10 July 2016
The Nigerian Union of Petroleum and Natural Gas Workers (NUPENG) has advised the Federal Government against the issuance of bailout funds to state governments for the payment of workers’ salaries.
The union’s South-West Chairman, Mr Tokunbo Korodo, gave the advice in Lagos and urged state governments with huge salary arrears to pay to look inward and generate revenue internally rather than waiting for monthly allocations from the federation account.
The disbursement of bailout funds to 27 states was necessitated by the prevailing economic challenges which resulted in the non-payment of workers’ salaries by many states across the federation.
In 2015, state governments received N713.7billion as bailout funds from the Federal Government to defray the backlog of salaries.
Korodo expressed regret that state governors and appointed officials had too many aides that were a big drain on their resources and advised them to downsize, to save costs.
“Most of the governors have about 20 commissioners and more than 42 special advisers, besides another large number of associates from which they have appointed the heads of various boards and agencies in the states.
“Governors from the 27 state governments that cannot pay the monthly salaries of their workers should look inwards to find new ways of making money to settle their wage bills,’’ he said.
Korodo suggested the revitalisation of agriculture as a credible alternative to the current over-dependence of such states on revenues from the federation account.
He also advised such governors to block all existing leakages in revenue generation in their states.