The Ogun State Government has released N6.75 billion for the payment of gratuities and Additional Pension Benefits (APB) to retirees in the state.
Head of Service Olanrewaju Saka announced the development in a statement on Friday.
He said the funds form part of ongoing efforts to clear outstanding pension obligations and improve the welfare of retired workers.
According to Saka, N2.751 billion was released to settle gratuities for 432 beneficiaries, while N4 billion was allocated for Additional Pension Benefits covering eligible retirees from July 2025 to date.
He reaffirmed the government’s commitment to ensuring that workers who served the state diligently receive their full retirement entitlements, despite competing demands on state resources.
Saka explained that the Additional Pension Benefit was introduced to bridge the gap between what retirees would have received under the old Defined Benefit Scheme and the amounts they are entitled to under the Contributory Pension Scheme (CPS).
Under the CPS, workers accumulate savings in their Retirement Savings Accounts. However, some retirees may receive lower overall benefits compared to the former scheme.
The APB provides an extra payment from the state government to help close part of that difference. It is separate from the funds already in retirees’ Retirement Savings Accounts and does not reduce those savings.
Saka added that the latest release underscores the administration’s resolve to deliver greater financial security and dignity to retirees, with plans to continue addressing outstanding pension and gratuity obligations in a systematic and sustainable manner.
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