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FG Begins ₦18bn Severance Payment to 2,100 Former Nigeria Airways Workers

trueleaders
Last updated: September 11, 2026 9:29 pm
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By Joy Silas

The Federal Government has commenced the payment of about ₦18 billion in outstanding severance benefits to 2,100 former employees of the defunct Nigeria Airways Limited, bringing fresh relief to workers who have waited for several years to receive their entitlements.

The payment follows approval by President Bola Ahmed Tinubu for the settlement of the longstanding financial obligations owed to the former workers of the national carrier.

Under the ongoing exercise, beneficiaries are being paid in batches following a comprehensive process designed to verify eligible claimants and ensure that the funds are released to the rightful beneficiaries.

According to the information made available on the exercise, payments to beneficiaries covered under batches one to seven have been completed, while the benefits of another 600 former workers in batches eight and nine are currently being finalised.

The development represents a significant step towards resolving a longstanding issue involving former employees of Nigeria Airways, who have continued to await payment of their severance benefits following the eventual collapse of the airline.

The verification and payment process involved the verification of records, biometric capture and validation of beneficiaries’ personal and banking information.

The exercise is aimed at ensuring transparency and accuracy in the disbursement process while preventing errors, duplication or payments to unauthorised persons.

Government officials have also indicated that a mop-up exercise will be conducted to accommodate eligible beneficiaries whose records could not be processed during the initial verification exercise.

The mop-up exercise is expected to cover genuine cases that require additional documentation or verification, including situations involving deceased beneficiaries, their next of kin and estates.

The provision for deceased beneficiaries is expected to enable legitimate representatives of former Nigeria Airways workers who died before receiving their entitlements to complete the necessary processes and access the benefits due to their principals or estates.

The Federal Government’s intervention is expected to ease some of the financial difficulties faced by former Nigeria Airways employees and their families, many of whom have pursued the settlement of their outstanding entitlements for years.

The payment also underscores the administration’s efforts to address inherited financial obligations and resolve outstanding labour-related commitments involving former government-owned enterprises.

Nigeria Airways Limited, once the country’s national flag carrier, played a major role in domestic and international air transportation before its operations were eventually discontinued. Its former employees have, over the years, continued to seek the payment of outstanding benefits arising from their disengagement.

With the commencement of the ₦18 billion payment, the Federal Government is now moving towards resolving a significant portion of the outstanding obligations to the former workers.

The completion of payments to the first seven batches and the ongoing processing of beneficiaries in batches eight and nine are expected to further advance the settlement process.

The planned mop-up exercise will also provide an opportunity for eligible former workers or their authorised representatives whose documentation was not captured during the initial exercise to have their claims reviewed.

The government is expected to continue the process until all verified and eligible beneficiaries are appropriately captured and their outstanding severance benefits paid.

For the former Nigeria Airways workers, the development marks an important milestone in their prolonged quest for justice and the payment of benefits owed to them, while also providing renewed hope that the longstanding matter is moving towards final resolution.

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