As part of its efforts to manage its fiscal challenges and preserve its capacity to serve the entire state, the Kaduna State Government announced in April 2021 its intention to rightsize its workforce.
This exercise would affect political appointees and civil servants in the public service of the state with personnel strength of less than 100,000.
The Kaduna State Government, which was the first government to begin paying the minimum wage in September 2019, will continue to honour this commitment. KDSG (Kaduna State Government) has also increased the pension under the defined benefits scheme to the minimum wage of N30,000 for every pensioner in the State.
In April 2021, the KDSG also released details of its FAAC receipts and personnel costs in the six months leading to March 2021. These figures showed that personnel costs account for between 84.97% and 96.63% of the state’s FAAC revenues.
In November 2020, KDSG had only N162.9m left after paying salaries. That month, Kaduna State got N4.83bn from FAAC and paid N4.66bn as wages.
In March 2021, the state had only N321m left after settling personnel costs. The state got N4.819bn from FAAC and paid out N4.498bn, representing 93% of the money received.
The balance cannot cover the funding requirements for standing orders, security and other costs essential to running the government, and the total does not include the wages of local government staff.
It is difficult to quarrel with the starkness of these figures. But some who disagree with the decision to rightsize that is its consequence have alleged that most of the state’s personnel costs is devoted to paying political appointees.