The federal hovernment has paid approximately N1.1 billion as Additional Exit Benefits to 175 retirees from Treasury-funded Ministries, Departments and Agencies (MDAs).
The concerned beneficiaries are those who retired from Federal Public Service between 1 January and 31 August 2026.
The payments are being made under the Federal Government Exit Benefit Scheme (EBS), approved by the Federal Executive Council and effective from 1 January 2026.
The Scheme provides an additional financial benefit to Federal Government employees at retirement, alongside their pension benefits under the Contributory Pension Scheme (CPS).
Under the Scheme, according to PenCom, Federal Civil Servants who have served for at least 10 years are entitled to an Exit Benefit equivalent to 100 per cent of their total annual emolument, a statement said on Friday.
The statement quoted that the commencement of payment marks yet another watershed moment for the CPS as efforts are intensified at delivering more benefits to retirees beyond what they have accumulated in their Retirement Savings Accounts during their service period.
“It is worthy of note that the FGN has led the way in offering additional benefits to its retirees, which is worthy of replication by other employers.
“In ensuring the smooth implementation of the Additional Exit Benefits Scheme, the 2026 Appropriation provided the sum of ₦32.90 billion. So far, the Federal Government has released ₦12.3 billion into the dedicated Exit Benefit Scheme Account maintained with the Central Bank of Nigeria (CBN).
“The National Pension Commission (PenCom) is supporting the implementation of the Scheme by working with the Office of the Head of the Civil Service of the Federation (OHCSF), the Office of the Accountant General of the Federation (OAGF), Pension Fund Administrators (PFAs) and other stakeholders to facilitate the processing and payment of the benefits.”
Moreover, the payment process works, is designed to make it easier for retirees to access their Exit Benefits while ensuring that payments are properly verified.
It stated that retirees are required to provide the necessary documents, including their clearance letter and recent payslips, to their Pension Fund Administrators.
It said the PFA verifies the retiree’s records and forwards the information to PenCom for further validation and approval.
“Once the payment is approved, the Exit Benefit is credited to the retiree’s Retirement Savings Account (RSA) through the PFA, after which the PFA transfers the entire amount to the retiree’s designated salary bank account.
“It should be emphasized that this an additional payment, existing alongside the usual benefits drawn by the retirees from their RSA balances.”
It reiterated that the Federal Government’s decision to introduce the Scheme provides retiring Federal Civil Servants with additional financial support at a significant point in their lives and reinforces the import of ensuring that workers have adequate resources when they leave active service.
“The maiden payment of ₦1.1 billion to 175 retirees demonstrates that the Additional Exit Benefits Scheme for Federal Government’s retirees has officially commenced. Consequently, all subsequent Federal Government retirees of Treasury-Funded MDAs are eligible to paid the additional exit benefit of 100 per cent of total annual emolument at retirement. Undoubtedly, this will go a long way in enhancing the financial status of public service retirees who have given their best in service to the nation.”
