Like their counterparts in other states of the federation, Benue workers are at the mercy of the prevailing economic hardship marked by galloping inflation since President Bola Ahmed Tinubu said ‘subsidy is gone’ and followed it with the policy of naira ‘floating’. While Governor Hyacinth Alia has remained faithful to the prompt payment of salaries every month since his inauguration on May 29, 2023, he has however failed woefully to fulfil his major campaign promise to pay accumulated arrears of salaries, pensions and gratuities within 100 days in office. It’s a pledge the Benue electorate, particularly workers, completely swallowed to massively vote him into Government House, believing that as a Catholic priest, he will keep his words.
Effectively 17 months in office, Benue workers and pensioners continue to bellow to Governor Alia for their earned wages as they reel in penury and misery orchestrated by rampaging inflation that has made nonsense of the old minimum wage they are still being paid. THEOPHILUS ADEDOKUN reports how the unpaid salary arrears, pensions, gratuities and other owed retirement benefits impact negatively on workers and retirees.
EVERY worker looks forward to retirement – to rest and enjoy the benefits of sweat and service to the state. They all anticipate an easy life without struggle, sorrows and stress. However, this expectation is not the same for Benue State’s public service retirees, majority of whom have been pushed into penury and misery.
For the retirees, it is a daily menu of abject poverty, of hunger, illness and perpetual agony unmet needs and hopelessness as the state government remains recalcitrant to pay their retirement benefits years into retirement.
Mrs Margaret Nongo retired from the Benue State public service in 2014. Since then, her life has no longer been at ease. Before her retirement, she had looked forward to a comfortable life after 35 gruelling years in service.
The dream to live a good life and invest a lion’s share of her gratuity in business was her utmost priority. This, she believed, would be a turning point in her life that would generate her wealth and blossom after service.
But what life has in stock was different when her plan was twisted by the non-payment of gratuity by the state government. With a retired husband that was not getting paid his pension and extended mouths to feed, she was left to wallow in penury.
It is now 10 years since retirement and Nongo’s ambition remains a nightmare due to her unpaid gratuity by the state government. The previous administration of Samuel Ortom, which was supposed to compensate her in 2015, failed and this made living miserable.
Findings by this reporter indicate that the current administration of Governor Alia has not deferred in the payment of salaries to civil workers since assumption of office. However, his commitment to pay up arrears of salaries and gratuities remains questionable and concerning after 17 months in office.
“I retired in 2014. That was ten years ago. Since I retired, I have not gotten my gratuity. Ortom promised he was going to pay in arrears. It was supposed to be paid in 2015 but I didn’t get it to date. The backlog of my pension arrears amount owed by the Benue State Government is more than 3 years,” Nongo said.
She expressed that surviving under Nigeria’s depleting economy is becoming difficult and it is harder for pensioners who have not gotten their entitlement. Her expectation that the incumbent administration will pay up the retirement benefits including gratuity at once failed, as she was instead being paid the arrears once every three months.
“Since the governor [Alia] came, at least he pays a month’s backlog of arrears once every three months and pension every month. Although we were expecting that this should be paid in full to make life meaningful. The gratuity too; he is looking into it but we don’t know his intention about it,” Nongo said with optimism that life will get better.
“Some of us with cars are not driving it anymore; we have resolved to use public transportation. We cannot feed well not to talk of visiting our relatives in the village. The public vehicles charge heavily; going to the village is something of the past,” said Nongo, noting that economic hardship would be mitigated if her owed gratuity and arrears were paid at once or in tranches.
Existential challenges
Feeding is not the only problem of pensioners and workers; the increasing cost of fuel has sapped many workers and pensioners to abandon their cars and live a solitary life while delayed arrears and unpaid gratuities deny them the resources for mobility to engage in existential activities.
The National Bureau of Statistics data on inflation showed that the prices of food have increased by 15.62% points in a year, rising from 25.25% in June 2023 to 40.87% in June 2024.
