In a concerning turn of events, amidst the ongoing minimum wage negotiations, Osun State has reportedly proposed to the leadership of the labour union its capacity to only pay a minimum wage not exceeding N40,000, the lowest in the South West.
Also, this figure is notably lower than what northern states such as Gombe, Adamawa, Katsina, Kwara, Niger, Plateau, Taraba, and Benue are offering their workers, sparking widespread discontent among Osun’s labour force.
The dismal minimum wage projection, it was learnt, can be attributed to the state’s mismanagement of resources.
It is said that resources of the state are managed in such an opaque manner that bulk of it can’t be accounted for.
For instance, despite a projected revenue of N104 billion from Internally Generated Revenue (IGR) in the 2024 budget, Osun has only struggled to realize N11 billion in the first quarter, reflecting a pro-rated performance of less than 40% and highlighting brazen corruption and severe inefficiencies in revenue collection and allocation.
Questions are daily asked where the state resources are funneled.
This situation is causing friction between the state government and its workers, who feel shortchanged and neglected.
As neighbouring states continue to improve their wage structures and overall worker welfare, Osun’s inability to manage its resources effectively is becoming increasingly evident.
A trending minimum wage proposal report containing list of 36 states of the Federation indicates that Ondo State is offering to pay its workers N62,000, Oyo State N60,000, Ogun State N65,000, Ekiti State N55,000 and Lagos State N75,000.