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Local government chairmen in Enugu State have agreed to dedicate 10 per cent of their monthly allocations to clearing outstanding gratuity payments owed to retired workers, with some of the arrears reportedly dating back 25 years.
The decision is aimed at addressing the long-standing financial obligations to former council employees who have waited for years to receive their retirement benefits.
Under the arrangement, the councils will commit a portion of their monthly funds towards settling the accumulated liabilities, providing a structured approach to resolving the backlog rather than allowing the unpaid benefits to remain outstanding.
The development is expected to bring relief to affected retirees, many of whom depend on their retirement entitlements to meet essential needs, including healthcare, feeding and other household expenses.
The commitment also places responsibility on the individual councils to sustain the payment plan and ensure that funds earmarked for gratuities are used for that purpose.
However, the pace at which the arrears will be cleared will depend on the amount owed by each council, the resources available and the consistency with which the agreed contributions are made.
The move marks an effort by the local government authorities to confront a decades-old challenge affecting retired council workers and establish a more organised process for fulfilling their outstanding obligations.