Nongo’s plight is reflected in a letter signed by a former chairman and a secretary of the Benue State Council of the Nigeria Labour Congress (NLC), Peter Kyado and Joseph Adakole respectively. The letter expressed retirees’ predicament and sought the intervention of the NLC to resolve the situation and guarantee that retirees are paid their benefits and pension.
“Some pensioners earn only N800 minimum pension in the state despite the Act fixing the national minimum wage at N18,000. Presently, Labour unions in the country are clamouring for at least N56,000 national minimum wage,” the letter reads.
A labourer deserves his wages
Although Alia’s administration has shown some concern for retirees; however, the payment of the backlog has stalled, and thus the reality of getting gratuity paid remains a mirage. “A labourer deserves his wages. You work, you earn your living. So the state is not going to owe anything to anyone and again to those who are retiring since 2023, we have already made it a point of duty that once you retire it must not take up to 4 months before you collect your gratuity or pension and by doing this gradually we are going to revisit the backlog of arrears that exist in fact we have started work on that already, we are trying to raise our IGR and so once it its raised any month and we have something in there. It is going straight to the arrears of pensioners,” the governor had said.
Interviews with retiree of different levels by National Record revealed that pensioners in local government and retired state workers are owed huge arrears of at least 40 months in addition to other retirement benefits. The pensioners, and indeed serving civil servants, had earlier in the year expressed grievances on the non-payment of pensions, salaries, and accumulated arrears, noting that this denial generally worsened living conditions of the state’s working class.
They said that delays in the payment of retirees and civil servants’ entitlements had pushed them into debt traps, National Record had reported in April, noting the continuous harassment and embarrassment encountered at the hands of their creditors.
Although Governor Alia had pledged to clear backlogs of salaries, gratuities, and other workers’ entitlements left behind by successive administrations within a period of 100 days into his administration, he has not been able to do so 17 months after.
Not only that Governor Alia is not able to fulfil his most profound promise, he has also not been able to essentially prioritise the welfare of workers beyond monthly payment of salaries. For instance, while the federal government has shown optimism about reviewing pensions for its retirees including that of the FCTA, Benue State Government under Rev. Fr. Alia is still grappling with defraying the huge arrears even with improved federal allocation as well as Internally Generated Revenue (IGR).
In addition, the Alia leadership has up to now not been able to promptly facilitate the implementation of the new national minimum wage for the state’s workers.
The retirees particularly noted that Governor Alia is morally bound by his promises and that his victory was mainly tied to the promise to workers and pensioners that he will clear the arrears of salaries and pension. Noting that with improved income from the federation account that has more than doubled what the immediate past administration was getting, Governor Alia has little or no excuse not to prioritise defraying the backlog and allow workers and pensioners the relief they deserve.
The release of bailout cash to cover all overdue pensions accrued to retirees nationwide was demanded by the Nigeria pensioners Association. “As the president of the union, this neglect gives me sleepless nights, especially when legitimate and legal rights are denied to these senior citizens.
Godwin Abumisi, the association’s national president, lamented during his remarks on Pensioners’ Day that many states and local government pensioners nationwide have died without enjoying the rewards of their labour as their pensions have been unpaid for years and their gratuities have been completely denied.
The older, the tougher
Many of the retirees spoken to have different but similarly sordid tales to share. For retired Permanent Secretary of the state, Mr James Otanwa, told National Record that several months of unpaid salaries, pensions, and gratuities had piled up from past administrations which he said could be cumbersome to pay at once.
Findings by this reporter indicate that incidences of non-payment of workers and pensioners peaked during the immediate past administration of Governor Samuel Ortom.
“Retirees are owed for several months. Some were owed up to 43 months [3 years, 7 months] by the immediate past administration and when the present administration of Rev. Fr. Alia came in; they saw it as a necessity to clear the backlog but the huge amount involved definitely would not allow any administration to go into it like that; so, he has started releasing it sometimes,” said Otanwa.
