A top government official has resigned over the scandal.
Governor Bassey Otu of Cross River State has ordered the immediate suspension of the recent recruitment exercise by the Local Government Service Commission in the state.
The suspension follows findings of allegations of corruption, gross abuse of office, and widespread employment racketeering uncovered in the commission's recruitment process.
Mr Otu's order was contained in a statement issued on Thursday by Linus Obogo, the governor's spokesperson.
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Mr Otu also accepted the resignation of the commission's chairman, Darlington Eyo, over his alleged involvement in the employment racketeering.
The governor directed that a new, transparent, and merit-based recruitment process be undertaken to ensure fairness and restore credibility to the local government system.
He said, "I have set up a special review committee to investigate the recruitment scandal and identify all individuals responsible for the malpractice.
"The committee is expected to recommend appropriate disciplinary and corrective actions in line with the administration's zero tolerance for corruption," the governor said.
Mr Otu reaffirmed that no act of impunity or abuse of office would be tolerated under his leadership.
He stressed that transparency, accountability, and integrity remained the guiding principles of his "People-First" governance philosophy.
He assured citizens that future recruitment exercises would be based strictly on merit and competence.
Like many other states in Nigeria, Cross River is facing an unemployment crisis, with many anxiously seeking job opportunities in government ministries and departments.
(NAN)