The Maye Balogun Babalaje of Ibadan land Chief Ayo Folorunso has stated that the payment of the sum of seventy thousand naira (#70,000) as minimum wage by Edo state government to its workers as unsustainable.
Chief Folorunso popularly called Ayo Onike said that the amount is good but can not be sustained by the government of Edo state led by Governor Godwin Obaseki.
He explained that this is not sustainable because of the bad state of the economy pointing out that many state in the country have been unable to pay the present minimum wage due to their poor financial situation.
The Maye Balogun Babalaje observed that only a few states such as Lagos, Ogun, Kano and Rivers and Edo can meet the financial wage bill adding that many states in the country are unable to generate enough to even meet their own needs.
He explained that Oyo state can not pay this new wage because despite having an increase in its internally generated revenue to five million naira ,the state has been unable to meet all its financial demands.
“There are over five hundred thousand pensioners who are owed backlog of pension by Oyo state government even though the government is trying very well to meet the basic needs of the populace besides paying its worker regularly “ he revealed.
Chief Folorunso said further that many states have been unable to pay the sum of thirty thousand naira minimum wage that is the accepted in the country because of financial constraints.
He posited that the payment of the sum of seventy thousand naira as minimum wage will be difficult if not impossible by many states because they are not buoyant and solvent while the amount seems bogus.