Research indicates that the problems faced by older workers and retirees put them at risk after several years in the labour market, calling for greater attention from policymakers and governments. The research shows that most retirees are aged people who earn substantially lower income than they used to while in active service. This proves that retirees struggle to meet their socio-economic responsibilities, which eventually has an impact on their wellbeing due to the little pension and payment delays.
Findings by this reporter indicate that the current administration of Governor Alia has not deferred in the payment of salaries to civil workers since assumption of office. However, his commitment to pay up arrears of salaries and gratuities remains questionable and concerning after 17 months in office.
These backlogs and debts are expected to be paid by the present administration in view of the promises made by Rev. Fr. Alia during his campaigns and immediately after he emerged as governor of the state.
Many civil servants and retirees who spoke to this reporter, most under anonymity, for fear of retribution, stressed that because government is a continuous process, the government is under obligation to pay up the arrears, even if the governor had not promised to do so ab initio.
The retirees particularly noted that Governor Alia is morally bound by his promises and that his victory was mainly tied to the promise to workers and pensioners that he will clear the arrears of salaries and pension. Noting that with improved income from the federation account that has more than doubled what the immediate past administration was getting, Governor Alia has little or no excuse not to prioritise defraying the backlog and allow workers and pensioners the relief they deserve.
“Words cannot express our sorrow. What they are giving us every month is nothing to write home about. It is not even enough to feed myself let alone my family. I tried to manage what I got from other sources or charities. I also try to minimise what I spend,” Onoja said.
In multiple interviews with this reporter, workers in active service and retirees did not hide their feelings of no longer being comfortable with the unending wait in the face of daily inflation, which, as one serving senior civil servant said; “expurgates the miserable salaries and pension of state and local government workers and retirees”.
Agreeing with this opinion, retired permanent secretary, Otanwa, said: “As far as the economy is concerned, anybody on our miserable salaries and pension will not feel comfortable with inflation.” He noted that there was equally the need to urgently implement the new minimum wage even as he said it is no more realistic in view of the present economic realities in the country. “Salaries and pensions do not increase as prices increase. You go to the market any day and find new prices. How do you expect pensioners who are owed so many months to be comfortable?”
Expressing that the distressing experiences which pensioners who had spent their youthful and productive years serving the state were not worth it, Otanwa lamented that many can no longer engage in physically intensive and laborious work to fend for themselves and earn decent wages. “Old people that have served for a long time; and not being paid appropriately will make them develop health challenges. They are old people and they cannot farm; they are not strong enough and not capable of farming. Go to the farm and you cannot see old people. They find it difficult to survive in situations like that,” he added.
Joseph Onoja, a 75-year-old retiree and one of the few who agreed to speak on record like Otanwa, said that nothing can explain how gloomy the situation has been for him as he now survives on charity. He further disclosed that the unsmiling economic situation is exacerbated by age which caught up with him.
“Words cannot express our sorrow. What they are giving us every month is nothing to write home about. It is not even enough to feed myself let alone my family. I tried to manage what I got from other sources or charities. I also try to minimise what I spend,” Onoja said.
While expecting the state government to review pensioners’ arrears, Onoja said that his monthly pensions are very low when compared to the price of goods and services in Nigeria. “There is nothing we can do; we just have to survive – no increment and additional stipends. Our arrears are nothing to write home about yet things are very high,” Onoja lamented.
Flashback
During his acceptance speech, Alia expressed his commitment to clear the backlog of salaries and arrears and ensure a flourishing Benue economy.
Although Moses believed that the state government was doing everything within its capacity to ensure that civil workers were not owed, he bemoaned the cost of living and the price of fuel which was hampering financial abilities of workers.
“We will clear the back log of arrears and salaries and pensions and gratuity, resettle our IDPs in their ancestral homes, address persistent insecurity challenges and we set a stage for a prosperous Benue,” the freshly sworn in Rev. Fr. Alia had asserted.
