Godwin Obaseki, governor of Edo state, says the federal
government may not be able to pay workers’ salaries beyond June without
massively printing money or removing petrol subsidy.
Recall that President Muhammadu Buhari in 2022 affirmed that the costly petrol subsidy would
end by 2023.
Speaking on Monday at the Workers’ Day celebration in Benin,
the capital of Edo, Obaseki said Nigerians, and workers, in particular, would
face hardship if the government decides on any of the options.
“It would be a miracle for the federal government and state
governments to pay salaries beyond June this year without resorting to
massively printing money or removing fuel subsidy. Either of these decisions
will bring more hardship and pain to Nigerians, particularly workers,” he said.
“We must all make
sure that the burden and pain of these measures, which must be taken, are not
carried by workers alone.
“Workers must now rise and ensure that they champion any
discussion on subsidy removal. You must shift from the tradition of reacting
when these policies have been made but insist that you take charge and ensure
full transparency and disclosure. If we are all undertaking a reform, then the
benefits and pains that will come out of the reforms must be mutually shared by
all Nigerians, not just the downtrodden.”
Obaseki said when the Edo state government announced the
increment of the minimum wage to N40,000 in 2022, he expected the federal
government and other state governments to follow suit immediately.
“My promise to Edo
workers here today is that the day the federal government is able to pay its
new minimum wage and hand over a cheque to any federal worker, that day, we
will match the federal government and do the same for state workers,” he said.
“As your governor, I will ensure that workers are fairly
treated so that your take-home pay can really take you home. Our government has
kept faith with prompt and regular payment of staff salaries and retirees’
benefits in the State in the last six years.
“As a tradition, salaries are paid latest on the 26th day of
every month and for any holiday celebrations, our workers are paid before the
celebration so that they have money to celebrate.”
So far, Nigeria spent N2.04 trillion to offset subsidy
payments in seven months, even as it plans to spend about N6 trillion on
subsidy in 2023.
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