The Federal Executive Council has approved a new Exit Benefit Scheme that will grant retiring federal civil servants a gratuity equivalent to 100 per cent of their total annual salary.
The scheme, which will take effect from January 1, 2026, is aimed at strengthening the welfare of government workers and ensuring financial security for officers who retire after years of service.
In a statement issued on Thursday by the Director of Public Relations in the Office of the Head of the Civil Service of the Federation, Eno Olotu, the government said the approval followed recommendations from an inter-ministerial technical committee set up to develop the framework for the policy.
The committee worked in collaboration with the National Pension Commission, the Budget Office of the Federation and the Office of the Accountant-General of the Federation to design what officials described as a sustainable structure for implementing the scheme.
The initiative enhances the existing Contributory Pension Scheme by providing an additional financial cushion to federal workers at the point of retirement. It applies to employees in treasury-funded ministries, extra-ministerial departments and agencies who have completed at least 10 years in service.
The Head of the Civil Service of the Federation, Didi Walson-Jack, described the decision as a major milestone for the country’s public service.
She said, “This approval is a profound recognition of the dedication and sacrifice of civil servants who have committed their productive years to national development.”
Walson-Jack added that the policy would significantly improve the retirement benefits available to government workers.
“The Exit Benefit Scheme strengthens the retirement package of federal civil servants and reinforces the government’s commitment to their welfare and long-term financial security,” she said.
According to her, the initiative aligns with the ongoing civil service reform agenda aimed at building a more efficient, motivated and service-oriented workforce.
She also noted that detailed implementation guidelines would be communicated to relevant government institutions and civil servants in due course.
