Wike Seeks FG’s Revenue Sharing Formula Review – Warns Against Minimum Wage Politics

Rivers State Governor, Chief Nyesom Wike has called on the Federal Government to review the revenue sharing formula so as to create the right environment for state governments to meet their financial obligations.
Wike who made the call last Wednesday while addressing a public function at the Executive Council Chamber of the Government House, Port Harcourt, also advised the Federal Government against playing politics with minimum wage
Reacting to the planned upward review of workers salary as announced by President Muhammadu Buhari recently, Governor Wike wondered why the Federal Government would negotiate wage increase with workers without the involvement of state governments.
He noted that the Federal Government is talking about minimum wage at a period when many state governments find it difficult to pay the present salary wage bill and described the pronouncement of the Federal Government as politics.
“I’m employing and I’m not the one negotiating what to pay but Federal Government; how can it work? They are playing politics with minimum wage”, he said.
The governor described as unreal, the kind of federal system being operated in the country, adding that a situation where the central Government is collecting 52 per cent in the revenue sharing formula leaves the other tiers of government with little to meet their mounting challenges.
According to him, what obtains in other countries where federal system operates, is that the federating units collect their revenues and pay tax to the centre and wondered why Nigeria’s case is different.

By: Chris Oluoh.