FG To Spend N2 trillions to Implement Agreement Reached With Labour Unions
By Rita Elenwo
Federal Government will spend not less than N2 trillion directly on the implementation of Monday’s pact with the organised labour.
After a four-hour meeting, an agreement was reached to cushion the petrol subsidy removal pains on federal workers and other categories of Nigerians.
Highlights of the Memorandum of Understanding (MoU) signed by government and labour are as follows:
•Payment of a wage award of N35,000 monthly to federal workers for six months;
•Allocation of N100 billion for high-capacity Compressed Natural Gas (CNG) buses;
•55,000 CNG conversion kits and CNG stations nationwide; and
•N75,000 grant to 15 million households, payable in N25,000 monthly for three months.
Government will require N1.125 trillion to actualise the N75,000 grant to 15 million households for three months. The money will lift the living standard of some of the poorest Nigerians as well as pensioners.
The monthly wage award of N35,000 for about 1.5 million federal workers will cost the government N315 billion over a six-month period.
Besides, N100 billion will be committed to high-capacity CNG buses for deployment and use of commuters.
A review of the expenditure plan for 55,000 CNG conversion kits and construction of 84 units of CNG stations nationwide shows that about N400 billion will be invested.
The estimation is that government will construct two CNG stations per state and the FCT, with 10 additional stations spread across major economic centres.
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