A few months later, Fr. Alia, however, lamented that his government inherited N359 billion emolument debt. He noted this was accrued from salaries, pensions and gratuity arrears owed by his predecessors. “Since we came in, I know that Benue state, on record, has debts of over N359 billion; being pensions and gratuities, salaries and arrears as well as the debts ranging from the poor and then the domestics.
“What we’re trying to do is see how we can renegotiate these and then to get back on a better perspective and then to forge ahead with the development of this state,” Alia asserted.
Static minimum wage
Mary Odeh, a widow and civil servant, bemoaned the cost of living and the state government’s tardiness in reviewing the minimum wage. She pointed out that the state government needs to swiftly review salaries because the N18,000 monthly wage no longer reflects the current socio-economic realities.
She said she could barely afford two square meals to feed her three children, stressing that the state government should mitigate the situation people of her status face. “I am a public servant but the situation now makes me look like a lazy woman. We can no longer eat in the morning, afternoon and night. Feeding twice is difficult and when I add this up to other expenses, you will see that there is nothing to write home about,” the widow said.
On health challenge, she is grateful to God as she and her children do fall sick. She said accessing medical treatment would have been difficult had it been she and her children fell sick. “My saving grace is that my children are hale and healthy but if they fall sick, I will have a problem because I do not have any saving to cater for medical bills.”
Similarly, Sunday Paul, another civil servant, pointed out that his challenges were similar to others, stating that the cost of fuel which affects mobility to his workplace and food commodities are his basic needs that cannot be met under the current salary scale.
“Cost of transport is very high and we cannot even afford to convey ourselves to the office and transportation and feeding which cannot be met. The government is paying salary but the cost of transportation and the feeding is the problem. And it is these two things that matter; so, the government should help us to do something about our salary,” Paul noted.
“It is very difficult we are finding it difficult; we are just managing life. When we carry any money to the market, we find it difficult to buy. No matter how much we take to the market it is not enough and the fuel hike is making life difficult for us,” said a civil servant who simply identified himself as Moses.
Although Moses believed that the state government was doing everything within its capacity to ensure that civil workers were not owed, he bemoaned the cost of living and the price of fuel which was hampering financial abilities of workers. He further complained that there has been intermittent increment in the cost of public transportation, forcing them to spend more. “The short distance that we paid less than 200 naira for before now goes for between 500-600 naira. Often, money finishes very quickly, as if you lost money no matter how much you have at hand,” Moses lamented.
State officials mum
National Record sent an inquiry to the Benue State Commissioner for Finance, Michael Ogblega, to ascertain when minimum wages would be reviewed. He has however failed to respond to calls and later text messages sent between Tuesday, October 8 and Tuesday, October 15.
Similarly, series of messages sent to the Chairman of the Benue State Pension Board, Mr Terna Ahua, for enquiries about the actual number of months the state government owes pensioners and if there is any plan to review of retirees’ arrears, were not responded to, although the messages were read. Also, a call put through to Mr Ahua was neither responded to nor called back.
Experts speak
Experts in the pension administration raised concerns over the low pensions, particularly among public sector retirees, who often have lower pay compared to their counterparts in the private sector.
For Amagwu Francis, a professor of Micro and Development Finance at Apollos University, USA, there is the need to review the Pensions Act in Nigeria. Amagwu stated that inherent limitations, poor administration of pension, avoidable delays, non-payment of accumulated backlogs, and frustrations are pains that pensioners (beneficiaries) regularly face.
“It is time we allowed our elder citizens access to their hard-earned savings for a good life after retirement and not allow them to die in penury while their next-of-kin(s) and those who did not labour with them enjoy such funds upon their death.
“What affects the current pensioners today would also affect those in active employment as they would be pensioners in future. There is a strong need for policy advocacy in this regard,” Prof Francis said.
This Special Report is supported by the Wole Soyinka Centre for Investigative Journalism (WSCIJ), with funding support from the MacArthur Foundation.
