The Senior Staff Association of Nigerian Universities (SSANU) has raised concerns over the severe financial strain its members are facing due to excessive tax deductions on their already modest salaries. According to the union, the recently approved N70,000 minimum wage has been rendered ineffective due to multiple tax burdens, including Pay As You Earn (PAYE) tax, increased Value Added Tax (VAT), and other unexplained deductions.
Following its 50th National Executive Council (NEC) meeting at the Federal University, Otuoke, Bayelsa State, SSANU issued a communiqué detailing these challenges. Signed by the SSANU President, Comrade Mohamed Ibrahim, the statement expressed frustration over the rising cost of living and the government’s failure to implement a tax system that considers the realities of Nigerian workers.
“NEC noted with disappointment and excruciating pains the humongous tax on various goods and services. Some of these taxation are affecting our meagre salaries through the pay as you earn (PAYE) tax, the hike in Value Added Tax (VAT) and numerous unexplainable tariffs,” the communiqué read. “This has drastically rendered the Seventy (70) Thousand Naira minimum wage increase useless and of no effect.”
Beyond taxation, SSANU also decried inconsistencies in the payment of salaries through the Government Integrated Financial Management Information System (GIFMIS). The union accused some universities of shortchanging staff by withholding third-party deductions and failing to pay full salaries, citing salary shortfalls.
Another major concern is the delayed disbursement of N50 billion earmarked for Earned Allowances and other financial benefits in the 2023 Supplementary Budget. SSANU insists that these funds must be recaptured in the 2025 budget and released without further delay. The union also criticized the federal government for only paying two out of the four months of withheld salaries, calling for the immediate payment of the outstanding balance.
“We commend the President Bola Tinubu-led administration for paying two (2) months out of the four (4) months withheld salaries of our members in Federal Universities and inter-University Centres,” Ibrahim noted. “NEC appeals to the Federal Government through the Minister of Education, Dr. Morufu Olatunji Alausa, to as a matter of seriousness facilitate the payment of our remaining two (2) months’ salaries and the third-party deductions, so as to guarantee industrial harmony in all Nigerian Universities and inter-University Centres.”
SSANU further addressed issues such as the failure of some state governments to implement the new minimum wage, the skyrocketing cost of electricity, worsening security challenges, and the deplorable state of roads across the country. The union warned that Nigerian universities are struggling to sustain operations due to high energy costs, with many institutions forced to rely on expensive generator power.
On security, SSANU called on the government to take urgent action to curb rising cases of kidnapping, banditry, and other crimes that threaten the safety of citizens. It also urged authorities to prioritize road infrastructure to reduce the suffering of commuters and curb the extortion of travelers by security agencies.
As Nigerian workers continue to struggle under these harsh economic conditions, SSANU insists that urgent government intervention is necessary to provide relief and create a fairer, more sustainable tax regime.
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