The Revenue Mobilization Allocation and Fiscal Commission (RMAFC) which is constitutionally empowered to undertake a review of the remuneration packages of political, public and judicial office holders has set in motion a process for the review of the existing Remuneration Act of 2008. Nigerian legislators are amongst the highest paid in the world earning more than their counterparts in the UK and USA.
The current Act pegs the annual salary of a Senator at N8.2 Million, and a Member of the House of Representatives at N4.2 Million. Even though some claim this is not excessive, it must be evaluated in light of the minimum the government approved minimum wage of N18,000 per month. It would take a working man on minimum wage the whole of his life to earn a Senators annual salary!
That aside the truth is that allowances and the perks of office account for far more than salary. RMAFC is not empowered to determine allowances which sometimes serve to multiply salary tenfold! The monetization policy has been greatly abused with government assets being sold off at cheap rates and office holders collecting salaries of people they don’t employ.
The only solution to this problem of abuse is to make it clear that the total allowances paid should not exceed 100% of salary. In this manner an individual on N4 million a month will at most take home N8 million as opposed to N20 million or more. Reduction of the salaries of political office holders at this point in time without safeguards will only encourage and facilitate further corruption in the legislature.
Although a reduction in the cost of governance is critical and a necessary measure, a downward review of salaries when inflation and an adverse exchange rate are making everything more expensive is hardly wise. Most economic analysts suggest that rather than reduce the remuneration of office holders, the number of office holders should be reduced. The issue if a unicameral legislature must be revisited as well as accountability.
There is no accountability in the National Assembly as its accounts are never audited or published in detail. Touring advances and their retirement is the largest single avenue for increasing income in the National Assembly.
Accounting staff in the Assembly must remain as employees of the Ministry of Finance rather than transfer to the National Assembly payroll where they co-operate in malfeasance. Since there are no audited or published accounts of the National Assembly it will not be possible for anyone to determine whether or not any directives from RMFAC are actually complied with.
The review committee is expected to holistically review the existing remuneration act, identify areas of wastage and abuse, examine the implementation of the monetization policy by MDA’s and advise on appropriate remuneration for public office holders. The whole issue of remuneration for public office holders is surrounded in controversy and secrecy.
It is vital that the review effectively minimizes waste and abuses therefore it is of utmost importance that Chairman of the Commission Elias Mbam’s suggestion that all stakeholders including all arms of government, professional bodies, organized labour, academia, the media and the Nigerian public are carried along to enrich the process is taken up.
