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[OPINION] When Method Ruins the Goal - Mahmud Jega
It has been long since I saw anything like it. Since last week, when the Senate turned down objections from some members and [hurriedly] admitted Federal Inland Revenue Service [FIRS] Chairman Zach Adedeji and other experts [interested parties, is more like it] to brief it on the contents of the four tax reform bills lying before it, a clerical and social media storm enveloped Northern Nigeria this past weekend. Leading Muslim clerics all over the region converted their pulpits during last Friday’s congregational prayers to lambast Deputy Senate President Barau Jibrin, who chaired that particular Senate session [with Senate President Godswill Akpabio strategically absent], for allowing in the government officials to brief the Senate when it was not on the order paper.
Sure, it was a curious thing to do. DSP later explained that most Nigerians, including many members of the National Assembly, had either not read nor comprehended the fine details of the bills in question and the input of experts would therefore help. That is true, except that the right time to call them in would have been when the relevant legislative committees hold public hearings on the bills. This is not far away, since the Senate passed the bills for second reading, after which they will be referred to committees and all stakeholders can then come forward to make their inputs.
So why should such a small procedural misstep ignite so much passion and allegations? Well, because, in the past few weeks, the impression has been created, in the North if not in the rest of the country, that the Tinubu Presidency is hell-bent on ramming these tax reforms bills through, for that matter in great haste. Back in October, a major meeting of Northern state governors, traditional rulers and other community leaders objected to the bills and feared that they could reduce the Northern states’ takings from Value Added Tax, VAT, which today is a major contributor to the Federation Account.
Quite likely, the Presidency viewed that stance as political blackmail and proceeded with the bills, though that was unwise. Governors and traditional rulers from 19 states out of 36 is a sizeable number. Nor are they known rabble-rousers. Thirteen of the 19 Northern governors belong to the President’s own party, APC, which suggests that there was no harmony even within the ruling party on these bills. In Nigeria, state governors are the most politically potent persons after the Presidency. APC has a total of twenty state governors in the whole country, and if 13 of them sign on to the dissatisfaction, there will be no harmony even in the party’s National Executive Committee meeting.
To boot, they were joined in the protest by the North’s most prominent traditional rulers, including Sultan of Sokoto, Shehu of Borno, Emir of Zazzau, Etsu Nupe and Ohinoyi of Igbirra. Now, one may suspect that traditional rulers only do the bidding of governors. I don’t think that is the case because in recent decades, these traditional rulers include retired Army Generals, retired Police, Customs and Security Service commanders, big businessmen and even a professor or two. They are strong enough to pull back if they felt that the governors were taking them for a political ride.
The cross-party nature of the gathering should have also given the Presidency a cause for pause. Five of the Northern governors are PDP members, including the Chairman of the PDP Governors Forum. One of them belongs to NNPP. All these non-APC governors have hot political issues with APC chapters in their states, so their coming together with APC governors on this issue should be noteworthy. At the very least, the views expressed by this gathering deserved engagement, education, enlightenment and persuasion in order to dispel their fears regarding the bills. As far as we could see publicly, nothing of the sort happened, though there may have been some moves underground.
Perhaps the Presidency did not want to cave in to the Northern leaders’ demand on these bills so as not to be seen in the West, and in the South generally, as having caved in to the North. Even if that is the case, it was much less understandable that the Presidency ignored the advice of the National Economic Council [NEC], chaired by the Vice President, to withdraw the bills from the National Assembly and allow room for more consultation. NEC includes all the country’s 36 governors. Its resolution was read by the Governor of Oyo State, who is not known to be anyone’s lackey and who in fact crossed party lines to help APC candidate Tinubu to win his key state in last year’s elections. Besides, no state governor has as yet come out to say he did not agree with the resolution. All they asked for was time for more consultation.
While many members of the National Assembly have been described as bench warmers and the Deputy Senate President himself suspects that many members have either not read nor understood the contents of the bills, state governors are on the whole of higher quality than the MPs. One of them is one of the country’s leading economists. Governors have more staff help than MPs, and almost every one of them must have assigned his commissioners and advisers to brief him on the implications of the tax reform bills with respect to his state. Besides, the Federal Government’s key economic managers, including the Finance, Budget and Planning Ministers and Governor of the Central Bank all sit in the NEC. The Vice President, who chairs it, is no push over in these matters either, as a former banker, state finance commissioner, two-term governor and senator.
It was shocking indeed when the Presidency publicly declared that it will not heed the request of NEC, the country’s highest economic advisory body, and that the bills should instead continue through the legislative process! Now, in a clime where the legislature has demonstrated visible capacity and independence, that would have been okay, because the MPs themselves can be relied upon to scrutinize the bills and admit the feelings of their constituents. I was once part of a media team that visited a US Congresswoman in Washington D.C, who chaired a House sub-committee. She told us that she had forty aides, including many researchers and pollsters. The latter constantly conduct opinion polls in her constituency to find out what her constituents are thinking before she takes a position on any bill.
Here in Nigeria, MPs may not have professional pollsters as aides [the “opinion polls” published ahead of last year’s elections were a fiasco] but they sure have their traditional means of knowing the feelings of their constituents. Quite often, they ignore these locals’ feelings in order to ingratiate themselves with powers in the Presidency or the party leadership. Why because, these powers can more predictably ensure an MP’s return to his seat in the next election than the feelings of his constituents. State governors are however a different kettle of fish. In most cases they were the ones that nominated, supported, bankrolled and in some cases, rammed MPs through to their seats. They could also undo them in the next election. When the Presidency and an MP’s state governor are pulling in different directions on this matter, then he or she is caught between a rock and a hard place.
When you take all these pieces of the jigsaw puzzle into consideration, it was inevitable that the impression was created in many minds that the Tinubu Presidency is bent on ramming through these four tax bills through the National Assembly irrespective of anyone else’s feelings. Such a stance naturally breeds suspicions. Matters are not helped by the widespread feeling that the current National Assembly is a rubber stamp which always does the President’s bidding. However useful and beneficial to the country a leader believes a certain measure is, it is a sacred duty to educate and enlighten citizens. An American professor who visited Nigeria fifteen years ago said the fulfilment of democracy is the process, not the outcome. If all the correct procedures are followed without manipulation, then democratic expectations are fulfilled even if the final outcome turns out to be wrong. Adopting a know-it-all stance could prove to be ruinous in the long run.
The little public debate on the substance of these bills so far has already thrown up issues which, with wisdom and national peace in mind, could be artfully resolved. For example, the point has been made about the calculation of VAT for derivation purposes and the fact that big companies lump up all the tax and pay it at the location of their head offices. That is a point to ponder. The point has also been made that states that ban alcohol consumption in their states still benefit from VAT collected from it during the sharing process. As the former chairman of the Revenue Mobilisation, Allocation and Fiscal Commission [RMAFC] explained two years ago, alcohol is not an important VAT contributor as some people think. Still, VAT from alcohol could be removed from the whole collection and shared to only states where alcohol consumption is legal [never mind it is still consumed even in the states where alcohol is banned, especially in mammy markets adjoining military barracks].
This brings me to another aspect of the methods being used by both proponents and opponents in this tax reform bills imbroglio. Personally, I do not support the religious blackmail tactics often employed by clerics in the course of political debates. Of course they are citizens too and they are entitled to their views, but I don’t think the pulpit is the right place to campaign against a non-moral, non-religious piece of legislation. A friend and colleague of mine will remember that two years ago, I criticised a column article he wrote in which he described our senators as “agents of Satan” because they passed a Corporate Affairs Commission amendment law that Pentecostal churches’ leaders did not like. Why not simply go to the public hearings and make rational, instead of sentimental arguments?
Personally, I do not support the clerics’ all-out assault against DSP Barau Jibrin. But since my view is totally unlikely to influence them, my advice to the Presidency is to soften on this matter and not put pressure on DSP, House Speaker and other MPs, especially those from the North, to ram through these bills without further consultation and consensus building. Otherwise, it could win the battle and lose the war, because in the medium and long run, its friends in the region will be politically ruined.
[OPINION] Kukah On Accidental Leadership - Dakuku Peterside
In reflecting on Nigeria’s leadership journey, Bishop Matthew Kukah, a Catholic priest, activist, and philosopher, delivers a searing observation: “Almost every leader who came to power did so by accident.” With these words, he stirred an hornets’ nest, igniting a spirited discourse on the nation’s perennial struggle with leadership.
Kukah’s critique strikes a resonant chord with voices like former President Olusegun Obasanjo, who has long lamented the opportunistic nature of Nigeria’s leadership selection. It also echoes the trenchant wisdom of Chinua Achebe, who famously diagnosed the nation’s ailment in The Trouble with Nigeria: “The trouble with Nigeria is simply and squarely a failure of leadership.” Achebe’s words, though decades old, still carry the weight of an unheeded warning, underscoring the cyclical nature of Nigeria’s governance woes.
