The Federal Executive Council (FEC) has approved the implementation of a landmark Exit Benefit Scheme that will grant retiring federal civil servants a gratuity equivalent to 100 per cent of their total annual emolument.
The scheme, which takes effect from January 1, 2026, marks a significant step in the Federal Government’s efforts to strengthen the welfare structure of the civil service and ensure that officers who have served the nation for a minimum of ten years retire with financial security and dignity.
The approval followed extensive deliberations and technical work by an Inter-Ministerial Technical Committee established by the Office of the Head of the Civil Service of the Federation.
The committee 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 implementation framework.
According to the government, the Exit Benefit Scheme serves as a strategic enhancement to the existing Contributory Pension Scheme.
It is intended to provide retiring officers in treasury-funded ministries, extra-ministerial departments, and agencies with a substantial financial cushion at the point of retirement.
Head of the Civil Service of the Federation, Mrs. Didi Esther Walson-Jack, described the approval as a watershed moment for Nigeria’s public service.
She commended the Federal Executive Council for endorsing what she called a transformative policy that recognises the dedication and sacrifices of federal civil servants.
In a Press Statement, by Eno Olotu, Director, Press and Public Relations Office of the Head of the Civil Service of the Federation, Walson-Jack was reported to have said, “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.”
She noted that the new Exit Benefit Scheme significantly strengthens the retirement package available to federal officers and reinforces confidence in the government’s commitment to the welfare of civil servants.
The Head of Service also stated that the initiative aligns with ongoing reforms aimed at building a more motivated, performance-driven and people-centred civil service.
She added that detailed implementation guidelines for the scheme will be released in due course.
The reintroduction of gratuity payments comes 22 years after Nigeria adopted the Contributory Pension Scheme. The Federal Government said the latest approval demonstrates its continued commitment to policies that improve the welfare of civil servants while deepening reforms designed to secure the future of the federal public service.
