JUST IN: Governors want review of revenue sharing formula

The governors of the 36 States of the federation have expressed their desire for a review of the current revenue sharing formula.

The Chairman of the Nigeria Governors Forum (NGF) and Governor of Ekiti State, Dr Kayode Fayemi, disclosed this while fielding questions from State House Correspondents after a meeting with President Muhammadu Buhari.

Governor Fayemi expressed hope that the Chairman of the Revenue Mobilization, Allocation and Fiscal Commission (RMAFC) would also join them to take up the matter with President Buhari.

The governor, who was asked to unveil the position of governors on the review of the revenue sharing which was one of the conditions the NGF gave in accepting the new minimum wage, said: “A review of the revenue sharing formula is still the position of the Nigeria Governors Forum.

“We feel that it’s time for the revenue sharing formula to change and we have made a representation to the President and Commander-in-Chief not just under the Buhari’s administration, this has been an ongoing agitation that started way back since the time of President Olusegun Obasanjo. It continued under the late President Umaru Musa Yar’Adua and President Goodluck Jonathan. So, it’s not just something that has been brought out under President Buhari.

“And you also know that there is a process to this. The process is that the Revenue Mobilization, Allocation and Fiscal Commission, RMAFC, which has the responsibility for this would do its own due diligence, consult widely with critical stakeholders and we have also made available our own representation to RMAFC. Every State has a representative at RMAFC as you know and only last week, RMAFC held a retreat on this and other matters and I believe they will communicate the position.

“Now that we have a full-fledged RMAFC in place with a Chairman and other members appointed, it is our expectation that this would be taken up by RMAFC with Mr. President in a manner that we have taken it up.”

Fayemi added: “Whether that would affect negotiation for the minimum wage, I can tell you no. Minimum wage is a law. But as I have always said to you, a national minimum wage act is not a general minimum wage review. They are two separate things. Governors are committed to the minimum wage act and no one is going to pay anything less than N30, 000. Some of us have started paying N30, 000 as you may be aware, others want negotiations on the consequential adjustment to end before they start paying the minimum wage.

“And as you may be aware, what has happened so far is that the Federal Government has agreed a percentage of consequential adjustment with labour. What is happening currently in States and majority of our states have started that negotiation is to agree what that consequential adjustment would be in the state.

“I have also said to many people who have asked me, fingers are not equal at the level of the states. So, consequential adjustment may not necessarily end up being the same, it will be different from state to state. We are not going to adopt hook line and sinker what has been adopted between federal government and labour, that is for federal government workers. What happens in state is a different matter. But I can assure Nigerians that no state is going to pay anything less than N30, 000.”