Ekiti Suspends Minimum Wage and Slashes Salaries of Appointees

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The Ekiti State Government has reduced the salary of Governor Kayode Fayemi and his political appointees, as well as workers on GL 07 to GL 12. This is part of the state government’s efforts to navigate the state’s emerging financial issues.

Following a series of talks on the newest state of finance caused by a shortfall in allocations from the Federation Account, the State Government authorized the additional measures after reaching an agreement with the leadership of the Organized Labour.

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In Ado Ekiti, officials of the government and leaders of the Nigeria Labour Congress (NLC), Trade Union Congress (TUC), and Joint Negotiating Council (JNC) sealed and signed an agreement to that effect on Friday.

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

The consequential adjustment of the new minimum wage approved by the state government 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.

It was equally agreed that 10 per cent of the Internally Generated Revenue (IGR) being the state responsibility to the state Joint Account Allocation Committee (JAAC) would be released henceforth.

The government further reiterated its commitment to workers and also reaffirmed its promise not to downsize the workforce or retrench any worker as a result of financial challenges facing the state.

Addressing a joint press conference with the Organised Labour on Friday in Ado Ekiti after the pact was signed, the Head of Service, Mrs. Olapeju Babafemi, said the agreement was the high point of interactions Governor Fayemi started on May 4 when he presented a State of the State Address on the financial position and how to address the challenges posed.

Mrs. Babafemi commended the labour leaders for their sacrifice and understanding, expressing optimism that Ekiti will successfully navigate through the period of financial challenges.

She assured that the Fayemi administration, which it described as worker-friendly, would be faithful to the terms of the agreement reached with the workers to ensure a peaceful industrial climate in the state.

Speaking on behalf of Labour, the JNC Chairman, Comrade Kayode Fatomiluyi, appreciated the political class in Ekiti for sacrificing 25 percent of their monthly salaries and also hailed the government for making efforts that would not lead to retrenchment of workers.

Fatomiluyi admitted that Nigeria and workers are experiencing a very difficult economic climate, but stated that Labour would not shirk its obligation to protect workers’ rights despite the current circumstance.

He went on to say, “The labor leadership believes in conversation and subjecting itself to rational and scientific reasons, as well as yielding to the superior argument.”
We urge the administration to rigorously adhere to this agreement.”

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