The Federal Government has paid N18bn in outstanding severance benefits to 2,100 former workers of the defunct Nigeria Airways, more than two decades after the national carrier was liquidated.
The Federal Ministry of Finance disclosed this in a statement on Friday, saying beneficiaries in Batches 1 to 7 had received their payments, while another 600 former workers in Batches 8 and 9 were being processed for payment.
The ministry said the 600 beneficiaries were expected to receive their entitlements in the coming days, bringing the total number of beneficiaries under the exercise to 2,700.
Nigeria Airways, established in 1958 as the country’s national carrier, ceased operations in 2003 and was liquidated in 2004. Its former workers had since pursued their unpaid terminal and severance benefits.
The latest payment followed President Bola Tinubu’s approval for the settlement of the outstanding obligations, as well as interventions by the National Assembly and successive administrations.
In January 2025, the National Assembly Joint Committee on Aviation said the Federal Government owed former Nigeria Airways workers N36bn and threatened to withhold approval of the aviation budget unless provisions were made for the payment.
The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, said the payment was part of the government’s efforts to address legitimate outstanding obligations.
“Behind these figures are people and families who have waited for years to receive what is legitimately due to them,” Oyedele said.
“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.”
The ministry said the payment process involved identifying eligible beneficiaries, verifying records, biometric capture and validating personal and banking information to ensure that the funds went to legitimate beneficiaries.
The Director in charge of the Presidential Initiative and Continuous Audit Department, Seldam Dangin, said the ministry was preparing a second-phase mop-up exercise for eligible beneficiaries whose records could not be processed during the first phase.
He said the exercise would involve updating inaccurate or outdated information, further biometric verification where necessary and correcting banking details.
It would also cover deceased beneficiaries, with their next of kin or estates required to complete the necessary verification and legal processes before payment.
The mop-up exercise is expected to begin by the end of September or early October, subject to final arrangements.
The ministry acknowledged the roles of the Minister of Aviation and Aerospace Development, Festus Keyamo, and the National Assembly Joint Committees on Aviation in efforts to resolve the outstanding payments.
It also acknowledged the Senate Committee on Aviation, chaired by Senator Abdulfatai Buhari, and the House Committee on Aviation, chaired by Hon. Abdullahi Idris Garba, for their oversight and engagement on the matter.
The Federal Government said the payment to the first seven batches, alongside the processing of Batches 8 and 9, marked a major step towards resolving the longstanding severance obligations to former Nigeria Airways workers.
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