Opinion
Effects Of Unemployment
Unemployment is a state in which persons of working age, able and willing to work are unable to find paid employment that will engage them to be involved in productive ventures. It can also be referred to a situation in which people that are qualified with the relevant skills, be it technical and educational cannot find any suitable environment to practise their trade or profession.
Unemployment is a global problem that is not peculiar to a particular place or country. Unemployment is not a problem that can be solved through long speeches, conferences or stake holders meeting, it can only take a political will to address this issue. In countries like the United States, Canada, Britain and Germany this issue is a serious one, the electorate usually consider before casting their votes for a political party or candidate. In these countries, there are even Welfare packages that are well co-ordinated to assist the poor particularly the unemployed, the aged, and the disabled. And the most interesting thing is that these countries like our country are capitalist in nature, in other words they are core Capitalist nations. As I write this piece of work I am pondering if really people vote in this country based on real issues that affect the societal well being. The truth is politics in this country is played based on prejudice, ethnicity, and tribalism. That is why you hear all sorts of sentiments like power must return to this or that place or we will pour fuel, put a lighter and burn the whole system. People are not bothered about the practical steps an individual can take to address a particular problem, but where he or she comes from. Already drums of war are being beaten at different quarters over 2015 elections. Just because of where the presidency will go to.
There are different causes of unemployment. They include structural unemployment which occurs as a result of changes in the pattern of demand of a certain commodity, especially in a production industry this could lead to downsising of work force, however adequate pay off package has to be put in place so that the negative impact on those who will be laid off will be very minimal.
Seasonal unemployment occurs when the employment of workers is usually done only in a particular season. A very good example are those who work in the construction sector, usually weather conditions could affect their employment. But with under employment which is one of the serious consequences of unemployment, it is a situation where individuals are utulised below their capacity. Most times it is caused by job losses, when people find it difficult to get the job they really desire. They are forced by circumstances to take up jobs that do not befit their skills, status, experiences and educational qualification and this is very common in our society.
The major consequence of unemployment is anxiety in the minds of the unemployed people, as they become pessimistic about life and may have to face psychological problems resulting from mental stress. Unemployed individuals according to sociological and economic research will go through a tight economic crunch, as they will not be able to meet their financial obligations. This will lead to decline in the standard of living of the unemployed individual, lack of funds is sure to have a deep impact on the expenses of an unemployed individual. Other problems could be homelessness due to failure of the unemployed individuals to pay their house rents.
Apart from adding to the economic imbalance of society, unemployment results in dissatisfied individuals who are forced by circumstances to remain unproductive.
Unemployment can also lead to loss of potential national output (i.e. GDP Operating Well below Potential) and is a waste of scarce resources. Unemployment can also lead to a fall in tax revenues for the government, rising unemployment is linked to social deprivation, and for example there is a relationship with crime and social dislocation including increased divorced rate, worsening health and lower life expectancy.
Unemployment has led to high rate of emigration in the country, as thousands of young people, graduate and non-graduate category leave the country in search of greener pastures outsides the country, which at the end of the day may not be available for all of them, some of them who are unlucky end in prison cells abroad. It is on record that over 6,000 Nigerians are currently languishing in various prisons across the World for various drug related offences. Although greed could not be ruled out totally, the major reason that is causing mass exodus of our youths to other countries looking for a better life, is unemployment.
Another staggering number of over 16,000 Nigerians in the UK prison (All Africa Com). Unemployment has also led to high rate of dependency, in our society, as full grown adults living below poverty line are living in this country. Some of the youths particularly graduates would have gone into entrepreneurship (self employed ventures) but there are no credit facilities available for them anywhere. Most of the armed struggles that we see around us presently, irrespective of the canopy or umbrella they operate from, started as a result of idleness due to unemployment. Unemployment is the reason why whenever the youths, especially the unemployed are mobilised with crumbs and peanuts, by satanic individuals for selfish reasons, pick up arms, bombs and other dangerous weapons to vent their anger on the society by causing great carnage at different locations that will result to loss of lives and property.
To address the problem of unemployment, first the government can directly engage the services of the unemployed to fill up vacancies in some of its establishments, especially the educational and agricultural sector, just as some state Governors have done or are attempting to do; also the government should take steps to fill discovered spaces occupied by ghost workers with qualified unemployed persons. Government must insist that contractors directly engage the services of young men and women for every contract that will be signed.
