Shortfall may cause delay in LG salaries

Date: 2014-10-04

The Kwara State Commissioner for Finance, Alhaji Demola Nurudeen Banu has said that if monthly shortfall from Federation Account persists, Local Government councils might find it difficult to pay workers salary, as the LGAs have exhausted their reserved.

The State Commissioner for Finance who made this known while addressing pressmen said the Local Government allocations were augmented this month with N500 million from N600 million in their reserve ,leaving N100million in the reserve which could not go along way.

Banu said only four states including Kwara are not owing Civil Servants salaries. Both in the State and Local Government levels, in the Country, assuring that government would continue to ensure prompt payment of salary.

"Some states are indebted to their civil servants and pensioners for many months, while Kwara has been striving hard to ensure prompt payment of salaries and augmentation of local government to enable them to pay salaries and meet other financial obligations", he stated.

"We have been augmenting from reserve for almost two years now which has been exhausted .If the situation persists, local government areas may find it difficult to pay salaries and meet other financial obligations as their allocation from the Federation Accounts will not be able to meet up with their demands", he remarked.

"The short fall in the allocation is attributed to Crude Oil theft and pipeline vandalism for over one and half years and no action is being taken to stop the anomaly.

"The state government will continue to strive hard to pay salary on or before 25th of every month as promised during campaign, but I want to tell you that some states are incapacitated to meet their financial obligations due to shortfall from Federation Accounts.

Banu said that the implication of not receiving full allocation in line with the budget is that most states would not be able to pay salaries and meet other financial obligations.

He advised the opposition to stop playing politics with workers welfare. "Let them call on the Federal Government to do the needful. This problem is affecting all the 36 states of the country".

Source

 

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