Key highlights
- National Salaries, Income and Wages Commission (NSIWC) said MDAs can’t implement increases in salaries, allowances and other benefits without its input.
- The NSIWC revealed that the commission had through this inspection and other activities saved the government over N400 billion yearly.
- The Federal Government said it will not accept fiscal indiscipline where the personnel budget and non-regular allowances of the overhead budgets for public service employees spiral out of control without a corresponding increase in productivity,
The Federal Government has warned Ministries, Departments and Agencies (MDAs) against implementing increases in salaries, allowances and fringe benefits without its approval, asking them to desist from such acts.
The caution was given by the Chairman of, the National Salaries, Income and Wages Commission (NSIWC), Mr. Ekpo Nta, at a Two-Day Training Workshop for Salaries Inspectors in Abuja.
According to NAN, the workshop is for the execution of Phase II of the 2022 Salary Inspection Programme.
MDAs can’t implement salary increases without NSIWC input
- Nta said, “I want to unambiguously, state that even where the establishment Acts of any fully funded, partially funded and self-funded federal agencies allow its board to determine its remuneration.
- “It can only do so after statutory input in line with Section 3(1) of the NSIWC Act 1999. This is irrespective of whether their establishment Act predates 1993 or not.
- “They are bound by our Act in the same way and manner that the Public Procurement Act 2007, the ICPC Act 2000, Fiscal Responsibility Act 2007, etc upon enactment.
- “Whether pre-dating or post-dating their establishment Acts apply to all federal government agencies.’’
The NSIWC Chairman said it was based on this that the federal government issued 2 circulars signed by the Secretary to the Government of the Federation.
He said the circular directed all MDAs to desist from implementing any increase without NSIWC’s input, and after approvals by the government, such approvals must be conveyed by NSIWC.
FG saves N400 billion from NSIWC inspection
- Nta added, “The country will not accept fiscal indiscipline where the personnel budget and non-regular allowances of the overhead budgets for public service employees are not controlled and spiral out of control without a corresponding increase in productivity, especially in self-funded institutions.
- “This can be attributed to unregulated recruitment, implementation of the National Minimum Wage, etc.’’
The NSIWC boss reiterated that the commission had through this inspection and other activities saved the government over N400 billion yearly which would have been abused, wasted or misappropriated.
He said this year’s programme would cover agencies that had obtained approvals to implement new salaries, allowances and fringe benefits within the last six months.
He said they include the Federal Ministry of Industry, Trade and Investment and their parastatals and the Federal Ministry of Mines and Steel Development and their parastatals.