Another thing is that it is high time the people especially the youths in this country voted people based on issues, especially as it is done in the developed world. In other words if a politician is seeking an elective post the youth population must inquire from him or her what he or she will do to reduce unemployment which is a hydra headed monster confronting the wellbeing of the youths in the country. The era of dancing, eating and taking crumbs from politicians and also involving in thuggery during elections which some of the youths are guilty of must come to an end. And it is only the youths who can end it so as to create a better tomorrow for themselves. Government can give tax holidays, and other incentives to willing investors and also make the right policies to encourage investment. We cannot rule out the provision of infrastructure as it is critical to economic development.
Asemebo resides in Port Harcourt.
Ipalibo Asemebo
Opinion
Restoring Service Commission As Professional Gatekeeper
On the 13th of December 2023, President Bola Ahmed Tinubu inaugurated the newly reconstituted Federal Civil Service Commission (FCSC), and gave a marching order to the Commission to “competently facilitate the transformation, reorientation, and digitisation of the federal bureaucracy to enable, and not stifle, growth and enhanced private sector participation in the development of the Nigerian economy, in full adherence to the renewed hope agenda of his administration.” The FCSC has since interpreted this mandate as a charge to interrogate a fundamental question: What has the FCSC failed to do to institutionally gatekeep the federal civil service and safeguard its professional integrity, dynamics of efficiency and structural parameters despite many years of consistent and sustained administrative reforms in Nigeria?
To answer this question in a resolute way demands first the admission that given the institutional degeneration of the FCSC itself in the wake of the system-wide decline of the public administration system in Nigeria, it does not have the requisite structural and institutional parameters, to complement any forthright system-wide reform to reform the civil service reform and thereby participate in bringing to fruition the Renewed Hope Agenda of His E xcellency, President Bola Ahmed Tinubu. This therefore, requires a concerted reflection outside the box in measure that will instigate the critical injection of fresh and innovative ideas, insights and models of performance that are potent sufficiently, to compel the repositioning of the federal civil service in terms of its operational capability readiness, redoubled managerial acumen and policy professional policy professionalism that could add up to become a game-changing event for the successful implementation of the Renewed Hope Agenda of the Federal Government. This is the mandate of the renewed FCSC.
And in pursuing this fundamental mandate, we must never forget to situate the FCSC within the context of the ongoing service-wide reforms, especially the performance bond-enabled central policy and service delivery coordination framework of the Presidency and the Federal Civil Service Strategy and Implementation Plan of the Office of the Head of the Civil Service of the Federation.
The FCSC reforming the reform mandate is essentially a complementary task whose significance adds to the overall health of the federal public service system in Nigeria.
And in complementing this ongoing reform, the FCSC is compelled to focus on the broader picture of reforming the reforms to encompass the rehabilitation of the public service in Nigeria.To clarify: this larger challenge faced by the FCSC involves answering the loaded question: Who is a Nigerian public servant? This of course looks like a very simple question. However, we begin to see how complex it is when we place it in the context of how majority of Nigerians see the public service and public servants—politicians, the police, immigration and customs, the fire system, national electricity, education boards, and many more.
How have a large majority of Nigerians encountered public servants in these ministries, departments and agencies? The answer is simple: Nigerians encounter bureaucratic inefficiency aggravated by bureaucratic corruption. And the Ease of Doing Business Index demonstrates this from year to year. It is difficult to clear your goods at any of Nigeria’s ports. It is a traumatic experience to get the police to be your friend. Nigerians pay for electricity they do not enjoy, and they are even bullied by overzealous officers in the process. Let us not even talk about the police and the politicians. Long story short: the perception of public servants by Nigerians is bad.
The public service has become bureaucratic because there are so many impediments and obstacles that have prevented the system from becoming creative and innovative in rethinking its own internal operations, processes and procedures that would have made for optimal functioning.
When any ordinary Nigerian visits the federal secretariat in any state of the federation, the lack of inter-sectoral collaboration, for example, or the near-absence of technology-enabled system’s capability ensures that such a Nigerian is frustrated in making simple administrative transactions. And that terrible perception reflects badly not only on the capability readiness of the FCSC to efficiently gatekeep the professionalism of the system, but also the systemic efficiency of the public service to backstop the government’s policies that lead to good governance. And so, attending to these institutional debilitations demands a focus onthree general and systemic components around which reform reflection and action must converge.
