- Niger state government is reportedly planning to slash the salaries of the civil servants by 50%
- The government cited a drastic reduction in its federal allocation and the IGR as the reason for the development
- However, the Organised Labour in the state said it would resist any plan to slash workers' salaries
A report by The Sun indicates that the Niger state government has concluded plans to slash the salaries of civil servants in the state by 50 percent to be able to cope financially as Nigeria battles with economic recession.
According to the newspaper, the state government told officials of the Nigeria Labour Congress (NLC) and Trade Union Congress (TUC) at a meeting held on Monday, November 23, that it can no longer afford to pay 100% salaries to workers effective from December 2020.
The meeting was reportedly attended by all members of the State Executive Council except the Governor Alhaji Abubakar Sani Bello and his Deputy Alhaji Ahmed Mohammed Ketso.
The development was communicated to the labour leaders by the state's accountant general, Alhaji Abdullahi Saidu.
Reason for the planned slash of salaries
The accountant-general reportedly explained that there was a drastic decline in the state's income from the federation account and the Internally Generated Revenue (IGR).
The state government, however, reportedly promised to refund the 50 percent deduction back to workers when the economy improves.
Labour leaders react
In their reaction, the Organized Labour in the state has vowed to resist the plan to slash the salaries of workers.
They did not accept the state's government explanation and the promise to refund the deducted salaries later.
Legit.ng gathers that the NLC and the TUC officials are expected to meet on Thursday, November 26, where a final decision on the next line of action will be taken.
Meanwhile, President Muhammadu Buhari has announced his administration's plan to exempt those earning the country's minimum wage, N30,000, from paying income tax.
The president disclosed this via a thread of tweets posted on the official page of the Nigerian presidency on Monday, November 23.
The president explained that the proposed tax exemption will complement the tax breaks given to small businesses in the country in 2019.
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