The Bank Verification Number (BVN) scheme and the Integrated Payroll and Personnel Information System (IPPIS) have erased 23,846 non-existent workers from the Federal Government’s payroll, thereby reducing the administration’s February wage bill by N2.293 billion.
According to the minister of finance: “this figure represents a percentage of the number of non-existent workers who had hitherto been receiving salary from various ministries, departments and agencies. It was further explained that the investigation of other suspected cases continues in conjunction with the Economic and Financial Crimes Commission (EFCC).”
The ministry also revealed that the Federal Government is also taking actions to pursue recovery of salary balances in bank accounts, as well as any pension contributions in respect of the deleted workers. This involves active collaboration with the concerned banks and the National Pension Commission.
In the statement, ministry noted “the Military Pension Board has revised the amount payable for its due pension contributions on a monthly basis by N575 million, following its annual verification exercise for military retirees. This reduced the number of pensioners by 19,203 as a result of deaths since the last verification exercise in 2012. The Federal Government, in its efforts to reduce personnel cost, is determined to continue the verification programme on a regular periodic basis.”
Since personnel costs represent over 40 per cent of total government expenditure, the ministry explained that the Federal Government would continue to strengthen its payroll controls as it plans to undertake periodic checks and to utilise computer assisted audit techniques under its new continuous audit programme.