This column seeks to interrogate Kukah’s provocative theory, dissect its implications for governance, and chart pathways to reform the nation’s leadership recruitment process. At the core of this analysis lies an urgent imperative: to confront the systemic failures that perpetuate unprepared leaders and to cultivate mechanisms that nurture visionary and capable stewards. For Nigeria to transcend the quagmire of accidental leadership, the nation must embrace deliberate, transformative change—one that prioritises competency, character, and a clear sense of purpose over happenstance.
A shared understanding of an accidental leader would be helpful in the interrogation of what the bishop said. An accidental leader, from base understanding, is one who came to the office without requisite training or necessary preparation. It refers to a scenario where individuals ascend to power without adequate preparation, experience, or strategic vision. This phenomenon is not unique to Nigeria but is particularly pervasive in its political landscape, where political actors often emerge through circumstantial opportunities rather than deliberate grooming or merit-based processes. These leaders frequently lack the fundamental skills necessary for effective governance, resulting in poor decision-making, reliance on narrow circles of influence, and an inability to address critical national challenges. For instance, between 1999 and 2023 under the present democratic era, Nigeria experienced significant challenges under leaders like Umaru Musa Yar’Adua, who, despite his integrity, struggled with health issues that hindered governance, and Goodluck Jonathan, who admitted he was unprepared when he unexpectedly became President following Yar’Adua’s death. Same goes for President Buhari.
Accidental leaders differ significantly from prepared leaders in several ways. They often lack a clear vision, operate without a coherent strategy or strategic plan, and struggle with effective execution. Their knowledge is limited, they are indecisive, and they rarely take responsibility for their actions. These leaders typically have a narrow circle of influence, and dishonesty can further undermine their leadership. In the specific context of Nigeria, unprepared leaders tend to exhibit unpatriotic and nepotistic tendencies. Their shallow understanding of the nation’s challenges often leads to misguided solutions to critical developmental issues.
Governance under such circumstances often results in short-term thinking, nepotism, and an indifference to the broader national interest. These outcomes are reflected in Nigeria’s inability to meet key development indicators. For example, as of 2024, over 40% of the population lives below the poverty line, and unemployment hovers at 33.3%, according to the National Bureau of Statistics. These figures are further compounded by insecurity, with over 10,000 people reported killed in banditry and insurgency-related violence annually in recent years. Such statistics reveal the broader implications of accidental leadership: leaders unprepared for the demands of office often fail to tackle systemic issues or establish the conditions necessary for sustained national growth. This not only hampers economic development but also undermines social cohesion and national unity, perpetuating a cycle of underdevelopment and instability.
By contrast, prepared leaders with prior exposure to governance, leadership roles, or structured mentorship are equipped with clear goals, strategic vision, and the capacity for effective policy execution. These leaders inspire confidence and focus on long-term national development, offering a beacon of hope for the country’s future. Examining global leadership recruitment systems highlights the importance of grooming leaders systematically. For example, the United Kingdom’s parliamentary system emphasizes years of experience in lower offices, enabling figures like Margaret Thatcher and Tony Blair to rise with proven credentials and a record of policy achievements. Similarly, Singapore’s Lee Kuan Yew transformed his country from a struggling island to a global hub through decades of planning and visionary leadership. In China, the Communist Party systematically grooms leaders over decades, requiring them to serve in various regional and national roles before ascending to top positions. Xi Jinping, for instance, served in provincial leadership for years, gaining experience in administration, policy formulation, and implementation before becoming president. These systems contrast starkly with Nigeria’s, where party loyalty and opportunism often outweigh competence.
In Nigeria, the historical trajectory of leadership since 1999 reveals a pattern of accidental leaders propelled to power by chance, opportunism, or external influence. The result has been inconsistent policies, failure to diversify the economy, and an inability to tackle pressing issues such as unemployment and insecurity. President Muhammadu Buhari’s administration (2015–2023) is a case in point: while his initial election was greeted with optimism, delays in forming a cabinet and a lack of clear economic direction in the early years of his presidency hindered his administration’s ability to tackle pressing issues. At the state level, governance mirrors this trend. Many governors have been criticised for prioritizing political survival over developmental goals, exacerbating local challenges. These failures manifest in poor policy formulation, resource mismanagement, misplaced priorities and a lack of continuity in governance.
Prepared leaders globally, such as Mahatma Gandhi, Lee Kuan Yew, and Nelson Mandela, exemplify how strategic preparation, mentorship, and clear vision can transform nations. Gandhi’s nonviolent resistance and vision for a unified India, Yew’s emphasis on meritocracy and strategic governance that turned Singapore into an economic powerhouse, and Mandela’s post-apartheid leadership that emphasized reconciliation and institution-building, creating a framework for South Africa’s fragile democracy, are all powerful examples. Joe Biden’s decades of experience in U.S. politics prepared him to handle complex governance challenges, including navigating the post-COVID-19 pandemic economic recovery. Conversely, accidental leaders often produce short-lived policies, foster corruption, and exacerbate socio-economic instability. Haiti, for instance, has suffered from a cycle of accidental leadership, perpetuating political instability and underdevelopment. These global examples underscore the need for Nigeria to systematically groom leaders who can navigate complex governance challenges and build long-term resilience.
The leadership crisis in Nigeria is rooted in systemic and structural issues. Party structures prioritize loyalty over competence, and electoral processes often reward popularity rather than merit. In the 2023 elections, many elected officials were chosen based on party endorsements rather than competence, independent credibility or a track record of public service. Weak institutions further fail to hold leaders accountable, and divisive ethnic and religious politics prioritize sectional interests over national unity. These factors are compounded by public apathy: a 2023 survey by Afrobarometer revealed that only 34% of Nigerians believe their votes influence governance outcomes, highlighting a lack of faith in the political system. This disconnection fosters a cycle where citizens disengage from political processes, reducing accountability and enabling the emergence of incompetent leaders.
It is established that there exists a strong correlation between leadership preparation and performance. Going by this measure, it is not in dispute that most of our elected and appointed leaders have not performed in office. How can we improve the quality and preparedness of those who attain public office? This should be our preoccupation for now. Does Nigeria have trained or prepared leaders? Where and when do leaders train for their role? Are they motivated? These questions merit serious consideration.
To address these challenges and create a system that produces prepared leaders, leadership training and development must become institutional priorities. Establishing leadership academies, such as the proposed National Institute for Leadership Development, could help build competence. Incorporating leadership education into school curricula and creating mentorship programs can also build a pipeline of skilled leaders. Institutional reforms are critical, including strengthening electoral integrity to prioritise merit-based selection and enhancing transparency mechanisms to evaluate leaders’ preparedness and performance. For instance, adopting a primary debate system like those in the U.S. could help assess candidates’ policy depth. Citizen engagement is equally vital; educating the public on the importance of leadership quality and encouraging active participation in political processes can drive demand for visionary leadership.
The debate on whether leadership is an innate or a skill that can be learned underscores the importance of structured training. While some argue that leadership is a natural trait, examples from global systems such as Singapore and China’s meritocratic model, and Britain’s parliamentary system suggest that systematic preparation enhances governance effectiveness. In Nigeria, most leaders lack innate qualities and formal training, perpetuating systemic failures. Developing platforms for systematic leadership grooming, such as state-level training programs for young politicians, is essential.
Bishop Kukah’s assertion about accidental leadership underscores a fundamental issue in Nigeria’s governance: the prevalence of leaders emerging from flawed recruitment processes that favour expediency over competence. This phenomenon has entrenched systemic challenges, as unprepared leadership often leads to poor governance. By contrast, global examples illustrate the transformative impact of well-prepared leaders. For Nigeria to progress, it must prioritise leadership development, reform political structures to value competence, and actively involve citizens in cultivating visionary leaders. Addressing this leadership vacuum is essential for the country to realise its full potential.
Judiciary graft, abuse of power diminish public confidence, AGF says
The Attorney-General of the Federation (AGF) and Minister of Justice, Lateef Fagbemi (SAN), has warned that corruption in the judiciary and the abuse of power can contribute to the breakdown of the rule of law and diminish public confidence in the judicial system.
Fagbemi stated this in his keynote address at The Gavel International yearly lecture 2024, themed “The Judiciary as the Last Hope of the Common Man: Media and Legal Perspectives,” in Lagos.
According to him, when the judiciary fails in its duties, it erodes public trust and hampers social progress in the country.
He stressed that the integrity and efficacy of the justice system largely shape the future of a nation.
Besides, he warned that if the judiciary fails to create an equitable future, society could face long-term consequences, including a rise in civil unrest and a diminished belief in the legal system as a vehicle for justice.
The minister emphasised that the judiciary’s role is foundational to the maintenance of justice and societal harmony, saying that its principal function is to provide fair and impartial resolutions to disputes, interpret laws, and safeguard individual rights.
Fagbemi, who noted that the Nigerian judiciary is one of the most respected in Africa, warned that protracted trials not only delay justice but also discourage individuals from pursuing their cases, particularly when they feel their grievances will never be resolved.
He explained that such delays can erode trust in the judiciary, as people may begin to feel that justice is inaccessible or ineffective.
