Ekiti cuts salaries of political appointees, suspends new minimum wage implementation

The Ekiti government has directed that the salaries of political office holders in the state be slashed by 25 percent. 

In a statement on Friday, Yinka Oyebode, chief press secretary to the governor, said the state approved the new measures after reaching an agreement with the leadership of the organised labour.

He explained that the decision was taken following several meetings on the state’s finances “occasioned by a shortfall in the allocations from the federation account”.

Oyebode said an agreement to that effect was signed on Friday by the representatives of the government and leaders of the Nigeria Labour Congress (NLC), Trade Union Congress (TUC), and Joint Negotiating Council (JNC) in Ado Ekiti.

According to Oyebode, the shortfall in allocations has imposed an expenditure deficit of N750 million per month on the state government, which has left the treasury in dire straits.

“Consequent upon the agreement, Governor Kayode Fayemi, political office holders and other top government functionaries are to make a sacrifice of 25 percent reduction in their monthly salaries for three months effective from May to July 2021,” the statement reads.

“Consequential adjustment of the new minimum wage approved by the state for officers on grade level 07 to grade level 12 would also be put on hold for three months effective from May to July 2021.

“It was also agreed that the monthly Running Grants (RGs) released to Ministries, Departments and Agencies (MDAs) on monthly basis be reduced to reflect the latest economics realities on ground.

“Another deal struck was that an Economic Review Committee would henceforth meet monthly (five days after Federation Accounts Allocation Committee release) to keep Labour abreast of the financial position of the State and actions to be taken.”

Oyebode added that it was agreed that 10 percent of the internally generated revenue (IGR), which is the state’s responsibility to the joint account allocation committee (JAAC), would be released henceforth.

The Ekiti government assured workers of its commitment to their welfare, and also reaffirmed its promise not to downsize the workforce as a result of financial challenges facing the state.