How states, FG may clash over salary review

PUNCH

By Okechukwu Nnodim

While states believe they should be able to set their own salaries, the Federal Government insists on a uniform national minimum wage. As workers clamour for salary reviews, the differences may cause friction between the two tiers of government. OKECHUKWU NNODIM writes on the position of experts on the issue

The current rising inflation and depreciation of the local currency, which has eaten deep into the purchasing power of Nigerians, have made workers clamour for an upward review of salaries. This is despite the fact that many states of the federation have yet to implement the last minimum wage signed into law in 2019. Six states have yet to pay the current N30,000 minimum wage.

It is in light of this that some economists have argued that state governments should have the autonomy to decide the salaries and allowances of their workers based on the revenue accruable to them.

Although this is contrary to the current practice where the Federal Government fixes the salaries and allowances of public officials to reflect uniformity across the country, the experts insist that giving states the leeway to determine the salaries and allowances of their workers would encourage growth in the states.

Some of the experts who spoke to our correspondent claimed that the decentralisation of remuneration in the country would not only enable the states to adequately manage their finances but also ensure that they meet their obligations and avoid owing salaries.

They observed that though the minimum wage of N30,000 as approved by the Federal Government was done in good faith, the amount could be too low to pay the workers of some states when matched against their revenues.

They, however, noted that on the other hand, the amount could be too high for many other states.