In his lecture, former General Secretary of the Nigerian Bar Association (NBA), Dele Adesina (SAN), described the judiciary as an institution he is committed to defending and advancing at all times.
Adesina said the judiciary is not only the last hope of the common man but also the last hope of the uncommon, educated or illiterate, rich or poor, as well as the government and the governed.
He stated that the golden rule of practice is that the media must not make any comments that could prejudice a fair trial.
“The media should be wary of this. Trial by the media in criminal matters prejudices the minds of the populace and leads them to hold the court in contempt and dishonour when it ultimately reaches a conflicting or different verdict.
“More often than not, allegations of compromise and corruption are made against the judge. This is very unhealthy for the development of our legal system and judicial process.
“Our media can serve the judiciary better by promoting quality analysis of court judgments by knowledgeable individuals. This can be done through lectures of this nature, analysis by informed individuals, or the publication of journals,” he said.
[Guardian]
TETFund, NASENI, NITDA ‘ll Be Scrapped If Tax Reform Bills Sail Through — Zulum
The Tertiary Education Trust Fund (TETFund), National Agency for Science and Engineering Infrastructure (NASENI) and National Information Technology Development Agency (NITDA) will all cease to exist if the four Tax Reform Bills currently being considered by the National Assembly were passed into laws.
This was disclosed by Borno State governor, Prof. Babagana Umara Zulum, while speaking on Channels TV’s programme, ‘Sunday Politics’, which was monitored by our Correspondent on Sunday night.
LEADERSHIP reports that the contentious Bills are the Joint Revenue Board of Nigeria (Establishment) Bill, 2024 -SB.583; The Nigeria Revenue Service (Establishment) BILL, 2024- SB.584; The Nigeria Tax Administration Bill, 2024-SB.585; and the Nigeria Tax Bill, 2024 – SB.586.
Zulum, who said neither himself nor any Northern governor was against President Bola Tinubu over the Executive Bills, however, noted that they were only craving for dialogue and adequate consultation about the proposed legislations in order not to be short-changed.
“This is a democratic setting, we need more time. People have told the President that governors are against him, we didn’t say anything like that. We know the powers of the President, I am a system man, I respect him, if the President want to use his powers to pass the Bills, he may have his way but it has consequences for the people,” Zulum stated.
The governor expressed reservations about some of the provisions of the Bills, which include the status and nomenclature of the current Federal Inland Revenue Service (FIRS) upon passage of the Bills into law, to assume the power of being the only tax collection agency in Nigeria, questioning whether the agency has the structures in place to execute such mandate.
“Another provision of the Tax Bill is that by 2029 TETFund will be scrapped because companies will cease to support TETFund according to the law…NASENI will be scrapped in 2029…NITDA will be scrapped…These are some of our concerns,” the Borno State governor explained.
Zulum also explained that if the Bills scaled through and become laws, 34 States of the Federation would be shortchanged as only Lagos and Rivers States would be the main beneficiaries.
“Let them give us facts and figures, let them convince us,” Zulum stated, warning that there would be consequences for Nigerians if President Tinubu go ahead to get the Bills passed into law at all cost.
It will be recalled that President Tinubu had in October forwarded the four executive Bills to the National Assembly for passage into laws. On November 28, the Tax Reform Bills passed the second reading stage in the Senate, while the House of Representatives has fixed Tuesday for debate on the proposed legislations.
[Leadership]
CBN To Retire 1,000, Offers N50bn Payoff
Barring any last-minute changes, the Central Bank of Nigeria (CBN) will soon retire about 1,000 of its employees before the end of the year, investigations by Daily Trust have shown.
Reliable sources at the apex bank’s headquarters revealed that the retirement would gulp over N50 billion in payoff to the affected workers.
In what it described as a strategic realignment of its workforce, the CBN’s Board of Governors, led by Olayemi Cardoso, had expressed commitment to reducing the workforce.
In the last 10 months, the CBN had disengaged many of its staffers, including 17 directors, who served under the immediate past governor, Godwin Emefiele.
Those 17 directors are yet to be replaced.
A circular released three weeks ago by the CBN, sighted yesterday by our reporter, said the application for Early Exit Package (EPP) was open to all cadres of staff and will close by Saturday, December 7.
Exempted are those yet to be confirmed or who have served less than one year “as of the date of publication with the effective date of exit set at 31 December, 2024.”
Officials told Daily Trust that the apex bank was targeting retirement of over 1,000 staff members.
The officials, who pleaded anonymity, told our correspondent that at least 860 staff from the various departments have already applied for the EPP.
The management described the EEP as a voluntary programme offering eligible employees an incentive to exit the CBN early, “while providing employees seeking other career options a great opportunity for early exit.”
It cautioned that the staffers could not change their minds after applying, saying that all completed and submitted applications are final.
The EEP stated that financial incentives for senior supervisors to deputy managers shall be for the remaining period in service, up to a maximum of 60 months of current grade’s gross annual emoluments.
It also noted that financial incentives for managers shall be for the remaining period in service, up to a maximum of 36 months of current grade’s gross annual emoluments.
“Financial incentives for all other cadres of staff shall be for the remaining period in service, up to a maximum of 18 months of current grade gross annual emoluments,” it added.
The EEP also provides for non-financial incentives, including “financial planning and entrepreneurial capacity building programme, purchase of laptops in line with the Bank’s current policy and extended medical care for an additional three months for self and dependents after the expiration of the three-month current provision of access to medical windows care by exited employees.”
‘They’re offering me N97m for 4-yr service’
A staff member, who spoke to our reporter, said: “The way they dated the offer, you’ll know that the target is actually from senior supervisors to deputy managers. If you look at it, they’re mostly those that came in within the 9 years of Governor Emefiele.
“For instance, I’ve worked for 4 years in the bank; the package they’re giving me is between N92 million to N97 million.
“Some others have worked up to a manager level and are only entitled to N64.5 million. So, the more time you have to go, the more money they pay you because you know, for them, you don’t have gratuity”, the staff said.
Another staff told Daily Trust yesterday that during a webinar held on Friday, the Human Resource Department of the bank expressed the apex bank’s decision to get the number it was targeting for the EEP.
“There is serious tension, serious apprehension. You can imagine the atmosphere. It is terrible.
“As of Friday, there were 860 people so far that have indicated interest in the EEP,” the staff said.
17 sacked directors yet to be replaced
The 17 directors sacked 10 months ago and those who retired then are yet to be replaced.
Information on the CBN’s website yesterday showed that each of the 13 departments is headed by a coordinator.
A circular for replacement specified that deputy directors who have two years or less to retire are not eligible for consideration, and that each applicant must apply for only one of the positions listed as multiple applications may lead to disqualification.
Daily Trust’s investigations revealed that following the outcry that greeted the perceived bias against serving deputy directors, some of them were allegedly invited to apply for the vacant positions.
A senior staff stated that: “As it is, most of those who should qualify were affected alongside the sacked directors.”
Some of the sacked directors had, four weeks ago, approached an Abuja division of the National Industrial Court of Nigeria for an interlocutory injunction to restrain the CBN from replacing them, saying their employments were “unlawfully terminated without a valid reason.”
CBN keeps silent
When contacted by Daily Trust for comments on the decision to send about 1,000 staff on early retirement, the CBN’s Director of Corporate Communication, Hakama Sidi Ali, neither answered calls nor replied to a text message sent to her.
What CBN’s policies and procedures manual says
Section 16.0 of the CBN’s Human Resources Policies and Procedures Manual (HRPPM) titled ‘Cessation of Employment’, specifies that in every case of separation from the employment of the bank, it is the objective of CBN to make separations as amicable as possible for both the employee and the bank.
Section 16.3.5 notes that an employee’s Normal Retirement Date in CBN should coincide with the date the employee is 60 years old or has put in 35 years of service.
“Early retirement can be considered when the employee has served for at least 10 years, and is only granted at the discretion of management,” it said.
According to the manual, the CBN feels that the retirement of an employee should be an occasion for celebration and for recognition of the individual’s contributions to the bank.
However, Section 16.4, which specifies the condition for redundancy, stipulates that redundancy means involuntary and permanent loss of employment as a result of excess human resource.
It said the redundancy processes are designed to provide a framework to manage change, where that change involves termination of employment.
“Adversely affected employees are given the opportunity for early separation from the bank.
“Consultation with the Joint Consultative Council is essential, and a fair process is mandatory. Employees who are adversely affected may appeal decisions made by the head, human resources,” it said.
The manual said the grounds for redundancy require that employment may be terminated for economic, technological, structural or similar reasons.
[DailyTrust]
Controversial tax bills: Ohanaeze, Afenifere, Arewa youths state positions
As the president Bola Tinubu’s Tax Reform Bills continues to attract heated debates across the nation, some socio-cultural organizations in the country have also stated their positions on the matter.
DAILY POST reports that the controversy surrounding the tax bills followed a stiff opposition from stakeholders in the Northern part of the country.
