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Kwara Governor Approves Financial Bonus for Civil Servants to Offset PAYE Tax Impact

Kwara State Governor Abdulrahman Abdulrazaq has approved a financial bonus for all civil servants in the state, including Local Government employees, equivalent to their monthly PAYE obligation. This emergency support measure will be in effect for at least three months, as announced by Commissioner for Finance Dr. Hauwa Nuru on Monday.

“This bonus has been introduced to help alleviate the impact of the recent correct PAYE deductions on the newly implemented minimum wage. It aims to provide relief as workers adjust to the revised PAYE in accordance with the Personal Income Tax Act,” she explained.

The bonus will be paid starting in October and will continue through December 2024. The commissioner emphasized that this initiative is a significant effort by the governor to support workers during this transition.

Last week, the organized labor in the state, consisting of the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC), raised concerns over high tax deductions from salaries following the introduction of the N70,000 minimum wage.

The State Administrative Committee of the organized labor issued a statement signed by NLC Chairman Comrade Muritala Olayinka, TUC Chairman Comrade Olayinka Onikijipa, Coalition of Health Workers Union leader Comrade Isaac Bolatito, and Comrade Saliu Suleiman and Comrade Tunde Joseph from the Joint Negotiation Council. They criticized the recent tax burden on Kwara State workers and called for its reversal to prevent industrial unrest.

The labor leaders also expressed concern over the non-implementation of the N70,000 minimum wage for pensioners and urged the state government to address pensioners’ issues to avoid further discord.

The organized labor has appealed to the Kwara State Government to rescind the new tax regime for workers and to include pensioners in the new minimum wage policy for the lowest-paid employees in the public sector.

Additionally, the Finance Commissioner advised that workers who have not registered with the Kwara State Residents’ Registration Agency should do so promptly, as those without registration will not be eligible for the bonus in November and December.

The statement also noted that labor unions have agreed to refund the special levy deducted from workers’ salaries and to suspend further deductions until further notice. Dr. Nuru remarked that Governor Abdulrazaq’s directive to provide this financial relief reflects his commitment to the welfare of the Kwara workforce.

 

 

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