The Benue State Government has disclosed that it spends
not less than N400m for payment of pension allowances
and gratuity to local government and state government
pensioners every month since assuming office in May
2015.
Mr. David Olofu, the state’s Commissioner for Finance and
Economic Planning, disclosed this to newsmen in Makurdi,
the Benue State capital on Wednesday.
According to Olofu, the current administration, led by
Samuel Ortom had disbursed N200m to pensioners at
various tier of government, while the balance was being
used for payment of gratuity.
The commissioner also added that government was very
passionate and concerned about the plight of pensioners in
the state.
He further stressed that the Governor Ortom-led
administration would continue with the obligation of paying
the pensioners.
Mr. Olofu recalled that Governor Ortom, last year, decided
to use part of the budget support fund from the Federal
Government to service pensioners and consequently setup
a special committee to liaise with the National Pension
Commission office, Abuja to workout modality on how best
to tackle the issue of pension in the state.
He said, “Because of the problems being faced by
pensioners in the state, the governor has decided to
approve contributory pension scheme for all retirees and
intending retirees in the state. Already, a committee has
been set up and very soon, the committee will complete its
assignment with the roadmap.
“At the moment, the government spends between N400m
and N500m monthly to settle the arrears of pensioners,
from budget support fund, N400m is allocated to state and
local government retirees for their pension allowance, while
about N100m depending on what we get is allocated for
payment of gratuities.”
He admitted that arrears owed pensioners in the state now
stood at ten months, adding that major part of the arrears
was inherited from the previous administration.
Olofu said, ”The government is very much worried about the
outcome of the biometric screening exercise that was
carried out last year October because the wage bill has
continued to increased instead of decreasing even when
complaints redresser mechanism was introduced with a
view to putting an end to the exercise”.