The journey to the now controversial bills began in July 2024 when President Tinubu inaugurated the Presidential Fiscal Policy and Tax Reform Committee, PFPTRC.
The committee subsequently informed Nigerians of the move to replace the National Tax Policy with a more comprehensive “National Fiscal Policy on Fair Taxation, Responsible Borrowing and Sustainable Spending”.
This birthed the four bills, including the Nigeria Tax Bill 2024, the Tax Administration Bill, the Nigeria Revenue Service Establishment Bill, and the Joint Revenue Board Establishment Bill. They are currently before both chambers of the National Assembly for passage.
DAILY POST reports that the contention over the bills, among other things, is the sharing of the Value Added Tax as proposed by the bills.
The principle of sharing 60 per cent of VAT revenue through the derivation principle has continued to spark debates, with the northern elites leading the opposition.
According to some of the northern stakeholders, the VAT arrangement would favour Lagos and a few other Southern states because they host many company headquarters.
DAILY POST reports that the controversy started on October 29 when the Northern Governors and traditional rulers from the region rejected the Tax Reform Bills.
Following their stance, the National Economic Council, NEC, on November 1, during its 145th meeting in Abuja, advised the president to withdraw the bills.
President Tinubu, however, insisted that the bills should be allowed to go through legislative processes.
Despite the opposition, the Tax Reform Bills on Thursday last week passed second reading at the upper legislative chamber.
Airing their own views, some socio-cultural organizations in the country, including Afenifere, Ohanaeze Ndigbo and Arewa Youths Forum, AYF, stated their positions in separate interviews with DAILY POST on Sunday.
Our correspondent reported that while Afenifere and Ohanaeze apparently backed the bills, the Arewa youths expressed mixed feelings.
FG has been unfair to North in terms of distribution of resources – AYF raises concerns
The President General of the AYF, Yerima Shettima told DAILY POST on Sunday that prior to the introduction of the bills, the Federal Government has not been fair to the North in regards to the distribution of national resources.
He noted that while a monolithic stance on the controversial tax bills is unlikely, “our concerns generally revolve around equity, fairness, and the potential for disproportionate burden on the Northern region.
“Our primary concern stems from the perception of inequitable distribution of resources and infrastructure development across the country.
“We believe that despite contributing significantly to the national GDP through agriculture and other sectors, the North historically receives less in return in terms of public services, infrastructure investment, and developmental projects.
“Consequently, the introduction of new taxes, without addressing this existing imbalance, is viewed with skepticism.
“They believe that increased taxation without corresponding improvements in infrastructure – roads, schools, hospitals – would unfairly burden a population already struggling with poverty, unemployment, and limited access to essential services.
“Another key concern is the potential impact of the tax reform on informal sectors which heavily dominate the Northern economy.
“A large portion of the Arewa youth population is employed in the informal sector – agriculture, small-scale businesses, and artisanal trades – which often operates outside the formal tax net.
“The implementation of the tax reform bill, particularly if it extends tax obligations to the informal sector, could pose a significant challenge. We fear that increased tax burdens could cripple these businesses, leading to job losses and further economic hardship”.
According to Shettima, the lack of adequate education and awareness about tax regulations in the country also exacerbates their concerns on the proposed bills.
According to him, “many young people in the informal sector lack the knowledge and resources to understand and comply with new tax laws, potentially leading to fines and penalties, further marginalizing them economically.
“Furthermore, our position is also influenced by the perceptions of governmental transparency and accountability.
“Mistrust in government institutions and concerns about the proper utilization of tax revenue are prevalent.
“We question whether the increased tax revenue generated will be effectively utilized for the benefit of all Nigerians, or if it will be mismanaged or disproportionately benefit certain regions.
“Concerns about corruption and lack of accountability in government spending further fuel this skepticism and contribute to our reluctance to embrace tax reform without robust guarantees of transparency and equitable distribution of resources.
“The lack of visible development projects and infrastructure in the North, despite past tax contributions, strengthens our belief that increased taxation without guarantees of responsible governance is unproductive.
“The absence of robust engagement and consultation with the Arewa youth by the Northern Senators during the formulation of the tax reform bill is a point of considerable frustration.
“We feel our concerns and perspectives have been largely ignored in the decision-making process.
“This lack of inclusivity fuels our distrust and reinforces our opposition to the bill in its current form.
“We call for a more participatory approach that involves meaningful dialogue and addresses our specific concerns before implementation”.
Industrious Igbos will benefit from tax reform bills – Ohanaeze backs President Tinubu
Factional Secretary-General of Ohanaeze, Okechukwu Isiguzoro told DAILY POST that after thorough consultations and evaluations, the organization realized that the Tax Reform Bills would have more benefits to the people.
According to him, the tax reform bills are not merely legislative proposals, stating that they represent a transformative opportunity for the rejuvenation of Small Medium Enterprises (SMEs) and the enhancement of the fortunes of Nigerian workers.
He believes that by “eliminating the scourge of double taxation imposed by unscrupulous state governors, these reforms will pave the way for an equitable business climate that significantly elevates both local and foreign investment potential.
“The Igbo people, renowned for our entrepreneurial spirit and unwavering commitment to economic self-determination, stand to gain immensely from these reforms.
“The proposed measures are expected to safeguard the private sector, particularly benefiting the industrious Igbos who play a pivotal role in driving the Nigerian economy through vibrant SME activities.
“In an environment characterized by fairness and transparent regulations, we are confident that the majority of the benefits arising from these tax reforms will bolster our endeavors, facilitating growth and fostering robust business opportunities.
“In light of these compelling advantages, Ohanaeze Ndigbo ardently calls upon all Southern Federal lawmakers, both in the Senate and the House of Representatives, to unify their efforts in support of President Tinubu’s transformative restructuring program within Nigeria’s economic and fiscal sectors.
“It is imperative that our Southern legislators close ranks, transcending partisan divides, to ensure that the Tax Reforms Bills navigate both chambers of the National Assembly successfully.
“We wish to reiterate our unwavering commitment to show solidarity with President Tinubu, as we expect that the Southeast Federal lawmakers will provide essential backing to these initiatives.
“This collective support is particularly noteworthy as it underscores our strategic alignment with the President following our decision to abstain from nationwide protests in August 2024, a decision made in the spirit of dialogue and cooperation.”
Isiguzoro, however, expressed concerns over the “substantial opposition that has emerged from certain factions within Northern Nigeria regarding these critical reforms”.
He alleged that Northern governors “are mobilizing their forces to stifle the progression of the Tax Reforms Bills within the National Assembly, relying on their numerical predominance to assert undue influence.
“This orchestrated opposition appears driven by a desire to perpetuate the current VAT derivation principles that unjustly favour select interests at the expense of equitable national growth.
“The implications of such maneuvers are profound. If the Northern political elites succeed in thwarting President Tinubu’s initiatives, it could set a dangerous precedent, fostering a climate of resistance against meaningful reform.
“This scenario poses a tangible threat not only to the President’s agenda but also to the broader economic aspirations of millions of Nigerians who yearn for a reformed and equitable system,” he said.
Ohanaeze urged all stakeholders, including lawmakers, business actors, and citizens, to “unite in support of these pivotal Tax Reforms Bills”, insisting that the promise of a “prosperous and just Nigeria is within our reach, but it demands our collective resolve to advocate for transparency, equity, and sustainable economic growth”.
Every state has opportunity of deriving maximum benefits – Afenifere counters northern leaders
On his part, Afenifere’s National Publicity Secretary, Comrade Jare Ajayi said the organization was of the opinion that using or including ‘derivation’ as a factor of distribution would not deprive the Northern States or any other state what is due to them.
Speaking on the concerns raised over the derivation method, Ajayi said “since people consume items and patronize services in every state, there is no reason any state will not benefit from the proceeds of VAT collected in their domains”.
Ajayi stated that the position of Northern stakeholders “further underscores the imperativeness of restructuring the country urgently so that each constituent part, zone or region etc, would be in a position to exploit and largely control the resources within its enclave”.
He added that such an arrangement would not only encourage a healthy competition, it would motivate states and individuals.
He further asserted that rather than trying to look at the assumed areas that the VAT Amendment Bill would be a disadvantage, stakeholders should look at the many positive aspects of the proposed Act and suggestions made on areas needing improvement.
“From experience, where the derivation formula has been applied such as the Niger Delta etc., benefiting states have been the gainers for it.
“Since every state has a population that can engage in activities capable of enhancing VAT, it means that every state has the opportunity of deriving maximum benefits from the new arrangement being proposed”, Ajayi added.
[DailyPost]
Minimum wage strike call sparks states, Labour row
- Workers down tools in Kaduna, Ebonyi, Nasarawa, FCT
- No strike in Oyo, Ekiti, Abia, Imo, others
Workers in three states and the Federal Capital Territory (FCT) resolved at the weekend to boycott work from today over the disagreement with the authorities on implementation of the new minimum wage.
In some other states, there is confusion following the directive by the national secretariat of the Nigeria Labour Congress (NLC) for workers in those states to embark on strike over the issue.
