In a stunning financial development under President Bola Tinubu’s administration, the Central Bank of Nigeria (CBN) has recorded a staggering N313 billion increase in personnel costs within a single year, sparking fresh scrutiny and controversy over the apex bank’s internal operations.
An analysis of the CBN’s audited financial statement for the year ending December 2024 reveals that the bank’s personnel expenditure surged from N295.3 billion in 2023 to an eye-watering N608.5 billion in 2024 — a 106% jump.
A deeper dive into the figures paints a picture of fiscal turbulence. “Other staff expenses” ballooned from N37.7 billion to N306.6 billion in just one year, while allowances climbed from N168.6 billion to N191.9 billion. Defined benefit plan expenses saw a steep rise from N24.5 billion to N36.5 billion. Salaries increased from N47 billion to N55.6 billion, and pension contributions under the Defined Contribution Plan ticked up slightly from N17.3 billion to N17.7 billion.
A critical component of these costs includes “early exit payments,” a euphemism for the mass disengagement of employees. The CBN, led by Governor Olayemi Cardoso, confirmed that about 1,000 staff members exited the institution in December 2024. Speaking before an ad-hoc investigative committee of the House of Representatives, Cardoso maintained that the exits were voluntary and denied reports of coercion.
However, the controversy surrounding the exits refuses to fade. In January 2025, SaharaReporters broke the story that a group of dismissed CBN employees had dragged the institution before the National Industrial Court, challenging the legality of their termination.
Filed on July 4, 2024, under the NICN Civil Procedure Rules 2017, the ex-staff members alleged that they were denied their constitutional right to a fair hearing and that the CBN violated internal policies, Nigerian labour laws, and contractual obligations. They claimed that the letters of termination, issued under the guise of “restructuring,” were arbitrary, illegal, and unconstitutional — and have called on the court to declare their dismissals null and void.
Among the 33 claimants in the suit are Stephen Gana, Kabiru Idris, Benedict Agbo, Peter Adeyemi, Eleanor Ihua, Isa Yusuf, and Ogidi Tolu, among others — many of whom reportedly served the institution with distinction for years before being abruptly relieved of their duties.
At the center of the storm is a N50 billion severance package reportedly offered to those affected — a figure that has raised eyebrows and intensified demands for transparency and accountability.
As the legal battle unfolds and financial watchdogs scrutinize the staggering cost hike, questions continue to swirl: Is the CBN undergoing genuine restructuring, or are we witnessing a troubling pattern of institutional opacity under a government struggling with economic headwinds?
Either way, the ripple effects from the apex bank’s budget explosion and mass staff exodus are far from over.
PIONEER NEWS 