Abia Retirees Call On Otti To Reconsider Forfeited Pension Arrears And Gratuities, As Enshrined In Moa By Nup Leadership.

Emmanuel Ugwu-Nwogo reporting from Umuahia


After Abia State government claimed to have cleared all outstanding pension arrears, retirees are now rejecting the Memorandum of Agreement (MoA) they signed, which resulted in them forfeiting a significant portion of their pension arrears. The MoA, signed between the government and the leadership of the State Council of the Nigerian Union of Pensioners (NUP), also led to the forfeiture of unpaid gratuities for the retirees.

Speaking at a press conference in Umuahia, the Abia Pensioners Forum (APF), a pressure group within Abia NUP, expressed their discontent with the MoA and called on Governor Alex Otti to reconsider the agreement. They argued that the NUP leadership was deceived or manipulated into signing off on the pension arrears and gratuities.

According to records, 6,242 state pensioners and 5,237 local government pensioners were paid a total of N9.023 billion in arrears, representing 30-60% of each retiree’s total arrears. Retirees with arrears below N1 million received 60% payment, while those with arrears above N5 million were paid only 30% of the total amount owed to them. The discrepancy in payments, along with the forfeiture of pension arrears and gratuities, has left many pensioners dissatisfied.

The Coordinator of the Forum, Mr. Okey Kanu, expressed disappointment with the purported clearance of arrears and recalled Governor Otti’s campaign promise to fully clear all pension arrears. Kanu pointed out that the actual amounts received by pensioners differed from the figures expected, leading to widespread disappointment and confusion.

Kanu, who is also a legal practitioner, criticized the MoA signed between the government and Abia NUP, describing it as illegal, exploitative, and unconscionable. He emphasized that pension and gratuity are statutory and personal rights that cannot be negotiated away by anyone.

The straw that broke the camel’s back was the revelation that gratuities were also forfeited under the MoA, causing further distress among retirees. Kanu explained that when the Otti administration introduced the idea of percentage-based forfeitures of arrears, the pensioners accepted it with certain conditions. The proposal stipulated that pensioners with arrears of N1 million and below should receive full payment, while those with higher arrears would forfeit a portion.

However, when the government started paying the arrears, there was no transparency in the computation process, and pensioners received varying amounts that did not adhere to the agreed-upon parameters. Kanu pleaded with Governor Otti to review the payment of arrears and address the unresolved issues, despite the government’s claim that pensioners have already received full and final payments.

The Forum has been actively advocating for their cause. They have written a letter to the governor and various individuals and offices within and outside Abia State, seeking intervention and requesting the reconsideration of the MoA. The Forum proposes that instead of pensioners forfeiting their arrears, the government should have used a portion of the N10 billion already spent on the arrears as partial payment, while the remaining N20 billion would remain as debt.

By canceling these debts, the current administration risks shouldering the blame for the accumulated pension and gratuity arrears, which were the responsibility of the previous administration, the Forum Coordinator concluded.