Kwara State Governor Abdulrahman Abdulrazaq has approved a financial bonus equivalent to the monthly PAYE obligation for all civil servants, including local government workers, amid controversy over taxes ¹. This emergency support measure will last for at least three months, starting from October and ending in December 2024.
Background of the Controversy
The organized labor in Kwara State, comprising the Nigeria Labour Congress and Trade Union Congress, had complained about high taxes deducted from workers’ salaries following the implementation of the N70,000 minimum wage. They claimed that the implementation varied from what was agreed upon during negotiations.
Key Points of the Bonus Approval
- The bonus aims to bridge the gap created by the correct PAYE deduction on the newly implemented minimum wage.
- It will serve as a soothing balm as workers adjust to the PAYE implemented in line with the Personal Income Tax Act.
- Workers must register with the Kwara State Residents’ Registration Agency to receive the bonus for November and December.
- Labour unions have agreed to a refund of the special levy deducted from workers’ salaries and suspension of deductions until further notice.
Reaction from Labour Leaders
Labour leaders condemned the recent tax imposed on Kwara State workers and demanded its reversal to avoid industrial disharmony. They also urged the state government to address the plight of pensioners and include them in the implementation of the new minimum wage.
Governor’s Commitment
Governor AbdulRazaq’s directive to deliver this relief demonstrates his commitment to the welfare of the Kwara workforce, according to Finance Commissioner Dr. Hauwa Nuru ¹.
