FG Disburses N18bn To 2,700 Former Nigeria Airways Staff Two Decades After Liquidation

The Federal Government has commenced the payment of N18 billion in outstanding severance benefits to 2,700 former workers of the defunct Nigeria Airways Limited. This major financial disbursement comes 22 years after the liquidation of the national carrier, marking a significant step toward resolving a decades-long labor dispute.

According to an official statement from the Federal Ministry of Finance , disbursements have already been completed for 2,100 former employees categorized under Batches One to Seven. The ministry further confirmed that verification and processing for the remaining 600 beneficiaries in Batches Eight and Nine are currently being finalized, with payments expected to hit their accounts within days.

This long-awaited development is set to bring immense relief to the former aviation workers and their families. For over two decades, many of these beneficiaries have endured severe financial hardships while waiting for the government to settle their rightful entitlements.

President Bola Ahmed Tinubu previously granted executive approval for the disbursement of the long-delayed severance benefits. In his directive, the president mandated that the multi-decade issue surrounding the entitlements of the former national carrier’s workforce be conclusively resolved to bring much-needed closure to the affected individuals and their families.

Under the supervision of the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele , the ministry implemented rigorous structural procedures. This phase involved meticulously identifying eligible former staff members, validating historical employment records, and authenticating the precise financial obligations of the federal government.

These administrative efforts successfully cleared the path for the immediate payment of the first seven batches of retirees. Furthermore, the Federal Ministry of Finance has finalized all necessary arrangements to begin disbursements to the final eligible beneficiaries grouped under Batches Eight and Nine.

Commenting on the development, Oyedele said the payment demonstrated the Federal Government’s commitment to addressing legitimate outstanding obligations and prioritising the welfare of Nigerians.

“Behind these figures are people and families who have waited for years to receive what is legitimately due to them. Our responsibility is to confront outstanding obligations, complete the necessary processes and, once the resources are secured, ensure that the people affected feel the impact of government positively,” he said.

The minister said the exercise also demonstrated what could be achieved when government institutions worked together to resolve longstanding issues.

He added that the objective was to ensure that legitimate beneficiaries received their approved entitlements while maintaining safeguards around public funds.

The Federal Ministry of Finance warmly acknowledged the vital collaboration of the Minister of Aviation and Aerospace Development, Festus Keyamo, SAN . His proactive engagement and continuous synergy with the finance ministry were instrumental in sustaining momentum and accelerating efforts toward the final resolution of the long-standing matter.

To safeguard public funds, the disbursement process involved an exhaustive and meticulous verification of all beneficiary records. This security operation included strict biometric capture alongside the thorough validation of personal profiles and banking credentials, ensuring that the outstanding funds reached only the rightful former workers.

Meanwhile, Seldam Dangin , the Director in charge of the Presidential Initiative and Continuous Audit (PICA) Department, confirmed that preparations are underway for a second phase. This mop-up exercise is designed specifically to capture and process any remaining eligible beneficiaries whose documentation could not be verified or completed during the initial phase.

According to Seldam Dangin , the upcoming exercise will prioritize rectifying clerical discrepancies. The process will focus on updating inaccurate or outdated profile information, conducting additional biometric verification where anomalies exist, and correcting faulty banking details to ensure seamless fund transfers.

The mop-up phase will also systematically address outstanding claims involving deceased beneficiaries. For these specific cases, the designated next of kin or administrators of the estates will be required to present valid legal documentation and complete the standard verification processes before any payments can be cleared.

Barring any administrative changes, the clean-up exercise is projected to officially commence by the end of September or early October . This timeline remains subject to the prompt finalization of the remaining logistical and structural arrangements within the ministry.