Some of the state councils of the NLC are threatening strike not based on the refusal of the state governments to pay, but due to lack of mutual agreement on what is being offered.
The NLC and Trade Union Congress (TUC) councils in Ebonyi, Nasarawa, Kaduna and the Federal Capital Territory (FCT) have directed their workers to begin strike today.
In all these states, the governments had announced a minimum wage to be paid but there is disagreement on the mode of implementation.
Ebonyi has announced N75,000; Nasarawa, N70,500; Kaduna, N72,000 and FCT, N70,000.
The Minimum Wage Act 2024 stipulates N70,000 for the least paid worker.
The Federal Government commenced payment in September. More than 30 states have sealed agreements with their workers to pay various amounts ranging from N70,000 to N85,000 being paid by Lagos and Rivers states.
In Kaduna, the state government said it had commenced payment, but the workers kicked, saying there was no consequential adjustment.
In Ebonyi, where government has proposed N74,000, workers rejected it, saying it was a unilateral decision taken without consultation.
In FCT, workers in the area councils said there is no agreement to pay although Federal Capital Territory Minister Nyesom Wike announced N70,000 as minimum wage.
At the weekend, NLC President Joe Ajaero, listed Abia, Oyo and Ekiti states among states councils directed to begin strike over the non-implementation of the Minimum Wage Act. But the state union chapters clarified that they were listed in error.
Workers in Sokoto and Akwa Ibom states, who have engaged their governments in a running battle over the wage matter, are yet to decide on the option of industrial action.
Kaduna: workers begin warning strike
Kaduna workers will today begin a one week warning strike over what they described as the non-implementation of the new wage.
The state NLC chairman, Comrade Ayuba Magaji Suleiman, said: “We are set to embark on warning strike starting from tomorrow (today) as instructed by our national leaders.”
However, government has decried the decision, saying it has not defaulted in implementation.
Governor Uba Sani’s Chief Press Secretary, Malam Ibraheem Musa, chided NLC for lumping Kaduna State with other states that have defaulted, describing it ‘’as grossly unfair because the least paid worker received N72,000 as gross salary in the month of November.’’
Musa added: “Governor Uba Sani has complied with the spirit and letter of the National Minimum Wage Law, by paying the lowest paid civil servant N72,000 last month.
“NLC is harping on the issue of consequential adjustment, but the Labour body should realise that there is a difference between salary increment and minimum wage.
“Kaduna State receives an average of N8 billion from Federal Account Allocation Committee (FAAC) every month. It also generates around N4b monthly. That translates to N12 billion revenue monthly.
“However, the monthly wage bill has jumped from N5.4 billion to N6.3 billion with the implementation of the minimum wage last month. And there is also the deduction of N4 billion for loan payment every month.
“So, the wage bill and the deduction have gulped over N10billion of the total N12 billion revenue. That leaves only N2 billion for rural transformation, overhauling the health sector, revamping education and providing dividends of democracy to the people of Kaduna State.”
Musa insisted that it would be unfair for Kaduna State Government to spend almost all its revenue on consequential adjustments, after paying the mandatory minimum wage.
He said: “There are over 10 million people who are also entitled to the accrued revenue of Kaduna State. There are 84,827 civil servants in the state. So, it is unreasonable for government to spend over 90% of its revenue on just about one percent of the population.”
The spokesman, who described Sani as a Labour-friendly governor, pleaded with the NLC to exercise patience over the consequential adjustments, pending when government’s revenue would improve.
He said the government has already bought buses to convey workers to and from work free of charge, as part of the palliatives to cushion the effects of the economic problems.
However, the NLC chairman insisted that the strike will begin today.
He said: “We held a meeting, but we didn’t reach an agreement. The state government is not ready to implement the consequential adjustment and for us, that is unacceptable. So, we are embarking on the one week warning strike.
Also, the TUC accused the state government of unilateral implementation of the N72,000.00 new minimum wage, saying that the consequential adjustment is key.
TUC Chairman, Comrade, Abdullahi Danfulani said in a statement:“We were saddened after a careful study of the unilateral implementation of the N72,000.00 new minimum wage as announced by the Kaduna State Government during the State Executive Council (SEC) meeting of the congress held on the 30th November.
“The Council vehemently viewed it necessary to protest the unilateral manner by which the implementation of the consequential adjustments were made and this negates the principles of collective bargaining.
“However, we urge the state government to take the next step by approving the consequential adjustments to the salary tables as negotiated by the organised labour.
“We believe that this move will not only boost the morale of workers, but also increase productivity and efficiency in the public service.
“While we appreciate the state government for the consistent payment of workers’ salaries and the incorporation of workers of Kaduna State Water Corporation (KADSWAC) into the state payroll, payment of salary arrears and turn-around frame work for the revitalisation of the plant, we look forward to working with the state government to ensure a smooth implementation of the new minimum wage and consequential adjustments.
“By this communiqué the council is issuing a one week warning strike ultimatum from the day this communiqué was released.
Ebonyi workers join strike
Ebonyi NLC Chairman, Ogugua Egwu, who spoke in Abakaliki, the state capital, said the union rejected the decision of the state government to unilaterally approve a N75,000 wage for Grade Levels 1 and 2 workers and N40,000 upward review for Grade Levels 3-16.
He said the review did not meet the requirements of the new minimum wage.
Egwu said: “This wage award which was christened “minimum wage” is averse to the traditional procedures of implementing minimum wage, no matter the magnitude of the beautiful intent with which the pronouncement was made.”
Egwu noted that when a minimum wage is pronounced, it must go through the rigours of consequential adjustments that will translate into an agreement signed by both the government and Labour.
He added: “The pronouncement made was not a product of any collective bargaining agreement as we were never part of any consultation that led to the said pronouncement.
“To make matters worse for Ebonyi workers, the salary chart forced on workers and currently used did not undergo any consequential adjustment and has consistently malnourished the take home pay of workers as it lacks minimal progression.”
But the Commissioner for Information, Jude Okpor, disagreed with Labour that it was not consulted before the wage increase by the state government.
He said a committee was set up based on the panel’’s report.
Okpor added: “A committee was set up headed by the Head of Service. It was based on their report that the increased was implemented.”
Our grouse about N70,500, by Nasarawa workers
The grouse of workers on the payroll of the Nasarawa State government was the lack of written agreement on the N70, 500 the state agreed to pay.
Chairman of the committee and Deputy Governor Emmanuel Akabe announced that members met to finalise talks on the wage in his office in Lafia at weekend.
He also assured workers that the state would commence payment of the N70, 500 by December, noting that negotiations on salary adjustments were at advance stage.
But the organised Labour said it was mobilising its members for an indefinite strike after the state government delay in implementing the new minimum wage.
Chairman of the state NLC, Comrade Ismaila Okoh, said despite numerous meetings, including those chaired by Akabe, no formal agreement had been reached.
He said the state government verbally committed to N70, 500 minimum wage, but failed to provide a written agreement specifying payment terms.
The union leader further explained that all affiliate unions have been alerted and instructed to prepare for strike if the government did not implement the new minimum wage by yesterday and up to this moment; no action had been taken by the government.
“The workers are resolute, we are ready to take all necessary steps to ensure the full implementation of the minimum wage signed into law by President Bola Ahmed Tinubu,” he said.
No fund to implement minimum wage in FCT
FCT Area Council employees resolved at the weekend to join the strike, following the directive by the NLC and TUC.
The chairman of Nigerian Union of Local Government Employees (NULGE), FCT chapter, Abdullahi Kabbi, said despite the approval of N70,000 by FCT Minister Nyesom Wike, the Area Councils have not started its implementation.
Kabbi said both Local Education Authorities (LEA), and all the six area councils will comply with the strike.
He said while FCTA staff are being paid N70, 000 Minimum Wage but chairmen claimed that they don’t have money.
He said: “We are going to comply because we have been given a directive from our national bodies. When I say national bodies I mean, the NLC and my secretary of local government employees.
“We have been served the letter that we should go on indefinite strike if we have not been paid our minimum Wage arrears and implementation.
“In FCT we have minimum Wage implementation yet to be achieved and other backlog of arrears. That is where we are now. That yes, it is a national circular and an Act that they must pay but they should give them one month or two to implement the Minimum Wage. We don’t want to agree with that because many times, if we give the Area council chairmen privilege like that, they will abuse it.
“We urge every one of our members to stay at home until our leaders hold their meeting on the next line of action. We will fight for our right.”
No strike in Sokoto
The Sokoto chapter of NLC distanced itself from the strike, saying that it is satisfied with the N70,000 minimum wage implementation by the state government from January next year.
NLC chairman Abdullahi Aliyu Jungle said: “The state branch of the NLC supports the implementation of N70,000 announced by the state government effective January 2025.
“We will also assist the state government in implementing the minimum wage, even if it means conducting screening and verification to ensure that only genuinely employed workers benefit from the new minimum wage of N70, 000.
The chairman urged workers to exercise patience while expressing confidence in the state government’s commitment to unveiling more welfare packages for the workforce.
