FEC Approves 100% Gratuity For Retiring Federal Civil Servants

The Federal Executive Council (FEC) 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 emoluments.

The Office of the Head of the Civil Service of the Federation made this known in a statement issued on Thursday.

According to the statement, the scheme took effect from January 1, 2026, and is intended to reinforce the welfare framework within the federal civil service while ensuring that officers who have served the country for a minimum of 10 years retire with improved financial support.

The office explained that the approval followed the recommendations of an inter-ministerial technical committee constituted by the office to examine the proposal.

It noted that the committee collaborated with the National Pension Commission (PenCom), the Budget Office of the Federation, and the Office of the Accountant-General of the Federation to design a sustainable structure for implementing the scheme.

The statement added that the new exit benefit would complement the existing Contributory Pension Scheme, with the aim of strengthening retirement income security for federal civil servants working in treasury-funded ministries, extra-ministerial departments, and agencies.

The Head of the Civil Service of the Federation, Didi Walson-Jack, commended the council for approving the initiative.

She said the decision reflects President Bola Tinubu’s administration’s recognition of 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.

Ms Walson-Jack further stated that the initiative aligns with the ongoing reforms aimed at creating a more motivated, performance-driven, and people-centred civil service.

She added that comprehensive guidelines for implementing the scheme would be released in due course