The Federal Government has introduced stricter verification measures for newly recruited workers seeking enrolment into its payroll system, following a rise in personnel expenditure to N1.96tn in the first quarter of 2026.
The new directive, announced by the Office of the Accountant-General of the Federation, takes immediate effect and applies to all ongoing and subsequent payroll admission processes under the Integrated Personnel and Payroll Information System, IPPIS.
In a statement signed by its Director of Press and Public Relations, Bawa Mokwa, the OAGF said newly recruited employees must first be captured on the nominal roll of their respective Ministries, Departments and Agencies, MDAs, and satisfy all prescribed verification and eligibility requirements before being enrolled.
The office explained that MDAs seeking to enrol new employees must submit formal requests accompanied by recruitment approvals, appointment letters, applicable waivers and other supporting documents.
The verification process will also cover salary structures, grade levels, salary steps, allowances and other financial entitlements, as well as statutory details such as pension identification numbers, Pension Fund Administrator information, National Housing Fund registration and tax records.
According to the Federal Government, applications with incomplete documentation or unresolved discrepancies will be withheld until all requirements are met.
The directive further requires employee records to be endorsed by the relevant Accounting Officer, Director of Human Resources, Director of Finance and Accounts, and designated Payroll Validating Officer before final approval by the Accountant-General of the Federation.
The development comes amid rising government personnel costs.
An analysis of the Federal Government’s first-quarter budget implementation reports for 2025 and 2026 showed that personnel expenditure increased from N1.82tn in the first quarter of 2025 to N1.96tn in the corresponding period of 2026.
The increase of N133.94bn represents a 7.35 per cent rise.
The 2026 report also showed that personnel expenditure exceeded capital spending, which stood at N1.69tn, by approximately N267bn.
Personnel costs accounted for 20.05 per cent of the Federal Government’s total expenditure of N9.76tn during the period.
A breakdown showed that personnel spending by MDAs increased from N1.57tn to N1.70tn, while Government-Owned Enterprises recorded unchanged personnel expenditure of N254.35bn.
Meanwhile, the Federal Government generated approximately N5.08tn in revenue against a quarterly target of N9.22tn, representing a shortfall of 44.93 per cent.
Debt servicing also gulped N4.63tn, representing about 91.18 per cent of actual revenue.
The government consequently recorded a fiscal deficit of N4.69tn during the quarter.
The Budget Office said measures to control recurrent expenditure included restrictions on unapproved recruitment by MDAs and requirements for prior clearance before recruitment and payroll enrolment.
The latest payroll restrictions come as the Federal Government prepares to introduce a monthly N70,000 transport allowance for public servants from November, following discussions with the Nigeria Labour Congress.
The allowance is expected to run for six months, although the government has yet to disclose the number of beneficiaries or the total cost of the intervention.
Reacting to the rising personnel expenditure, economist and Chief Executive Officer of CSA Advisory, Dr Aliyu Ilias, warned that allowing personnel costs to exceed capital expenditure could undermine investment in critical infrastructure.
He stressed the need for the government to prioritize capital projects, particularly in education, healthcare and transportation, noting that social infrastructure remains essential to national development.