We are not going on strike, says Imo NLC
The Imo State NLC dismissed rumours of an impending strike, emphasising its commitment to maintaining industrial harmony.
Imo NLC Chairman, Comrade Uche Chigemezu, said: “We are not going on strike. We have signed an agreement with the state government.”
Chigemezu explained that the national body’s letter, which listed Imo State as one of the states embarking on strike was issued before the state government and the NLC finalised their agreement.
Enugu pays
Workers in Enugu State have been paid N80,000 offered by the state government, some workers confirmed yesterday.
A worker said: “The thing is that some of us were credited with additional N50,000 while others got N51,000. I think they called it wage adjustment. I’m happy that the money has started coming.”
Oyo NLC lauds Makinde
The Oyo State NLC lauded Governor Seyi Makinde for sustaining the negotiation on the consequential adjustments.
NLC Secretary Comrade Adebayo Aribatise said the decision to put on hold the strike was due to the robust discussion on a favourable consequential adjustment in accordance with the N80,000 wage.
Aribatise said the Union arrived at the decision during the enlarged meeting of the State Executive Council (SEC) and State Advisory Council (SAC) where the minimum wage implementation was extensively discussed.
Aribatise said: “The attention of the Council had been drawn to the news circulating about Oyo State NLC declaring strike commencing from Monday 2nd December.
“The SEC and SAC of the NLC Oyo State Council met on Thursday 28th November, and discussed extensively on the New Minimum Wage Implementation in Oyo State and later concluded that all forms of industrial actions be put on hold since the committee set up by the government is already having a robust discussion on a favourable consequential adjustment in accordance with the pronounced N80,000 and acceptable salary table for the entire workforce in the state.
“In view of this, the Oyo State Council of NLC will not be going on strike so as to give room for the committee on consequential adjustment to get the table completed with needed endorsement for implementation within the next couple of days.
“To this end, we wish to call on the entire workers of Oyo State to remain calm while the arrangement for a robust minimum wage table for Oyo State is concluded by the joint committee of the State Government and the Labour movement.”
The Special Adviser on Labour Matters to the Governor, Adebayo Titilola-Sodo, said the Labour leaders have shown commendable understanding by not embarking on strike as directive by the national leadership.
He said as a member of the negotiation committee deliberating the implementation of the consequential adjustments, both parties (Labour and government) have made a lot of progress on the deliberation by presenting different tables which are still undergoing negotiations.
NLC listed Ekiti in error, says commissioner
The Ekiti State Commissioner for Information, Taiwo Olatunbosun, debunked the claims by the NLC that Ekiti was among the 14 states that had not concluded negotiations on the implementation of the minimum wage.
Olatunbosun said the inclusion of Ekiti on the list was made in error, recalling that Governor Biodun Oyebanji had approved N70,000 minimum wage and its consequential adjustment effective from December 1.
He said: “Ekiti have since signed the agreement, following the approval of Mr Governor more than a week ago and you are all living witness to it. If the national body has listed Ekiti as part of the states to embark on strike, that must have been done in error.
“With all due respect to the leaders of Labour union in Ekiti, I’m very sure they have communicated appropriately with the national leadership specifically on the N70,000 new minimum wage that is approved by law at the national level.
“In Ekiti, we didn’t limit at that. We have given other cadre of workers from level 2 to level 6 133% consequential increment while we give workers from level 7 to 10 110% increment.
“We also gave workers from level 12 to 14 90% consequential adjustment to their salary. And civil servants from level 15 to 16 got 77% while level 17 got 70% adjustment. We didn’t stop at that; we also considered the pensioners. We increased their monthly benefits with N20,000 across all cadres.”
The NLC chairman, Kolapo Olatunde, said the Oyebanji-led government has set machinery in motion for the implementation of N70,000 minimum wage and its consequential adjustments.
He said all documents have been forwarded to the national headquarters on the agreement reached with the state government for the implementation of the new minimum wage.
Uncertainty in Yobe
There is anxiety among workers in Yobe, following the delay in the implementation of the new wage.
The Commissioner for Finance, Mohammed Abatcha, however, reassured stakeholders that steps were being taken in that direction.
He said: “Paying workers is a top priority for this administration. We are working closely with the Assembly, and they are ready to approve the virement before the end of this month.”
Despite the assurance, civil servants are unconvinced.
Isa Abubakar, a civil servant, expressed skepticism about government’s ability to fulfil its promise.
He said: “We hear all these announcements, but when it comes to action, things often don’t happen as planned. I’ll believe it when I see the new wage in my account. For now, I doubt the state will pay by December.”
Uncertainty over strike in Akwa Ibom
Akwa Ibom NLC chairman Sunny James has not issued any directive to workers on the strike.
He did not respond to phone calls and text messages by our correspondent on the position of labour on the matter.
Governor Umo Eno, who had announced N70,000 as minimum wage for workers in the state, also set up an implementation committee.
The committee headed by the Head of Service, Effiong Essien, is yet to submit its report.
Cross River Govt, union reach agreement
In Cross River, a last-minute pact between the government and representatives of Labour pulled the brake on the planned workers’ strike.
The parties reached an agreement on the payment of N70, 000 as minimum wage. They also agreed on consequential adjustments across all levels, effective from December 1.
As at 9pm last night, government and Labour officials were still locked in a meeting over the issue. Details of the parley were sketchy, but the office of the Chief Press Secretary (CPS) to the Governor, Mr. Gill Nsa, confirmed that an agreement had been reached.
One of the government’s representatives in the minimum wage Committee, Clarkson Otu, expressed hope that there would be no strike in the state.
Otu, who is Special Adviser to the Governor on Labour and Productivity, said: “We’re done this evening. We’re in the governor’s office to sign the Memorandum of Understanding (MoU).
“You would get a fuller brief when we’re done signing the MoU. It is after we’ve signed that the Labour will make their statement on the strike. It is not within my purview to say whether they’ll go on strike or not.
Union leaders could not be reached as at 10pm last night.
Katsina begins implementation
The Katsina State Government has approved the implementation of N70,000 minimum wage for its civil servants from December 2024.
The Secretary to the State Government, Alhaji Abdullahi Garba-Faskari, made this known to reporters in Katsina, the state capital at the weekend
He said that the new minimum wage would be given to workers under the payroll of the state government, Local Governments and the Local Education Authorities (LEAs).
The SSG explained that the agreement was sequel to an exhaustive and fruitful negotiations between representatives of the state government and the Labour unions.
Garba-Faskari reiterated the state government’s commitment to improving the welfare of its workers.
He described the decision as a testament to Governor Dikko Radda administration’s dedication to prioritising the needs of civil servants and fostering harmonious Labour relations.
Katsina NLC Chairman Hamisu Hussaini, assured workers that their rights and interests would continue to remain the union’s priority.
He urged the workers to continue to give their best for the progress of the state.
[TheNation]
Tax reform: Reps suspend debate indefinitely as northern govs mount pressure
•72 lawmakers, Zulum, Tambuwal reject bills, APC slams critics as northern group protests
The House of Representatives has suspended indefinitely the debate on the Tax Reforms Bills earlier fixed for Tuesday following mounting pressure from the 19 northern states governors, The PUNCH reports.
The planned debate was called off in a memo signed by the Clerk of the House of Representatives, Dr Yahaya Danzaria, as 73 northern lawmakers kicked against the bills.
Those who rejected the bills include 48 Reps members from the North-East, 24 federal lawmakers from Kano and a former Governor of Sokoto State, Senator Aminu Tambuwal, who represents Sokoto South Senatorial District.
The memo suspending the debate dated November 30, 2024 is titled, ‘Rescheduling of Special Session on Tax Reform Bills.’
It read, “I am directed by the House leadership to inform all Honourable Members that the special session, initially scheduled for Tuesday, December 3, 2024, to discuss all the tax reform bills, has been postponed to a later date.
“This rescheduling is due to the need for further and broader consultations with all relevant stakeholders. A new date and venue for the session will be communicated in due course. We regret any inconvenience this may cause and appreciate your understanding.”
A leaked video of the closed-door session of the Green Chamber obtained by The PUNCH showed the North-East lawmakers in tense debates against the tax reform bills.
The footage shows the member representing Damboa/Gwoza/Chibok Federal Constituency, Borno State, saying, “On behalf of the 48 honourable members from the ravaged North-East sub-region, I want to first of all rely on the position of the three previous caucus leaders. In addition to this, the primary responsibility of every government is simply the welfare of its citizens.
“North-East, even before the insurgency, was the poorest region in Nigeria. Today, our people have been turned into beggars. Billionaires and millionaires of yesterday have to queue up in IDP camps in host communities to collect 10kg bags of rice.
“If other parts of the country were in our shoes, even this sitting would not be possible. We have concluded that we are going to make further consultations because there is nothing that is cast in stone.”
Giving an insight into the development during the closed-door session, a lawmaker from the North-West, stated, “As the representatives of the people, we have resolved to continue our consultation on the matter,” adding that “Things degenerated almost to a point of rebellion against the Deputy Speaker Benjamin Kalu who presided over the executive session.”
