FG pays ₦18bn to ex-Nigeria Airways workers after two decades

The Minister of Finance and Coordinating Minister of the Economy, Mr Taiwo Oyedele
The Federal Government has commenced the payment of ₦18 billion in outstanding severance benefits to 2,100 former workers of the defunct Nigeria Airways Limited, more than two decades after the national carrier was liquidated.

The Federal Ministry of Finance disclosed this in a statement on Friday, saying payments had been completed for 2,100 beneficiaries across Batches 1 to 7. It added that another 600 beneficiaries under Batches 8 and 9 were being finalised for payment in the coming days.

The development follows President Bola Tinubu’s approval for the settlement of outstanding severance obligations owed to former Nigeria Airways workers.

Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, said the payment reflected the government’s commitment to addressing legitimate outstanding obligations to Nigerians.

“Behind these figures are people and families who have waited for years to receive what is legitimately due to them,” Oyedele said.

“Our responsibility is to confront outstanding obligations, complete the necessary processes and, once the resources are secured, ensure that the people affected feel the impact of government positively.”

Oyedele said the exercise demonstrated what could be achieved when government institutions worked together to resolve longstanding issues while maintaining appropriate safeguards in the management of public funds.

According to the ministry, the payment process involved extensive verification of beneficiary records, including biometric capture and validation of personal and banking information, to ensure that payments were made only to legitimate beneficiaries.

The Director of the Presidential Initiative and Continuous Audit (PICA) Department, Seldam Dangin, said the ministry was also preparing a second-phase mop-up exercise to capture eligible beneficiaries whose records could not be processed during the first phase.

Dangin said the exercise would include the updating of inaccurate or outdated information, additional biometric verification where necessary and correction of banking details.

It would also address cases involving deceased beneficiaries, with their next of kin or estates required to complete the necessary verification and legal processes before payments could be made.

The mop-up exercise is expected to begin by the end of September or in early October, subject to the completion of final arrangements.

The ministry also acknowledged the collaboration of the Minister of Aviation and Aerospace Development, Festus Keyamo, and the National Assembly Joint Committees on Aviation in efforts to resolve the outstanding payments.

It specifically commended the Senate Committee on Aviation, chaired by Senator Abdulfatai Buhari, and the House Committee on Aviation, chaired by Hon. Abdullahi Idris Garba, for their oversight and engagement on the matter.

The Federal Government said the payment to the first seven batches, alongside preparations to settle beneficiaries in Batches 8 and 9, marked a significant step towards resolving the longstanding severance obligations owed to former Nigeria Airways workers.

It added that the planned mop-up exercise would provide an opportunity to address outstanding cases and bring more eligible beneficiaries into the payment process.