Ekiti going ‘bankrupt’, cuts salaries of political appointees, halts minimum wage, security votes remains

The Ekiti State Government is beginning to show signs of going bankrupt and perhaps, finding it difficult to finance government functions. The state government, accordingly, cut down salaries of political office holders and accounting officers by 25 per cent for three months. The government, however, cited reduction in federal allocation to the state as reason for the austerity measures.

The state government further halted the payment of minimum wage and consequential adjustment to workers on Grade level 7 and above effect from January 2021.

Meanwhile, the security votes being collected by the governor and some political appointees were not suspended or slashed in the financial adjustment policy.

The state government was, however, revealed to have negotiated and  signed memorandum of understanding on the agreement between representatives of government and labour leaders for the temporary fiscal adjustments.

It was gathered that the M.O.U. provides that the revenue available for monthly disbursement to government offices has been cut down by 50%, and the economic review committee would henceforth meet monthly to acquaint labour of the financial position of the state.