Labour unions across Nigeria have called on the federal government to avoid allocating workers’ salaries to local governments, following the Supreme Court’s ruling granting financial autonomy to local government councils. This appeal comes from major unions, including the Nigeria Union of Local Government Employees (NULGE), the Nigeria Union of Teachers (NUT), and the Nigerian Union of Pensioners (NUP), who have expressed concerns over the potential risks to the timely payment of salaries and pensions.
In a seven-point proposal, the Joint Action Committee (JAC) highlighted the importance of establishing a dependable system for the management of salaries and pensions. They recommended that all local government salaries should be managed by the Local Government Service Commission, with specific funds allocated for training and operational needs.
To ensure financial stability and improve service delivery, the unions have proposed a one-year freeze on new hiring of local government staff and teachers. This temporary measure would allow local governments to focus on developmental projects and enhance the quality of services provided to communities.
A comprehensive audit was also suggested by the JAC, aimed at accurately assessing the number of workers, teachers, and pensioners across Nigeria’s 774 local government areas. This audit is seen as essential for effective resource allocation and the overall improvement of local governance.
The JAC further called for enhanced oversight of local government activities. They proposed the involvement of local government chairmen, union heads, and other stakeholders in the supervision of local government affairs. Additionally, the unions advocated for expanding the Local Government Service Commission and other governing bodies to include representatives from local government associations and teachers' unions.
In terms of financial management, the unions outlined specific recommendations. They proposed that the gross salaries of local government workers be handled by the Local Government Service Commission, with two percent of the total local government allocation earmarked for running grants and training. The gross salaries of primary school teachers, they suggested, should be managed by the State Universal Basic Education Board (SUBEB), with 1.5 percent of the local government allocation directed towards SUBEB's operational costs.
Furthermore, they recommended that 25 percent of the gross salaries of teachers and local government workers be deducted from local government allocations to cover pension and gratuity payments, which would be managed by the Local Government Staff Pension Board. A five percent grant for traditional councils should also be deducted and remitted into traditional council accounts.
The unions' proposals are seen as crucial for maintaining financial stability and ensuring that local governments can fulfill their responsibilities effectively, without jeopardizing the welfare of workers and pensioners.
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