Severance package: FG begins payment of PHCN workers

AUGUST 7, 2013  

Minister of Power, Prof. Chinedu Nebo

The Federal Government has commenced the payment of the severance packages of employees of the Power Holding Company of Nigeria in preparation for the conclusion of the privatisation of the power sector.

Our correspondent gathered on Tuesday that the Office of the Accountant-General of the Federation had commenced paying off some workers of the power firm.

It was also learnt that some workers of the power generating companies, which were carved out of the PHCN, had received alerts from their banks that their entitlements had been paid.

The payment, our correspondent gathered, would be done in batches.

When contacted, the General Secretary, Senior Staff Association of Electricity and Allied Companies, Mr. Abiodun Ogunsegha, said although the Federal Government had not officially told the union leaders that it had commenced payment, some employees in the sector had started receiving bank alerts.

According to him, the government is supposed to brief officials of the unions once it commences payment, stressing that the technical committee set up by the workers and the government has not officially announced the commencement of payment.

Ogunsegha said, “Workers in some PHCN outfits have said that they have started receiving alerts, but I cannot confirm that for now. This is because we have yet to meet with the Ministry of Power on this issue.

“The technical committee set up to look into the issue of payment has not been briefed by the government on whether it (government) has started making payment. So, I cannot categorically tell you that payment has started and the amount that has been paid despite claims by some workers that they have started receiving bank alerts.”

The Federal Government said the workers of the PHCN would start receiving the pay cheques for their severance benefits from last week.

The Minister of Power, Prof. Chinedu Nebo, said this at a power sector development forum organised by his ministry in conjunction with a German power firm, Siemens, in Abuja.

“There has been a directive for the payment of the PHCN workers, which may commence this week,” he had said.

Nebo had also said that a proper audit of the payment processes, which delayed the final disbursement of funds to the workers, had been concluded.