According to him, what transpired during Thursday’s executive session indicate that the bills may not have a smooth ride in the House.
“From what I can deduce, the Governors of the North are not yet convinced about the arguments in favour of the bills. The bills are against the interest of the North and that is why we are saying, ‘if you think this is not the case, give us more time to consult with our people.’
“The speed with which they want these bills considered and passed is suspicious. This is why our governors are not convinced and we are not convinced either,” he noted.
The PUNCH reported that on September 3, 2024 President Bola Tinubu transmitted four tax reforms bills to the National Assembly for consideration following the recommendations of the Taiwo Oyedele-led Presidential Committee on Fiscal and Tax Reforms.
The bills include the Nigeria Tax Bill 2024, which aims to provide the fiscal framework for taxation in the country, and the Tax Administration Bill, which will provide a clear and concise legal framework for all taxes in the country and reduce disputes.
Others are the Nigeria Revenue Service Establishment Bill, expected to repeal the Federal Inland Revenue Service Act and establish the Nigeria Revenue Service as well as the Joint Revenue Board Establishment Bill, which will create a tax tribunal and a tax ombudsman.
On October 29, 2024, the Northern Governors Forum, the umbrella body comprising the 19 governors of the region, kicked against the bill, particularly the Value Added Tax-sharing template.
At a gathering in Kaduna, the governors directed federal lawmakers from their respective states to vote against the bills when they came up for debate in both chambers of the National Assembly.
Two days later, the National Economic Council presided over by Vice President Kashim Shettima advised the Federal Government to withdraw the bills to create room for broader consultations among critical stakeholders, a counsel turned down by the President in a statement by his spokesman, Bayo Onanuga.
Last week, the Tajudeen Abbas-led 10th House spent over two hours in executive session to forge a common front on the bills, only to emerge to announce the continuation of consultation ahead of the debate on the general principles of the bills.
One of our correspondents gathered that the bills would have been debated on Tuesday, but the intense pressure on lawmakers fuelled by Friday’s remark of Borno State Governor, Babagana Zulum, may have triggered the postponement of the debate yet again.
Zulum was quoted in an interview with BBC as saying, “Why the rush? The Petroleum Industry Bill took almost 20 years before it was finally passed. But this tax reform bill is being transmitted and receiving legislative attention within a week. It should be treated carefully and with caution so that even after our exit, our children will reap its benefits.
“We condemn these bills sent to the National Assembly. They will drag the North backwards and also affect the South East, South West, and some South-Western states like Oyo, Osun, Ekiti, and Ondo.”
In what appeared a reminder of how Tinubu was elected the President, Zulum urged him not to gloss over the role the North played in his election.
He added, “This is not opposition. Based on our understanding, this bill will destroy the North entirely. We call on President Tinubu to review this decision. He secured 60 per cent of his votes from the North. He should not listen to those telling him the North is not supporting him. What we need is the withdrawal of these tax bills.”
Zulum, on Sunday, however, stated that he was not an enemy of President Tinubu’s administration, insisting that if the four tax bills were passed into law, only one of the 36 states – Lagos – would be the major beneficiary.
The governor made the clarification on Channels Television’s Politics Today.
He said, “I am a strong member of the APC. If you are to count two governors who have been in support of Tinubu from 2019 to 2023, you can mention Prof Zulum. I was the first governor to come out publicly to say that power must go to the South.
“Unfortunately, the President was told by many that the North is against him. About 60.2 per cent of his votes came from the North. On this tax issue, there are a lot of misconceptions. During the NEC, we advised the Federal Government to pause for a moment to have a deeper consultation with stakeholders. That was our own statement.
“But later on, people turned it upside down. I want you to believe that our consultation is central to democracy and in a democratic setting, we are begging for the right to be consulted. This is only what has happened.”
Zulum added, “I am not an economist. But based on the calculations we did, only Lagos will benefit from, this scheme. However, we have had a series of consultation with the FIRS team and had a meeting with the tax team of Lagos State. Lagos told me that they will lose a lot if this implemented. They said ‘We did our research and concluded we will lose.’
“Then why are we in a rush? Not only in Northern Nigeria, the Southeast, South-South and even the Southwest will be severely affected. Only Lagos will benefit from this scheme. But what we are telling them is to give us time. Why are we in a rush? Let us pause and do deeper consultation because we are in a democracy.
“We should look at the nitty-gritty of these bills before passing into law. This is our only bone of contention. And then people are saying Prof Zulum and the governors are against the president. This is a democratic setting. People want us to run a garrison democracy. Most of these monies will go to Lagos. We need more time.”
Lawmakers reject bills
Corroborating the position of their state governor,Abba Kabir Yusuf, the 24 federal lawmakers from Kano State have also rejected the tax bills.
The decision was adopted during a state caucus meeting on Sunday chaired by the Kano State Deputy Governor, Aminu Gwarzo, and attended by many state representatives.
The member representing Kumbotso Federal Constituency, Idris Dankawu, stated, “To clarify this issue, I want to inform the people of Kano State, especially the residents of Kumbotso Federal Constituency, that based on the outcome of our meeting, we are against the proposed tax reform bills. We have agreed to work collectively to ensure that the bill is withdrawn in the overall interest of the good people of Kano State.
“Let me reassure the good people of Kumbotso Federal Constituency that your views, opinions and yearnings will continue to receive my utmost attention and care.”
A former Governor of Sokoto State, Senator Aminu Tambuwal, similarly thumbed down the bills.
Tambuwal made his position known during the distribution of relief materials to victims of flooding as well as handing over starter packs to over one thousand beneficiaries of skills acquisition in his senatorial district on Sunday.
He condemned the timing of the bill, which he said was wrong and not in tune with the demands of the citizens.
He said, “Let me use the opportunity of this platform to address the issue that is raging for now; the issue of Tax reform as presented by President Bola Ahmed Tinubu.
“I believe this is a wrong time for any upward review of either VAT or any form of tax, the time is inauspicious, the time is very wrong.
“These are hard times for the people of Nigeria and what they are going through. What we require of the government is for it to focus on projects and programmes that will bring succour and relief to the people and not increase their hardship.
“Already, we are facing the hardship occasioned by the devaluation of the naira and removal of fuel subsidy that was done by this regime. I believe we should focus on managing the hardship and see how we can bring our people out of hardship.
“The recent statistics of National Bureau of Statistics shows that over 30 million Nigerians are already in abject poverty.”
APC lawmakers lobby
Meanwhile, two lawmakers elected on the platform of the All Progressives Congress, Philip Agbese and Babajimi Benson, have been canvassing support for the bills in the Green Chamber.
Speaking with our correspondent, Agbese, who represents Ado/Ogbadigbo/Okpokwu Federal Constituency, Benue State, said, “We are rallying support, trying to convince our colleagues because these tax bills intend to take the burden away from poor people and small companies.”
On his part, Benson, who represents Ikorodu Federal Constituency, Lagos State and who has been a consistent advocate for the bills explained, “We have all seen the merits in the bill but we are all lobbying ourselves to make the final document accepted.”
On why the debate on the bills was put on hold, Benson said, “We understand that the tax bills have generated so much interest. We understand that as a family, broader consultations need to be done, we all need one another. We need to separate the issues; we need to ensure that contentious issues are identified and negotiated.
“We believe that in the fullness of time, the tax reforms proposed by Mr President will be adjudged as a game-changing initiative.”
In line with the position of the northern leaders, the Coalition of Northern Groups, Gombe State chapter, expressed strong opposition to the proposed tax reform bills, citing concerns that it may exacerbate regional disparities and negatively impact the economic well-being of the northern region.
In a statement signed by the state coordinator, Muhammad Deba, on Saturday, the group stated, “The new VAT regime could further widen the economic gap between the North and South. This could lead to social unrest, migration, and other negative consequences.
“The government has not provided sufficient data and analysis to justify the proposed changes to the VAT sharing formula. Without transparent and evidence-based decision-making, the potential negative impacts of the reform cannot be accurately assessed.”
Oyo’s stand
The Special Adviser to the Oyo State Governor on Media, Sulaimon Olanrewaju, on Sunday, disclosed that the state government fully backed the National Economic Council’s position on the controversial tax bills.
Olanrewaju, who spoke with The PUNCH in Ibadan, the Oyo State capital, said NEC’s position would enable the bill to meet the needs of the people.
“Well, I don’t have a response to whether it will affect the payment of salaries of civil servants or not, but I would like you to recall that the council at its meeting advised the President to withdraw the bills and allow for more discussions and consultations.
“And you will recall that all the governors were there, the past governors were there. My governor, Seyi Makinde, was the one that read the position of the council. My governor communicated the positions of the council. So, it remains the position of the Oyo State Government, that we need more consultations.
“The governor was not saying withdraw or stop the reform. To make it more effective, address the needs of the people, and correct the imbalances that have existed, it requires wider consultations and that is the position of the state. But whether it will affect the payment of salaries or not, I don’t have that information.”