First, there is the urgent need to challenge and reengineer the traditional Weberian— “I-am-directed”—bureaucratic tradition which essentially rides on outdated administrative practices, analogue operating system, red-tape bureaucratic culture and poor stewardship with regards to the consideration given to, and the rights of the citizens as the customers who consume public services. In other words, the old Weberian system around which the Nigerian public service system still revolves crucially undermines bureaucratic efficiency. It will therefore be a wrong choice of operational mechanism to hinge the success of the Renewed Hope Agenda of the Tinubu administration. Reforming the reform of the Nigerian public system therefore implies rethinking the basis of its institutional efficiency to get service delivery done effectively.
Second, reform must confront the low organisational intelligence quotient (IQ) of the public service workforce and especially its top echelons. This has not only impacted on the essence of public spiritedness and professionalism of the public servant, it has also triggered the breakdown of public service values that makes the public service all over the world a noble calling. The root cause of this decline in the vocational spirit of a public servant can only be redressed by a consistent, coherent and strict metrics of re-professionalisation.
Third, bureaucratic efficiency must be connected with the ultimate objective of achieving an effective and efficient democratic service delivery that defines what good governance is for Nigerians. And this demands that the public service must be compelled to become a performing and productive institution that holds its workforce to metrics of performance accountability. And a culture of structural performance can only take off when reforms reduce the series of systemic constraints that limit the effectiveness of the system to deliver public goods to Nigerians. We have a good example in how the President himself has got all the key governance players in the government to sign on to a performance bond with a dedicated policy coordination backend.
Fourth, a key component of performance management for productivity is a functional competency-based human resource management practices which, in the case of the Nigerian public service system, are already compromised. Two structural issues are responsible for this compromise. The first is the collapse of internal control mechanism, and the second is the rampant bureaucratic corruption aggravated by the lack of the culture of deferred gratification.
The consequence of all these institutional weaknesses is the bloated and inefficient status of the administrative system that allows it to keep generating redundancies and ad hoc structures and units of government agencies that compete with the existing bureaucratic structures in order to achieve what is often taken to be a flexible administrative arrangement unencumbered by administrative codes, rules and regulations. There is also the unfortunate replication of these parallel structures across each state of the federation. The result is the explosion of the cost of governance in ways that burden the capacity to allocate needed funds to critical governance projects speaks more to the infrastructural needs of the citizens than mere overheads.
Olaopa, an online contributor wrote in from Abuja.
By: Tunji Olaopa
Opinion
Leveraging On ICT For Timely Retirees’ Payment
The Computerised Public Service System which is an offshoot of Information and Communications Technology (ICT) is a 21st Century wizard that most people are not compliant with. Sadly, even those in the sector or operators of the system are either underutilising or have refused to deploy its usefulness in transactions, public service system and in addressing the undue and unnecessary delay in the processing and consequent payment of retirees’ pension and gratuities.
The timely payment of pension is a function of early documentation and completion of processing of the retirees entitlements. This factor underlies the injunction on civil and public servants who are at the verge of leaving the service to at least six months to leaving the service, start the processes of retirement through notification, submission of relevant documents to appropriate departments to facilitate processing. However, technology has made such manual documentation and processing of benefits of a retiree, very unnecessary and odd in the 21st Century.
The harrowing and painful experiences of those leaving civil or public service in having their documents processed, accessing their pension and gratuity is better imagined than experienced.
But civil servants seem to have acclimatised with the anomaly of protracted waiting for their entitlements after retirement from service.
The unnecessary delay on the part of employers and fears of going through the challenges of retirement processes before retirees could get their pension and gratuity are some basic factors why some civil servants falsify age and service records.
This is done so they can serve longer than necessary; beat the mandatory 35 years service or 60 years age stipulation for retirement, depending on which one comes first.
However, it is pertinent to say that the delay in processing and payment of pension and gratuity to civil servants leaving the service mandatorily is the architecture of the failed system operators. It is a function of Nigerian system that has thrived on systemic defect. Employers of labour, including Federal, State and Local Government are to blame for failing to pay Retirees’ Benefits months or years after the processes were completed by the civil servants whose duty was to process pension and gratuity.
On the other hand, pension desk officers and other civil and public servants in the value chain of pension benefit processing, are also to blame for selfishness and unnecessary bureaucracy.
The integrated computerised system in vogue which banks the relevant details of all civil or public servants such as: Date of Birth, Date of Employment, Salary Grade Level, Rank, and Computer Number, offers those responsible for processing the benefits of those leaving the service the privilege of working ahead of their retirement date.
