FG pays severance benefits to 2,100 former Nigeria Airways workers after 20 years

The Federal Government has paid the severance benefits owed to 2,100 former workers of Nigeria Airways. This comes more than 20 years after the airline was shut down.

The payment includes beneficiaries in Batches 1 to 7. This was announced in a statement from the Federal Ministry of Finance on Friday.

Another 600 former workers in Batches 8 and 9 are being processed for payment. They are expected to receive their benefits in a few days. This will raise the total number of beneficiaries to 2,700.

The ministry said the total benefits for the nine batches amount to N18 billion.

Nigeria Airways started in 1958 as the country’s national airline. It stopped operations in 2003 and was liquidated in 2004. Many former workers have spent years trying to get their unpaid terminal and severance benefits.

The latest payments come after years of requests from the former workers. The National Assembly and different administrations have intervened over the years to address the unpaid benefits.

In January 2025, the National Assembly Joint Committee on Aviation stated that the Federal Government owed former Nigeria Airways workers N36 billion. They even threatened to block the aviation budget approval unless payments were made.

The Ministry of Finance said President Bola Tinubu had approved the payment of the outstanding severance benefits. He directed that the issue be resolved quickly.

Under the leadership of the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, the ministry worked to identify eligible beneficiaries. They validated records and confirmed financial obligations before starting the payments.

Mr Oyedele said this payment was part of the government’s plan to settle important outstanding obligations.

“Behind these figures are people and families who have waited for years to get what is rightfully theirs,” he said.

“Our job is to tackle outstanding obligations and make sure that once we have the money, those affected feel the positive impact of the government.”

He added that this process showed what could happen when government bodies cooperate to solve long-standing problems.

The ministry also recognized the work of the Minister of Aviation and Aerospace Development, Mr Festus Keyamo, and the National Assembly Joint Committees on Aviation in resolving this matter.

The goal is to ensure that all rightful beneficiaries get their benefits while keeping public funds safe.