How Payment of Gratuities Changes the Business Environment in Zamfara

In a move aimed at alleviating the plight of retired civil servants, the government of Zamfara State, under the leadership of Dauda Lawal, has commenced the screening and payment of gratuities owed to retired workers. This significant initiative has brought relief to many retirees who have long awaited their entitlements.

The government’s efforts revealed a staggering total of 13.4 billion Naira owed to retired civil servants by both the state and local governments. This revelation underscores the magnitude of the financial burden that has been lifted off the shoulders of the retirees.

Since the initiation of the gratuity payment process at the beginning of the month, retired workers across Zamfara State have expressed their joy and gratitude. Malam Usman, one of the beneficiaries, voiced his appreciation for the government’s empathy and commitment to addressing their long-standing grievances. He recounted years of struggle under previous administrations, during which their rights were not upheld.

In a heartfelt interview with The Spectacles, Malam Muhammad Bello extended his prayers for Dauda Lawal’s prosperity in this life and the hereafter, acknowledging the significance of the government’s actions in bringing relief to retirees.

Hajiya Aisha, one of the retiree, highlighted that the current administration has prioritized pensioners by placing them on the first line charge. Despite retiring five years ago, she, like many others, is still awaiting her gratuities. Tragically, some retirees have passed away without ever receiving their rightful benefits under the previous governors’ administration.

The impact of the gratuity payments has rippled beyond the realm of pensioners, as evidenced by a notable transformation in the local business environment. The influx of funds into the hands of retirees has stimulated economic activity, with a surge in consumer spending observed across various sectors. Merchants of food, clothing, and other goods and services have reported unprecedented sales, marking a stark departure from the stagnation of the past decade.

Real estate markets, in particular, have witnessed a remarkable surge in demand. Muhammad Abubakar, a real estate agent, disclosed that within a week of the commencement of gratuity payments, properties ranging from two to five million Naira in Gusau town were sold out. Many retirees, who had previously lived in rented accommodations or inherited homes, now have the means to purchase their own residences, thereby enhancing their quality of life and that of their families.

Similarly, private schools throughout Zamfara state have experienced an uptick in gratuity payments, attributed to a surge in student enrollment. This trend is particularly notable among children whose parents, retirees awaiting gratuity disbursements, struggled to afford school fees in previous years, resulting in their expulsion. Additionally, financial constraints have led some families to delay enrollment until they could secure the necessary funds, with many only now able to send their children to school.

Within a week of the commencement of the gratuity payments in Zamfara, a survey conducted by The Spectacles revealed a notable scarcity of broiler and noilar chicken packages across all markets in Gusau town. This shortage was attributed to a surge in individuals venturing into the poultry business as a means to sustain a reliable income after receiving their gratuity. The influx of new entrants into the poultry industry underscored a shift in economic activities stimulated by the disbursement of gratuity funds.

However, several retirees are gearing up to celebrate the marriages of their daughters. However, these joyous occasions are often marred by frequent postponements due to financial constraints, particularly the inability to purchase essential household items and furniture required for the bride’s new home. Consequently, with the influx of gratuity payments, the furniture market experiences a revival as retirees are finally able to buy long-stored goods, alleviating their financial burdens and enabling them to fulfill their daughters’ marriage aspirations.

In terms of clothing, sewing shops (tailors) and fabrics retailers and those selling ready-made clothes reported an increase in business, attributing it to the government gratuity payments. These beneficiaries along with their families, in dire financial situations, are forced to replace their worn-out garments. Their old, damaged clothes are a testament to their hardship, with neighbors and relatives often sympathize with them and stepping in to providing second-hand clothing to them due to their impoverished state. So they need to update their wardrobes.

As the gratuity payment exercise progresses, Zamfara State continues to witness tangible improvements in the lives of its retired civil servants, underscoring the government’s commitment to promoting the welfare of its citizens.

In the current scenario, many civil servants who are approaching their retirement year are anxiously anticipating submitting their retirement letter before Dauda Lawal’s administration concludes. Their concern stems from the apprehension that once Dauda Lawal exits office, the state might once again fall under the sway of authoritarian leaders.

Consequently, they anticipate encountering significant obstacles in securing their gratuity in a timely manner. This apprehension is further compounded by the plight of those who retired prior to Dauda’s tenure, according to The Spectacles investigation, many among them succumbed to hypertension, while others suffered from deteriorating health conditions exacerbated by the stress and frustration stemming from the deliberate deprivation of their entitlements by the previous administrations.

Thus, the fate of Zamfara lies within the hands of its people. Tomorrow presents an opportunity to either continue with leadership that has shown empathy or opt for change, you have the chance to re-elect someone who will sympathize with you like this government has done. In the words of a beneficiary who spoke with The Spectacles at the ‘Kantin Sauki’ Provision store in Gusau, but requested anonymity, he assembled his family and warned them that if the election returns, whoever votes for someone other than Dauda, may God curse him. This indicates that many who benefited from these gratuities and their families are prepared to support and re-elect Dauda in the 2027 election.

In conclusion, the substantial gratuity disbursed by the government, amounting to billions of naira, is poised to make a substantial impact in alleviating the entrenched extreme poverty plaguing our state over the years. This injection of funds will likely serve as a catalyst for economic empowerment, providing much-needed relief and opportunities for those grappling with impoverishment.

According to the latest poverty report by Statista, 73.98% of Zamfara’s population is currently classified as impoverished. However, given recent developments and potential interventions, it is reasonable to anticipate a significant decrease in the poverty rate. In fact, I believe that if a new calculation were conducted today, there could be a reduction of up to 20% in the poverty rate within Zamfara state.