All the pension desk officer needs to know about the staff leaving service on retirement is available in the system if he or she is availed the opportunity. All service documents of every staff can be scanned and saved in the system against a verified staff’s name. So it is possible for the retiree to leave the service payrolled as a pensioner and paid the benefits accruing to them on or before the date of leaving office or a maximum of one week after. Anything above the period can be viewed as witch-hunt and a deliberate and calculated plan to frustrate the senior citizens who have spent all their productive years serving their nation and state.
If civil and public servants receive their pension and gratuity soon after retirement, no doubt, no civil servant will be caught in the web to alter date of birth or date of entering the service, because it is unnecessary, except for those that cheating and lying are their second nature. Many would prefer exploring other avenues to generate and diversify source of income while they are still strong at retirement, to remaining in the system.
The Integrated Computerised and Payroll System has helped government and other employers of labour to stem the ghost worker syndrome and fraudulent practices because the relevant details of every worker is captured in the system. By the Data capture, those in charge of pension and gratuity know the retirement date of every staff already in government employment.
If workers in private and organised corporate establishments are paid their entitlements on the day of leaving the service, those in Government ministries, Departments and Parastatals can as well benefit from the gesture.
In the good days of the civil service when it was dignifying and a pride to do white collar job, civil and public servants receive their entitlements as and when due. The stress of accessing one’s benefits as evident today was alien to the civil/public service.
The computerised system ends the unnecessary bureaucratic innuendos associated with the civil service. It will also end the alleged Shylock attitude, fraudulent kickbacks that some of those responsible for processing retirees’ benefit compel retirees to go through.
It avails the government the knowledge of how many staff are due retirement and how much the government is expected to pay to the disengaging staff, long before the prospective retirees’ due date.
Except for ulterior motive, and the antics of those who take delight in the suffering of people and feed through the crude bureaucratic processes of moving file from one desk to the other, the dividends of the computerised civil service system should be savoured and optimally utilised.
In this digital, information and communications technology-driven service with the capacity of reducing the world into a village, it is trite, unacceptable and counter productive for retirees to submit service documents when all the required and necessary documents relating to a civil servant should be in a computerised system that can be accessed by pension desk officers and others in the value chain of processing of pension and gratuity.
It is possible for retirees to stay in the comfort or obscurity of their homes and receive relevant information instead of subjecting them to the undignifying experience of documentation under protracted queue.
The public service should explore ease of doing service to obtain maximum productivity. In civilised climes where wages are paid on man-hours, time is a critical resource to development of society and people.
We should keep pace with changing times with its inevitable realities if we must remain relevant. The development of a society and the level of productivity is proportional or response to the dynamics of society.
It is time to treat retirees as senior citizens indeed.
By: Igbiki Benibo
Opinion
Soludo’s Mandate: Austerity Or Prudence?
The Executive Governor of Anambra state, Professor Chukwuma Soludo, recently celebrated the second anniversary of his administration in office. Prof. Soludo won the Anambra State 2021 Governorship elections with a remarkable landslide, in one of Nigeria’s most popular and freest elections. A professor of Economics and former governor of the Central Bank of Nigeria, who spearheaded banking sector reforms and reconsolidation that became points of reference, Prof Soludo was heralded as the messiah of Anambra State, especially as he promised to make the state the “Dubai and Japan of Africa.”
But mid-way into his administration, the euphoria about the Soludo magic has long dissipated. The disappointed and well-wishers who gathered at the venue of his anniversary at Awka, may have come to get first-hand account of the happenings and to reassess their stand. Usually such events are opportunities for office holders to recount their accomplishments. Governor Soludo, while narrating a litany of achievements, said he runs an austere government in the state to the point of claiming not taking any salaries since assumption of office, and that even the first lady does not have any car allocation from the State.
What stands out however, is that the governor said he has insisted not to borrow, even though records show that the governor has sought and got approval from the State House of Assembly to borrow N100 billion.
So far, Soludo’s decision not to borrow is commendable, because records show that as at January, 2023 the State’s debt deductions stood at N872,425,828.86 per month, which was 27.8 per cent of net statutory allocation and 12.4 per cent of total allocation. Today, that burden is more than double due to naira devaluation.
Additional kudos goes to Soludo from Anambra’s 2024 budget summary documents, which shows that the approved 2023 budget estimate of N260,394,690,434 yielded a revenue of only N155,647,114,526.22 out of which the State spent only N76,905,169,399.35 to realise a whopping surplus of N78,741,945,126.87, in 2023.
