers and reflects the government’s commitment to their welfare,” she said, adding that detailed implementation guidelines would be issued soon.
The reintroduction of gratuity comes 22 years after the Contributory Pension Scheme was introduced.
