Alex Otti: Abia yet to receive funds from FG for N35,000 wage award

Alex Otti, governor of Abia, says the state government has not received funds from the federal government for the implementation of the N35,000 wage award.

Otti said this during a meeting with the Nigerian Labour Congress (NLC), Trade Union Congress (TUC) and the Joint Negotiating Council in Abia.

On October 5, 2023, the federal government reached an agreement with the NLC, and TUC to pay N35,000 wage award to federal workers to cushion the effect of petrol subsidy removal.

The federal government also agreed to continue payment of the wage award until a new minimum wage arrived in 2024.

Some states agreed to align with the federal government wage award plan and implement it at the state level but others said they can not afford it.

According to Otti, the report of states receiving funds to pay workers N35,000 wage awards is false and incorrect.

“There has been misleading stories all over the place that the Federal government gave monies to the state governments for the implementation of the wage award,” he said.

“Last time I checked, there were no such monies. This state has not received a dime from the Federal government to implement any wage award.”

Otti also said that the government has been implementing the N30,000 minimum wage as the state’s payroll indicates.

“I see the payroll and I didn’t see anyone that is paid less than N30,000 and that is the minimum wage,” the governor said.

“Maybe something is wrong and I will like the accountant-general to please look into that because what is available to me shows we are complying with the minimum wage of N30,000 and that the least paid worker is actually paid N30,000.

“When I read in the media that we are not complying, I took it as a hatchet man’s job but you repeating it here means something is wrong somewhere.

“I will like that a reconciliation happen between the organised labor and the office of the accountant general.”

The governor, however, said there is a need for the minimum wage to be increased due to economic concerns such as the removal of petrol subsidy, foreign exchange rate adjustments, inflation, and poverty.

He further reiterated the state government’s readiness to implement the new minimum wage immediately after the federal government finalised its decision on the matter.

“We don’t want to move ahead of the Federal Government, so that’s why I’m showing keen interest in discussions between the Federal government and the organised labour at the center,” he said.

The governor further assures labour leaders that plans are underway to create a ministry of labour and productivity to further enhance the relationship between the government and labour.

Otti said the ministry would play a vital role in addressing labour concerns more effectively.