The Nigeria Labour Congress, NLC, has rejected the proposal to increase Value Added Tax, VAT, and Pay As You Earn, PAYE, to fund 2019 budget.
NLC President, Ayuba Wabba, made this known at the Benue State Labour delegate conference which took place in Makurdi on Thursday..
Wabba warned that any increase would not only rob workers of the minimum relief but will leave the economy in dire strait.
NLC president who was represented by the President of Judicial Staff Union of Nigeria, JUSUN, Mamman Mustapha, urged government to explore other progressive ways of financing the budget.
“Government should adopt progressive taxation in a manner that captures more people in the tax net and ensures that the rich and luxury items are properly taxed.”
Wabba who flayed non payment of salaries by most state governments said “you will agree with me that these challenges show up more monstrously in the states.
“Some of our state governments are still owing arrears of salaries, pension and gratuity. This ugly situation has persisted despite federal government’s bailouts and budget support initiatives which at the last count is close to N2 trillion.
READ ALSO: PDP Says Reaction of Buhari’s Camp to Igini’s interview Admission of Guilty
“I expect that this state delegate conference will elect labour leaders who will take on headlong these evil trend and punitive injustice against workers”.
He welcomed the N30,000 minimum wage stating that if state governors could cut down on high cost of governance and corruption, they would be able to pay the minimum wage.
Speaking at the event, Governor Samuel Ortom pledged that his administration would pay the N30,000 minimum wage.
He also said his government was mapping out strategy to clear backlog of arrears of salaries, pension and gratuities.
Ortom thanked Benue workers for the understanding and honour they have accorded him by supporting his re-election bid promising to maintain a robust relationship with the Benue workers.
Welcoming states delegates to the conference, the state NLC chairman, Goodwin Anya observed that workers in the state were faced with unpaid salaries and arrears and called on the governor to pay workers salaries and pensions.
He expressed joy over Governor Samuel Ortom acceptance to implement the N30,00 minimum wage and pledged the support of NLC for the state government.
