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Anambra Releases N363m Workers’ Arrears Document

Prof. Soludo
Prof. Soludo

The Anambra State Government has released a document showing approval for the payment of N363.381 million as the second tranche of salary arrears owed to workers, pensioners and next of kin of the defunct Anambra State Water Corporation and the Anambra State Environmental Protection Agency.

The disclosure comes amid a renewed dispute between Governor Chukwuma Soludo’s administration and former Governor Peter Obi over outstanding workers’ entitlements allegedly inherited by the present government.

The document, dated May 24, 2025, was signed by the then Head of Service, Dame Theodora Okwy Igwegbe, and addressed to Governor Soludo.

It sought approval for the release of N363,381,000 for the second tranche of payments under an out-of-court settlement reached between the state government and the Amalgamated Union of Public Corporations, Civil Service, Technical and Recreational Services Employees.

According to the document, the settlement was reached on February 6, 2024, and covered arrears involving workers, pensioners and next of kin of the defunct Water Corporation and ANSEPA.

The Head of Service stated that the second tranche was due for disbursement in 2026 in accordance with the terms of settlement.

She added that the payment would be processed through the state government payroll system using a dedicated account.

The document said the payment would further demonstrate the Soludo administration’s commitment to workers’ welfare, social justice and compliance with agreements reached with organised labour.

The disclosure was publicised by the Anambra State New Media Office on Friday in a post on X, where the office linked the payment to its argument that the Soludo administration had inherited unpaid workers’ entitlements.

The development followed recent comments by Obi, who has maintained that his administration left Anambra without outstanding salaries, gratuities or pensions when he left office in 2014.

Speaking on a television programme, Obi said the state government was not owing salaries, gratuities or pensions due for payment at the time he handed over power.

He also maintained that his administration did not leave unpaid obligations to contractors or suppliers whose work had been certified and verified.

On borrowing, Obi said he did not approach financial institutions to borrow money or issue bonds on behalf of Anambra State during his eight years in office.

He explained that some funding associated with projects under his administration came through concessionary multilateral support arranged through the Federal Government.

Obi also argued that undrawn funds under a financing facility should not be regarded as debt incurred by his administration.

The disagreement over the arrears forms part of a wider dispute between Obi and the Soludo administration over the financial obligations inherited by the current government.

The Soludo administration has maintained that it inherited liabilities from previous administrations, including salary, pension and gratuity arrears.

The state government has said it has cleared about N22 billion in inherited gratuity arrears, while some legacy obligations remain outstanding.

It has also stated that arrears involving workers of the defunct Water Corporation were eventually addressed under the Soludo administration, with the first two of three instalments paid or approved for payment.

Obi, however, has continued to dispute the claim that his administration left outstanding salaries, pensions, gratuities or certified obligations to contractors.

The latest document confirms the existence of a February 6, 2024 out-of-court settlement and approval for a N363.381 million second tranche.

However, the document alone does not establish when all the underlying arrears accrued or conclusively determine which administration was responsible for the liabilities.

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