Lagos state governor, Babajide Sanwo-Olu earlier today initiated a plan to stop the payment of pension to former governors of the state and their deputies, and here is all you need to know about the fat pension.
The abolition of pension will affect former governors Bola Tinubu, Babatunde Fashola, Akinwunmi Ambode, and their deputies
The pension law was passed by the state assembly in 2007 as former Governor Bola Tinubu was ending his second term tenure.
Titled: The Public Office Holder (Payment of Pension) Law No 11 Official Gazette of Lagos State, 2007, the law has been copied by other states.
The Revenue Mobilisation, Allocation and Fiscal Commission, RMAFC said the governors are only entitled to 300 percent severance pay, as provided in Certain Political Office Holders and Judicial Officers Remuneration Act.
Under that act, former governors, like lawmakers are entitled to 300% of their basic salary of N2, 223,705 amounting to N6,671,115 as severance pay.
The Lagos pension law for ex-governors states that former governors of the state are entitled to a house each in any location of their choice in Lagos and Abuja.
Section 2 of the law states that, “One residential house each for the governor and the deputy governor at any location of their choice in Lagos State and one residential house in the Federal Capital Territory for the governor on two consecutive terms.”
The law also provides for six new cars every three years, 100 per cent of the basic salary of the serving governor (N7.7m per annum), as well as free health care for himself and members of his family.
The law also says former governors will be entitled to:
- Furniture allowance, which is 300 per cent of their annual basic salary (N23.3m);
- House maintenance allowance, which is 10 per cent of basic salary (N778, 296);
- Utility allowance, which is 20 per cent of the salary (N1.5m)
- Car maintenance allowance, which is 30 per cent of the annual basic salary (N2.3m).
- Entertainment allowance, which is 10 per cent of the basic salary (N778, 296)
- A personal assistant, who will earn 25 per cent of the governor’s annual basic salary (N1.9m).
According to the law, the former governor will also be entitled eight policemen and two officials of the Department of State Services for life. The state will bear the expenses.