Anambra State: N363m Workers Arrears Document Released Amid Obi Dispute

• Anambra State Government released a document approving N363.381 million as the second tranche of salary arrears for former workers of the defunct Water Corporation and ANSEPA.
• The payment is part of an out-of-court settlement reached on February 6, 2024, with the Amalgamated Union of Public Corporation, Civil Service Technical and Recreational Services Employees.
• The document, dated May 24, 2025, was signed by the then Head of Service and addressed to Governor Chukwuma Soludo, with the second tranche due for disbursement in 2026.
• The disclosure intensifies a dispute with former Governor Peter Obi, who insists he left no unpaid salaries, gratuities, or pensions when he departed office in 2014.
• The state's New Media Office used the document to publicly accuse Obi of dishonesty regarding his administration's financial legacy.

Lawyers advising public sector entities or labor unions in Nigeria should note this public disclosure of an out-of-court settlement for salary arrears, as it sets a precedent for state adherence to labor agreements and the documentation required for such payments, particularly concerning historical liabilities.

The Anambra State Government has publicly released a document detailing the approval of N363.381 million, designated as the second installment of salary arrears. This payment is intended for former employees, pensioners, and the next of kin associated with the now-defunct Anambra State Water Corporation and the Anambra State Environmental Protection Agency (ANSEPA).

The disclosure, made on a Friday, comes amidst an escalating dispute between the current state administration and former Governor Peter Obi. The core of this disagreement revolves around whether Obi's government left outstanding workers' entitlements when he concluded his tenure in 2014. The document itself, dated May 24, 2025, bears the signature of Dame Theodora Okwy Igwegbe, who served as the Head of Service at the time, and is addressed to the incumbent Governor Chukwuma Soludo. Governor Chukwuma Soludo is currently serving his second term as the Governor of Anambra State, having been inaugurated on March 17, 2026.

The Anambra State New Media Office highlighted this development through a post on X, also on Friday. The social media update was pointedly captioned, "PART 3: EVIDENCE THAT LYING IS IN PETER OBI’S DNA." It further asserted that the Soludo administration had already disbursed a first tranche of state workers’ entitlements that Peter Obi allegedly left unpaid during his eight years as governor, and has now proceeded with the second, directly accusing Obi of dishonesty.

The N363,381,000 payment stems from an out-of-court settlement reached between the Anambra State Government and the Amalgamated Union of Public Corporation, Civil Service Technical and Recreational Services Employees. This agreement, finalized on February 6, 2024, specifically addresses historical arrears owed to the aforementioned workers, pensioners, and their beneficiaries from the defunct Water Corporation and ANSEPA.

According to the document, this second tranche of the Anambra public sector salary arrears is scheduled for disbursement in 2026. The then Head of Service explicitly stated in the document, "That the agreed second tranche payment of Three Hundred and Sixty-Three Million, Three Hundred and Eighty-One Thousand Naira only (N363,381,000.00) is due for disbursement in line with the Terms of Settlement signed on 6th February 2024." The payment process is slated to occur through the State Government Payroll System, utilizing a dedicated account. The document also articulates that this Soludo N363m payment approval would "further reinforce your administrations commitment to social justice, workers welfare, and adherence to agreements reached with organised labour."

The release of the document follows recent assertions by former Governor Peter Obi, who, just days prior, vehemently denied leaving office with any outstanding salaries, gratuities, or pensions. Speaking on Arise TV’s Prime Time programme, Obi categorically stated, "On the day I left office, the government of Anambra State, which I headed, was not owing any salary, gratuity, or pension to those scheduled to be paid by the state government." He further clarified that his administration also did not owe any contractors or suppliers whose jobs were certified and verified.

Obi also directly refuted Peter Obi Anambra debt claims, specifically rejecting allegations that he borrowed money or issued bonds on behalf of the state during his eight-year tenure. He emphasized, "Let me categorically state again: I, Mr Peter Obi, did not approach any financial institution to borrow money or issue bonds on behalf of Anambra State in the eight years I was in government." He explained that any financial facilities attributed to his administration were concessionary multilateral support, arranged through the Federal Government, citing examples where Anambra, alongside states like Ekiti and Bauchi, received such support due to strong performance in areas like education.

The public disclosure of the Anambra N363m workers arrears document release serves as a significant marker in the ongoing discourse surrounding governmental accountability and historical liabilities within Nigeria's public sector. This transparency, particularly concerning an out-of-court settlement for long-standing Anambra State Water Corporation arrears and ANSEPA workers arrears payment, underscores the state's commitment to honoring agreements with organized labor.

Lawyers advising public sector entities or labor unions in Nigeria should note this public disclosure of an out-of-court settlement for salary arrears, as it sets a precedent for state adherence to labor agreements and the documentation required for such payments, particularly concerning historical liabilities. The detailed nature of the released document, including the specific amount, beneficiaries, and the framework of the Amalgamated Union of Public Corporation settlement, provides valuable insight into the resolution of complex public sector salary arrears disputes.

Lawyers advising public sector entities or labor unions in Nigeria should note this public disclosure of an out-of-court settlement for salary arrears, as it sets a precedent for state adherence to labor agreements and the documentation required for such payments, particularly concerning historical liabilities.

Source: Original reporting via Punch Newspapers