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Abia State Governor Alex Otti has stepped in to dispel the confusion surrounding recent salary deductions for some civil servants, offering a clear explanation to alleviate the concerns of affected employees.
The Government House in Umuahia played host to Otti’s monthly media interaction over the weekend, where he used the occasion to shed light on the salary deduction controversy, addressing the concerns of newsmen.
According to the governor, a probe was initiated to look into the allegations of unauthorized salary deductions, following a flurry of complaints from affected civil servants.
Otti explained that the investigation’s results showed that the migration to the current tax rate from the outdated 2018/2019 rate was the primary reason for the variations in salary deductions, clarifying the source of the issue.
“A lot of people who felt their salaries were being reduced, when we investigated those complaints, we found that what actually happened was that before now an old tax rate was being applied.
“The 2018/2019 tax rate was being applied and there was a 2021/2022 tax law, which of course, has come into effect.
“I find it difficult to accept that somebody is pinching salaries, then how do you even do it, because the money leaves the account of the state and hits the account of the beneficiary?
“So, at what point would somebody deduct the salaries, and if you deduct, where do you take it to?”
The governor also said that the government had investigated the complaint about salary disparity in some local government areas of the state and “we found that it is not true”.
Otti also attributed the development to tax deductions, using the current rate.
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He said that the government had evolved a policy that allows the payment of overtime allowance to a civil servant that performs “overtime duties”, based on the request of the government.
He said, “If you were getting paid overtime and you were getting some overtime, now the government says you are not supposed to work overtime.
“Except if there is a need for that and it is the government that would ask you to do that.
“I think that is what people are mistaking for salary being deducted.”
On minimum wage, Otti said that the government had set up a committee to look into the issue as it awaited more clarifications from the Federal Government on the matter.
He said: “You know the minimum wage announcement was just about the minimum wage of N70,000.
“What that means is that every other person’s salary would go up.
“So, it is not just going to be a minimum wage for civil servants every other salary would be adjusted accordingly.”
Otti noted that the government is currently engaging in discussions with the Nigerian Labour Congress to devise a practical solution, taking into account the state’s limited financial resources.
The governor confirmed that the government has made the implementation of the new minimum wage a central priority, underscoring its commitment to addressing the concerns of civil servants.
He mentioned that, in anticipation of the budget review following the virement, arrangements were being made to accommodate salary increments in line with the newly introduced minimum wage.
