2019 Budget: National Assembly approves N160b for new minimum wage

The National Assembly on Tuesday approved N160 billion for the new
minimum wage for federal workers and payment of severance benefits to
civil servants in the 2019 budget.

President Buhari presenting the 2019 budget

The decision followed the unanimous endorsement of the 2019 Budget
presentation by the lawmakers at separate plenaries which held
simultaneously in both houses and presided over by Senate President
Bukola Saraki and Speaker Yakubu Dogara at the National Assembly, Abuja.

News Agency of Nigeria (NAN) reports that President Muhammadu Buhari
had on Dec. 19 presented the 2019 Budget proposal of N8.83 trillion
before the joint session of the National Assembly.

However, the Senate and the House of Representatives on Tuesday
passed the 2019 Appropriation Bill and jacked the budget to N8.92
trillion, an increase of N90 billion.

The salary increase and severance benefits were contained in the service-wide votes.

N5 billion was also provided for ”payment of outstanding death benefit to civil servants/police”.

The Chairman, Senate Committee on Appropriation, Sen. Danjuma Goje,
while addressing newsmen shortly after the budget passage, affirmed that
the N160 billion was to fund the minimum wage increase and severance
benefits as stipulated in item 90 of the report.

Goje, however, stated that if the amount budgeted failed to meet the
demand, the Federal Government could present a supplementary budget to
cover the shortfall.

The National Minimum Wage Bill, which was passed by
the lower and upper house on Jan. 29 and March 19 respectively, was
signed into law by President Buhari on April 18.

Presenting the report, Sen. Danjuma Goje said the increase of N90
billion in the budget is to cater for security challenges in the
country, packages for lawmakers and support for Zamfara state.

According to him, N23.68 billion was earmarked for severance gratuity for outgoing legislators and legislative aides.

He added that the amount was also for allowances for incoming
legislators and legislative aides and induction programme and
inauguration of the 9th Assembly.

He further said the sum of N10 billion was earmarked for Zamfara
State, while security agencies had their budgets increased to cater for
security challenges.

“There is a slight increase in the budget deficit.

“This is as a result of provision for severance benefits for the
outgoing legislators and legislative aides and the induction and
orientation and inauguration of new lawmakers. It was not captured in
the 2019 budget.

Mustapha Dawaki, Chairman House Committee on Appropriations said the
budget will be transmitted to President Muhammmadu Buhari for his
assent on Thursday.