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You are at:Home»Breaking News»Abia State begins payment of gratuities, resolves ABSU strike issues
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Abia State begins payment of gratuities, resolves ABSU strike issues

DailyblastBy DailyblastAugust 24, 202603 Mins Read
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Abia State Government has said it has commenced the payment of gratuities to deserving beneficiaries, and also resolved issues that led to the strike in Abia State University, Uturu.

Briefing newsmen on Monday on the outcome of the state Executive Council meeting presided over by Governor Alex Otti, the state Commissioner for Information, Okey Kanu, said that this was following the state government committee set up to midwife the payment process of gratuities in the state,

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He said that upon review of records from the State Pensions Board and Local Government Pensions Board, the committee determined the total outstanding gratuity liability to be N61.8 billion, covering both state and local government retirees.

“So if you have to do a summary of the outstanding gratuities between 2001 and 2010, it was N7.2 billion. Between 2011 and 2023, ending May 2023, May 29, 2023, it was N43.6 billion. May 30, 2023 to the present is N10.9 billion. That’s how the total of N61.8 billion came about. 

“So in consideration of the magnitude of the liability, the committee examined several payment scenarios. Having in consideration as follows, the impact of the lengthy delay on the lives of pensioners, the obligation of government as a continuum, the limitations to the capacity of government to meet the established obligations while maintaining the momentum, gains in restoring our state, and the efficacy of the process. 

“The committee therefore recommended that the total annual financial impact, 2026 to 2031, be fully provided in the state’s medium-term expenditure framework and subsequent yearly budgets to ensure steady implementation and to avoid further accumulation of gratuity arrears. 

“That payments should be made directly to verified beneficiaries through a dedicated gratuity payment platform linked to the state’s treasury single account, TSA”, Prince Kanu Informed.

The commissioner also stated that following the intervention of the state SSG-led committee set up by the state governor, the issues that led to the strike in Abia State‌ University, Uturu, have now been resolved.

“And it’s important to emphasise that before that action, the Governor of the State, Alex Otti, had approved the asset demands way back in April 2026. So the subsequent delay was, therefore, not a matter of government’s unwillingness or refusal to meet those demands, but rather an issue arising from administrative and implementation processes”, the commissioner said. 

“In particular, outstanding check-off dues have been paid. And a new salary scale, consolidated academic teaching allowance, ASCATA, and other related payments have been addressed and will be paid with the August 2026 salary of the affected workers. And the August salary of those workers is expected to drop any time soon, maybe within this week.

“The new salary scale for other staff at the Abia State University has also been processed and will be paid this month, this August. Consequently, it is safe to assume that all the issues regarding action by ASUU have been concluded or resolved.

Otti’s administration, he said, remains committed to constructive engagement with ASUU and other organised labour unions, while ensuring that workers’ welfare remains a priority of the Administration, stating that the issue of a suspended lecturer by the university remains the school’s internal matter.

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