Your jobs are secure, Fayemi assures Ekiti civil servants— 2mins read
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THE Ekiti State Governor Kayode Fayemi has assured civil servants in the state that their jobs are secure despite the current economic challenges occasioned by downturn in the global economy.
According to a statement by his Chief Press Secretary Yinka Oyebode, Fayemi gave the assurance at a stakeholder meeting where he presented the position of the state’s finances on Tuesday.
The governor and stakeholders, however, agreed on some cost-saving measures, including reduction in subventions to higher institutions in the state, cutting or total stoppage of grants to MDAs, and discontinuation of the consequential adjustments of minimum wage for senior category of workers.
They also agreed to ramp up tax collection in a bid to shore up Internally Generated Revenue (IGR).
Fayemi explained the need to reflect the economic reality and development in the country in order to avert economic crisis. He said that if the state must survive the current economic quagmire, there was the need to cut over N680 million expenses per month.
He emphasised the need to significantly increase the state’s monthly IGR from N700 million to N1.2 billion and also cut non-core expenses incurred through MDAs, expenditure, traveling, sponsorship and events.
He said he was not elected to complain but to find a solution to the economic situation of the state, suggesting the need to emulate neighbouring states on consideration for alternative means of funding the state’s tertiary institutions. He further said that N700 million spent monthly on interventions could be used to cater for other critical development needs.
Other options which the governor suggested for adoption included: the attraction of more private investors, divestment and privatisation of state-owned assets to maximise profit, suspension of the state’s consequential minimum wages adjustment, and issuing of promissory notes to creditors.
“We don’t want to sack anyone in Ekiti. These are our people that are doing their jobs, but we cannot continue to manage what we cannot manage, so we may have to discuss with our comrades in labour, not a cancellation but a suspension of the minimum wage consequential adjustment until such a time that our finances improve and all of us can see that this is the situation of our finance,” he said.
“We need to take decisive and quick steps on these tough but necessary choices that we have to take in order to restore the state back to fiscal health and then swift consolidation action taken in short term and continuous review to inform medium-to-long term planning.”
He explained that strong fiscal discipline, transparency, open governance, goodwill and increased confidence in his administration had opened up the state for more investors, leading to return of development partners supporting the state in a whole range of initiatives.
However, he noted that his administration had to face increasing dwindling revenue, needed to continue to fulfill recurrent expenditure obligations, and was confronted by insecurity which required a huge amount of money to overcome.