Afenifere backs bill
However, the pan-Yoruba socio-political organisation, Afenifere, however, threw its weight behind the controversial bills.
The group, which disagreed with some other socio-cultural groups in the country, argued that Tinubu meant well for the country with the bills, which have passed the second reading in the Senate.
The Organising Secretary of the group, Abagun Omololu, explained that the bills had potential economic benefits for all regions, including the northern region.
He said, “Afenifere is in support of the tax reform for its promise of economic revival. We have noted that the bills are a crucial step towards stimulating the Nigerian economy, hence with the tax system reform, we hope for improvement of revenue generation at both federal and state levels. This is essential for funding critical infrastructure and social services that will benefit all Nigerians, including those in the North.
“After due scrutiny and consideration, we agree that the proposed changes to VAT administration are designed to align revenue sharing more closely with consumption patterns, affording states to receive funding based on actual economic activity rather than historical allocations.”
On its part, the Middle Belt Forum said it would support any reform that engendered justice and fairness among the federating units and put the country on the path of development.
The MBF National President, Bitrus Pogu, said the bills should be subjected to scrutiny by experts to enable Nigerians have a better understanding of the issues at stake.
“When an aspect of something is being considered rather than the holistic view, you are likely to land into a problem and that is the issue with those opposed to the tax reforms bills.
“The problem they are having is the aspect of revenue sharing, which the bills seem to have tried to make commensurate with revenue generation. I think that is where the problem is. We in Nigeria like to enjoy benefits and reap where we didn’t show. All of us have been depending on oil for all these years. This oil is a depleting resource but it is coming from somewhere,” he stated.
APC faults critics
Lending its support to the bills, the APC called for the understanding of Nigerians, saying the bills were intended to stimulate the nation’s fiscal policy framework.
The clarification was made by the National Secretary of the APC, Senator Ajibola Basiru, in an interview with The PUNCH.
Ajibola also warned the critics of the tax reforms to desist from painting President Tinubu as a dictator.
He said, “We are not in a dictatorship where the President will by fiat make a resolution. There is separation of powers. The executive has initiated the bill. So, it is for the National Assembly, which comprises representatives from all over the country, to determine whether the bill will pass or not.
“It is not the prerogative of only the President. People must not see him as a dictator. So, if the bill eventually passes, it will be because it has passed the test of acceptability by the majority of the Nigerian people as represented in the National Assembly.
“Secondly, a bill is only passed after it has been subjected to public hearing. What has happened now is that the bills have passed a second reading. It will now go to the committee stage from where there will be a public hearing.”
In his intervention, former Vice President Atiku Abubakar called for transparency and fairness in the ongoing review of the bills.
In a statement issued on Sunday, the Peoples Democratic Party presidential candidate in the 2023 election expressed concern over the uneven development across Nigeria’s federating units, stressing the importance of a fiscal system that ensured justice and equity.
[Punch]
Port Harcourt refinery, tanker drivers at war over delay in product loading
The Port Harcourt Refining Company, PHRC, and Petroleum Tanker Drivers, PTD, are at war over the overloading of products at the refinery.
While PHRC accused tanker drivers of being responsible for the low pace of loading of petroleum products at the facility, PTD, through its umbrella body, the Nigeria Union of Petroleum and Natural Gas Workers, NUPENG, dismissed the allegation, saying the company was being economical with the truth..
Meanwhile, Major Energy Marketers Association of Nigeria, MEMAN, Petroleum Products Retail Outlets owners Association of Nigeria, PETROAN and National President, Independent Petroleum Marketers Association of Nigeria, IPMAN, said they were ready to lift products and were working on it.
When Vanguard visited the Area 5 of the refinery, yesterday, about 3p.m., refining of petroleum products was ongoing.
A source in the facility said the refinery produces daily, adding that it has maintained its production status as disclosed earlier on Tuesday.
Also, at the loading bay of the refinery, three trucks were being loaded, while seven others were standing by within the bay to be loaded.
It was observed that of the 18 loading points in the facility, only three were in use.
It was further observed that only tankers with NNPC insignia were loading and seen within the premises of the refinery.
Although the facility was not bustling with life, activities were on going within the loading bay and the production area.
‘Loading hasn’t stopped since last Tuesday’
The Terminal Manager of Port Harcourt Refinery, Worlu Joel, disclosed that the Petroleum Products Marketing Company, PPMC, arm of the refinery was working and that loading of trucks has not stopped since Tuesday.
He noted that the facility has the capacity of loading 100 trucks in an hour, but that out of the 18 points, 11 were functional at the moment.
He said out of the 11, only three were being used because the facility was delivering optimally.
Joel said: “This is PPMC loading arm. We have 11 loading bays that are functional but because of the capacity, it has a huge capacity to deliver, so we are using three at the moment because it is efficient.
“Out of the three, each one has the capacity of loading three trucks in 15 minutes. A truck is 45,000 litres minimum. We have the ones of 60,000 litres. Already, we have loaded more than 10 trucks.
“So, before the close of work yesterday, just in the next one hour, we are going to evacuate minimum of 15 trucks.”
Joel said that there were enough products but that tankers drivers are not coming up to load, calling on tankers drivers to come on to load.
He said: “We have surplus products available. We have our loading arms operational and we have been begging them to come in since, yesterday but because today is weekend that is why they have not turned up.
“If you give us 100 trucks yesterday, we will evacuate it in less than five hours. So, it is not our problem if there are no loading trucks, it is the tanker drivers’ problem. We have been begging them since yesterday to come around and take the products but they didn’t turn up, it was just this morning (yesterday) after pleading with them that they came.”
NUPENG denies PHRC allegation
General Secretary of NUPENG, Mr. Afolabi Olawale, while reacting to the development, told Vanguard that the management of PHRC was lying.
“The management is economical with the truth. People should know how we operate. We (tanker drivers) cannot just drive into the refinery to load products. The marketers buy the products and contract the employers of tankers drivers, Nigeria Association of Road Transport Owners, NARTO.
“It is only when NARTO informs tanker drivers where there are products for loading that we can go in and load. We are ready at all times to load products when and where products are available,” he added.
All supply sources will be explored —MEMAN
Reacting on the readiness of Port Harcourt refinery to flood the market with petroleum products, yesterday, the Cheif Executive Officer, Mr. Clement Isong, said its members were ready to do business with the Port Harcourt refinery.
Isong, said: “All product supply sources will be explored.”
We’ve submitted application — PETROAN
On his part, the Chairman of Mr. Billy Gillis-Harry, said the association had submitted an application and was waiting for a response from the refinery.
He said: “PETROAN is ready to do business with all refineries. Already, we have submitted an application at the refinery portal. We are waiting for its response. We intend to do business with the refinery.”
We look forward to lifting from Port harcourt Refinery —IPMAN
National President, IPMAN, Alhaji Abubakar Shettima, expressed happiness at the reopening of the refinery, describing it as good news.
Alhaji Shettima said marketers could not say much about the reopening as they have not had any prior discussions with NNPC.
“We feel very happy and it is good news for everybody. We are happy with the new development. But we cannot say much. We will wait for NNPC to disclose the price it will sell its products and that will determine how marketers will react,” he stated.
Community happy as refinery resumes operation
Meanwhile, the Chief Security Officer of Alesa Eleme, Dibia Isaiah, expressed joy that the facility in their community has resumed full operation.
Isaiah said: “Everybody is seeing it live and direct that production is on. I suspect it was the enemy of this rehabilitation that is peddling the rumours.
“But you can witness what is going on here, I am one of the loaders from the host community; I have loaded four trucks this morning. Tomorrow, we will load more, there is no time we will not load.
“This is a very busy period us. I wonder why people are giving out fake information just to run down the management. It is not good. I want to urge Nigerians to disregard such rumours.”
[Vanguard]
Dapo Abiodun: I focused on developing Ogun west because of age-long neglect
Dapo Abiodun, governor of Ogun, says his administration prioritised the development of the western part of the state because it has been neglected for a long time.
Speaking at the Oronna Day Celebration in Yewa south LGA of the state, Abiodun said the Ogun west senatorial district has not been given the needed attention despite being the food basket of Ogun.
The governor said his administration has inaugurated at least one road project in the western part of the state.
“When I assumed office and for some reasons, most of my predecessors did not accord this zone the place and attention it deserved,” he said.
“Kabiyesi called me and said ‘before you, all that happened here is that they will do some groundbreaking but they never commissioned any project in this local government or in this zone’ and I told kabiyesi that the narrative will change.
“We will do ground breaking and we will also commission projects. I beat my chest and proudly say that we have done just that.
“The very important arteria road that connects the local government area to Ado/Odo-Ota Local Government Area and other five local government areas is the Ilaro -Owode road.
“We totally reconstructed it and the journey that took probably two and a half hours now takes a few minutes.”
On his part, Barau Jibrin, deputy senate president, commended the government’s efforts in developing the state.
The deputy senate president said Oronna Day could be used as a “developmental tool and a source of foreign exchange earnings”.
[TheCable]