However, how austere is Soludo’s administration? And is austerity a measure of development?
As sympathetic as the first family’s acclaimed self-denial may sound, the office of the first lady is not a constitutional creation, and therefore has no entitlements. The governor’s basic salary is N185,306.75, while his hardship and constituency allowances are N92,654.37 and N370,617.50, respectfully, all of which sum to N648,578.62, a negligible amount compared to the governor’s monthly security vote of N850 million, amounting to over N10 billion per year, plus other perks of office.
Former Governor Obiano is currently facing charges of diverting N4 billion from security votes. Soludo should have told the public if he has cut down such humongous allowances.
Anambra State’s approved 2024 budget of N410,132,225,272.11 also shows that the governor’s office receives N11,199,200,089.19 comprising personnel bills of N4,668,243,574.08 and capital expenditure sum of N6,530,956,515.11, for the State’s Boundary Commission, Anambra State Public Procurement Agency, Anambra State Investment Promotion & Protection Agency, Anambra State Action Commission on AIDS (ANSACA), Christian Pilgrims Board, Muslim Pilgrims Board, Anambra State Small Business Agency (ASBA), Greater Onitsha Development Agency and the Greater Nnewi Development Agency, whereas these agencies should belong to requisite ministries, while the office of the governor is saddled with developmental concerns.
On the social sector, Soludo’s administration allocates a paltry annual purse of N175,000 for the upkeep of each secondary school in the state, which translates to less than N60,000 per term, and may be the reason some principals got tempted to request fees from students.
The plight of 656 health centres in the state are more pitiable as most receive N140,000 per year, which is about N11,667 to fuel generators and other expenditures.
The Orumba General Hospital is allocated N105,000. The State should be more realistic in funds allocation to ensure that meager funds do not stifle essential institutions.
Anambra’s 21 local councils that draw a total monthly federal allocation of over N8 billion, continue to be ruled by illegal Transition Committee Chairmen appointed by the governor, thus denying the state of political tutelages at the council levels that groom vibrant politicians to the national level, while Anambra State Independent Electoral Commisson lies idle with allocation of N197,301,110.40.
As for roads construction, the governor may have done well, with the Ekwulobia on-going project standing most prominent, but what is on ground across the State lags far behind expectations. It took him two years to deliver his flagship campaign promise at Okpoko in Onitsha, combined with a re-election fever to deliver the Opkunoeze road at Nnewi, probably wary of Senator Ifeanyi Uba’s factor.
In a country where politicians envision themselves as construction project management officers, road works, however inappropriate, have become the be all of the average. But for a professor of Economics who had sat at the vintage position of a Central Bank governor, where the impacts of policies and big industries are clearly understood, there are far bigger development expectations for which Soludo’s coming sounded messianic.
While his tax administration reforms are commendable, the brigandage of the Ocha Brigade and ANJET are eliciting sorrowful tales from the masses. Insecurity remains a terror in the state.
This is unlike Alex Otti of Abia State who has initiated rapid ‘positive disruptions as Soludo likes to coin it and capped it with Geometric Power’s 24-hour of electricity in Aba. In Imo State, Seplat Energy and Nigeria Gas Infrastructure Company (NGIC) are rounding-up a $700 million ANOH Gas Processing Plant, while Shell/NNPC is completing a $3.5 billion Obiafu-Obrikom-Oben OB3 gas pipeline network, despite insecurity, to link the Escravos-Lagos pipeline system. Moreso, Shell has just empowered youths from the host communities of Assa, Ochia, Awarra, Obile, Avu, Obissima, Obuomadike, Ununwaku, Ohoba, Obitti and Umuapu, who graduated from its one-year training. Road construction and contracts in Imo would be usual community development accompaniments.
While the rat-race for revenue drives continue in Anambra, the State sits on 50 billion barrels of crude oil reserve, and 10 trillion cubic feet of gas waiting development. Dr. ABC Orjiako, is from Anambra State, and Mr. Emeka Offor’s Chrome Group, whose Interstate Electric Company Ltd are stakeholders in Enugu Electricity Distribution Company (EEDC) and the Alaoji power plant. Its obvious the State has the human resources to develop its potentials, but needs prudent leadership.
Anambra, home to the Innoson Car Assembly plant, industries and businesses that are suffocating under poor electricity, needs visionary managers that draw down greater benefits, even if they do not forego salaries.
By: Joseph Nwankwo
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