The World Institute for Peace (WIP) has called on the Federal Government to release outstanding local government allocations in Osun State directly to the legitimate and legally recognised council leaderships, insisting that the funds should not be channelled through the state governor.
The organisation also urged the Nigeria Labour Congress (NLC), Osun State Council, to adopt an impartial approach to the protracted local government crisis and avoid actions that could further heighten political tension.
WIP stated its position in a press release signed by its Executive Director, Lamina Kamiludeen Omotoyosi, following the NLC’s seven-day ultimatum to the Federal Government over the disputed local government funds.
The labour union had also threatened industrial action against the Federal Government and United Bank for Africa (UBA) over the handling of the allocations.
While acknowledging the financial difficulties facing local government workers, WIP said the need to protect their entitlements must go hand in hand with respect for the rule of law.
The organisation alleged that the Osun NLC had taken a partisan position by demanding the release of the funds to the state governor despite the controversy surrounding the leadership of the councils.
It argued that the dispute should be resolved through applicable court judgments and constitutional provisions rather than political pressure or threats of industrial action.
“The funds belong to the local government councils and must be administered by their legitimate leaderships, not diverted through the state government for political convenience,” WIP stated.
The organisation further urged the Federal Government to consider the 2025 Court of Appeal judgment delivered by the Akure Division in resolving the dispute over the legitimate leadership of the councils.
It maintained that the judgment and other relevant legal provisions should guide decisions on the disbursement of the outstanding allocations.
WIP also faulted the NLC’s threats against UBA, saying the bank should not be intimidated for acting within the framework of applicable directives and regulations.
The group advised the labour union to pursue its grievances through lawful institutional channels, adding that confrontation could complicate efforts to resolve the crisis.
It called on the NLC National Secretariat to caution its Osun chapter against actions that could be perceived as partisan and urged the union to remain committed to protecting workers irrespective of their political affiliations.
WIP commended President Bola Tinubu for his commitment to local government autonomy, particularly efforts to ensure that statutory allocations reach councils directly.
According to the organisation, effective financial autonomy would strengthen grassroots democracy, promote accountability and improve service delivery at the local level.
It, however, urged the President to ensure that the policy was implemented in accordance with the law and without undue political interference.
The organisation also called on the Osun State Government to respect the autonomy of local government councils and allow their legitimate leaderships to discharge their constitutional responsibilities.
WIP said the Federal Government should release all outstanding allocations to the 30 local government areas and the Area Office in Osun State, subject to applicable legal requirements.
It added that the welfare of local government workers, the delivery of essential services and the interests of residents should not be sacrificed because of political disagreements.
The organisation concluded that resolving the crisis required restraint from all stakeholders, respect for judicial decisions and a commitment to ensuring that local government funds were managed by the appropriate authorities.
