Lagos State is proposing to repeal the Public Office Holder (Payment of Pension Law 2007), which provides for payment of pension and other entitlements to former Governors and their Deputies.
Governor of Lagos State, Babajide Sanwo-Olu, who disclosed this on Tuesday while presenting the 2021 budget to the Lagos State House of Assembly, said an executive bill to that effect will be sent to the lawmakers for approval.
Sanwo-Olu said the move was part of measures to conserve resources for the development of the state and cut the cost of governance.
“Mr. Speaker and Honourable Members of the House, in light of keeping the costs of governance low and to signal selflessness in public service, we will be sending a draft executive bill to the House imminently for the repeal of the Public Office Holder (Payment of Pension Law 2007), which provides for payment of pension and other entitlements to former Governors and their Deputies,” the governor told the legislators in his budget speech.
In 2007, shortly before the end of tenure of the former state governor, Bola Tinubu, the State House of Assembly passed a pension law for erstwhile governors and their deputies.
According to the terms of this law, the governor is entitled to N30 million annually, a house in Lagos and Abuja, six brand new cars every three years, medical allowances in any part of the world and other juicy allowances.
The entitlement of the deputy is similar, but a scale low, but nonetheless, consider a big burden on the finance of the state.
Sine then, many states of the federation have join in the trail of Lagos and imposed a huge financial burden on their state in form of pension for ex governors.