The Katsina State Government has taken a major step towards resolving the long-standing pension crisis affecting retired civil servants, announcing plans to clear a N20 billion gratuity backlog across the state and local government levels. The announcement was made by Dr. Farouk Aminu, Chairman of the State and Local Government Pension and Gratuity Committee, during a media briefing in Katsina to unveil the newly enacted 2025 Pension Reform Law.
Addressing journalists, Dr. Aminu said clearing the arrears remained a top priority for Governor Dikko Umar Radda’s administration. “The Katsina State Government is fully committed to wiping out the N20 billion gratuity arrears. This administration is determined to ensure that our retired workers receive their rightful benefits without further delay,” he stated.
The new law introduces modernised pension provisions, including strengthened funding mechanisms for both state and local government pensions, enhanced transparency and oversight, and stricter penalties for delays in remittances. It also incorporates contributory pension elements for new employees while safeguarding the accrued rights of existing workers.
Dr. Aminu noted that the law was drafted after wide-ranging consultations with labour unions, pensioners’ associations, and financial experts, all aimed at achieving long-term sustainability. He added that the government had already begun phased payments to verify beneficiaries and steadily reduce the backlog.
For years, retired civil servants in Katsina State have faced significant hardship due to unpaid gratuities, with many waiting several years after retirement to access their entitlements. The renewed government commitment, backed by the legal framework of the 2025 law, has been welcomed by pensioners as a genuine effort to address the crisis.
Officials say a combination of increased budgetary allocations and the reforms introduced by the new law will ensure that the N20 billion debt is cleared as quickly as possible. The initiative forms part of Katsina State’s broader effort to improve the welfare of both serving and retired workers and is being cited as a model for pension administration across Northern Nigeria.
