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FG To Reduce Workforce, Gives Reason

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FG To Reduce Workforce, Gives Reason

Minister of Finance, Budget and National Planning, Mrs Zainab Ahmed, has announced plans to downsizing its workforce, saying it’s aimed at cutting the cost of the government’s recurrent expenditure yearly.

Ahmed disclosed that the Federal Government is working on an exit package for workers that would be affected.

The Minister said this while taking questions at the Public Presentation and Breakdown of Highlights of the 2022 Appropriation Act on Wednesday in Abuja.

Ahmed stated that the retrenchment of workers was a necessary step in stemming the huge amount spent on recurrent expenditure annually by the Federal Government.

In a statement, the minister said the government has set up a committee to review the collapse of agencies, using Stephen Oronsaye report on public sector reforms.

The sacking of federal workers would emanate from the merger and dissolution of agencies and parastatals under different ministries, based on Oronsanye Report.

According to Ahmed, the committee would be led by the Secretary to the Government of the Federation (SGF), Boss Mustapha.

She said;

There is a special committee led by the Secretary to the Government of the Federation (SGF) that is working on the review of agencies with the view to collapsing them partly using the Oransanye report.

At the end of it what we want to do is to reduce the size of government and also to reduce the size of personnel cost and part of it will be designing the exit packages that are realistic.

She further explained that the planned collapse of agencies is because “we are revenue-challenged”.

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This development comes after the Federal Government announced the removal of fuel subsidies in 2022 as a way for it to put more funds into developing the economy.

 

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