Governors’ Boycott of FAAC Meeting Causes Salary Delays

The recent boycott by the governors of the federation of the Federal Account Allocation Committee (FAAC) meeting has significantly impacted the punctual disbursement of salaries to their employees and other critical financial commitments of the states. On Wednesday, February 19, 2024, the governors abstained from the meeting due to a contention with the Nigerian National Petroleum Company (NNPC) Ltd regarding outstanding N1.7 trillion remittances. This sum has been in arrears since the federal government abolished the petrol subsidy.

On Thursday, our correspondent reached out to the Office of the Accountant-General of the Federation, where an official confirmed that the issue had been settled and a communiqué would be forthcoming. Later that day, it was announced by the federal government, states, and local government areas that N1.703 trillion in federation account revenue for January 2025 had been distributed. This was detailed in a press release by the director of Press and Public Relations in the Office of the Accountant General of the Federation, Bawa Mokwa.

Nevertheless, an investigation by TrackNews Online on Sunday revealed that many state governments, which customarily disburse salaries between the 23rd and 25th of each month, had yet to do so as of Friday, the last day of February 2025. Officials from various state governments attributed the delay in salary payments to the governors’ FAAC boycott. In Kebbi State, officials noted the absence of news regarding February salary payments, a day before the month’s end, describing it as atypical. One source remarked, “It is unprecedented for civil servants in the state to not have received their February salary by the 27th.”

However, officials at the Ministry of Finance indicated they were working tirelessly, day and night, preparing vouchers for the potential payment of workers’ salaries. The situation mirrored in Sokoto State, where civil servants, typically paid before the 25th of each month, had not yet received their wages, a consequence of the FAAC meeting postponement. At the state’s twin-secretariat, Usman Farouk and Five Star, activities were at a low ebb, with workers seen in groups discussing how to commence Ramadan fasting without salaries amid escalating food prices.

In Kaduna State, officials expressed similar concerns. Speaking on condition of anonymity, they noted that the state could only meet monthly salary obligations and other recurrent expenditures through federal allocations. An official from Kaduna North local government area observed, “Without FAAC, many states and local governments may struggle to meet their financial obligations. Perhaps states like Lagos can still pay salaries without FAAC, but others cannot.”

Another official from the state Ministry of Finance, choosing not to be named, stated, “Salary payments hinge on FAAC. Without it, states and local governments cannot function. How much do they generate as internal revenue?” In Niger State, workers typically receive their salaries on or before the 25th of each month, but as of yesterday, neither civil servants nor political appointees had been paid. It was reported that even third-party deductions from workers’ salaries from the previous month had not been remitted to statutory beneficiaries, with the government claiming it awaited components from the federation account.

Some civil servants, speaking anonymously, explained that it was the first time since the current administration took office that salaries from a previous month would carry over into the new month. Attempts to obtain comments from the commissioner for finance, Lawal Adamu Maikano, were unsuccessful as he neither answered nor returned calls to his mobile phone.

In Ondo State, workers experienced delays in salary payments by the state government. Sources attributed the delay to the late release of federal allocations. While some workers informed our correspondent they had received their February salary alert around 3 pm on Friday, others were still awaiting payment. A senior official stated, “The delay in federal allocation disbursement is unrelated to the state. We have sufficient resources to cater for our workers.”

The commissioner for information in Ekiti State, Chief Taiwo Olatunbosun, expressed confidence that issues stemming from last week’s FAAC meeting boycott by state governors would be resolved. Olatunbosun, who professed limited awareness of the development, promised to contact the commissioner for finance for an update. However, he did not comment on whether February salaries and operations would be delayed due to the situation.

Indications emerged that civil servants had not yet received their February salaries, which they typically receive by the 22nd or 23rd of each month. TrackNews Online inquiries suggested that the Abia State government is “very likely to pay February salaries and fund its operations pending the arrival of the allocation.” “Having fixed salary payment on or before the 28th of every month, Governor Alex Otti will consider failure a hindrance to the state’s progress,” a source in the Ministry of Finance stated. Arguing that Otti might raise funds internally without external borrowing, he said it would be an opportunity for him “to demonstrate his financial acumen as a former banker.”

Interestingly, Bayelsa State has commenced the payment of civil servants’ salaries for February. This was confirmed by the state secretary of the Nigeria Labour Congress (NLC), Comrade John Angese. The former Bayelsa NUJ chairman stated that workers in the state began receiving their salaries on Monday, February 24, 2025.

In Cross River State, the chief press secretary to the governor, Mr. Nsa Gill, reported that Governor Bassey Otu and his counterparts met with FAAC officials on February 24 and resolved the dispute. He assured that workers’ salaries would be paid, emphasizing that last week’s disagreement between governors and FAAC was a routine issue that had been settled.

The Gombe State government remained silent on the delay in February salary payments and operations due to the governors’ FAAC meeting boycott. Despite repeated attempts to obtain a comment from the state commissioner for finance and economic development, Mohammed Magaji, through WhatsApp and text messages since Tuesday, he did not respond to any of them.