Federal Civil Servants to Receive 100% Exit Benefit From 2026

 

By Ayo Kehinde

 

 

 

 

In a major move to strengthen the welfare of public servants, the Federal Executive Council (FEC) has approved a new exit benefit scheme granting retiring federal civil servants a gratuity equivalent to 100 per cent of their total annual emolument.

The Office of the Head of the Civil Service of the Federation disclosed the approval in a statement issued on Thursday in Abuja by Mrs Eno Olotu, Director of Press and Public Relations.

The scheme, effective from January 1, 2026, ensures that officers who have served the nation for at least 10 years retire with financial security.

Olotu said the approval followed recommendations by an inter-ministerial technical committee that worked closely 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 initiative.

“The new exit benefit complements the existing Contributory Pension Scheme and strengthens retirement income security for federal civil servants in treasury-funded ministries, extra-ministerial departments, and agencies,” the statement added.

The Head of the Civil Service of the Federation, Mrs Didi Walson-Jack, described the scheme as a bold step that recognises the dedication, sacrifice, and professionalism of federal civil servants.

“This approval is a profound acknowledgement of the invaluable contributions of our civil servants who have devoted their productive years to public service and national development.

“The exit benefit scheme significantly enhances the retirement package of our officers and boosts confidence in the federal government’s commitment to their welfare,”she said.

Walson-Jack also noted that the initiative aligns with ongoing reforms aimed at building a motivated, performance-driven, and people-centred civil service.

She added that detailed implementation guidelines would be issued in due course.

The reintroduction of gratuity comes 22 years after the introduction of the Contributory Pension Scheme, marking a significant milestone in improving retirement benefits for federal employees.