Multiple Taxes Rendering Our Salaries Useless

The Senior Staff Association of Nigerian Universities (SSANU) has criticised the federal government’s current tax regime, declaring that it has rendered their salaries, including the N70,000 minimum wage increase, useless.

The critique emerged during SSANU’s 50th National Executive Council (NEC) meeting held at the Federal University Otuoke, Bayelsa State, where the union also raised concerns over other critical issues affecting their welfare such as salary shortfalls, withheld allowances, sexual harassment and infrastructure decay in the universities.

In a communique signed by the SSANU’s national president, Comrade Mohammed Haruna Ibrahim, NEC members expressed outrage over the “humongous” tax on various goods and services, Pay-As-You-Earn (PAYE) deductions, increased Value Added Tax (VAT) and “unexplainable tariffs.”

The union argued that these levies have negated the recent minimum wage adjustment, leaving members’ incomes depleted amid rising inflation.

SSANU demanded an immediate review of the tax system to prioritise workers’ welfare.

The union also kicked against inconsistencies in the Government Integrated Financial Management Information System (GIFMIS), citing unresolved salary shortfalls and withheld third-party deductions such as cooperative contributions and union dues.

SSANU accused some universities of exploiting the platform to underpay staff and violation of financial regulations.

On unpaid allowances and withheld salaries, NEC condemned the delayed release of N50 billion earmarked for earned allowances in the 2023 supplementary budget, urging its payment and recapture in the 2025 budget.

The communique reads in part: “NEC noted with disappointment and excruciating pain the humongous tax on various goods and services. Some of these taxes are affecting our meagre salaries through the pay-as-you-earn (PAYE) tax, the hike in Value Added Tax (VAT), and numerous unexplainable tariffs.

This has drastically rendered the Seventy (70) Thousand Naira minimum wage increase useless and of no effect.

“NEC-in-Session seriously frowns at the rate at which students and staff are sexually harassed in our tertiary institutions.

“SSANU condemns in totality an alleged case of sexual harassment involving the Vice-Chancellor of Federal University, Oye, Ekiti State, Professor Abayomi Fashina, against a Deputy Director of Works and Services of the same Institution.

SSANU warns that it is closely monitoring the developments and anything short of justice for the sexually harassed members of the union would be unacceptable”.

SSANU also criticised exorbitant electricity tariffs forcing universities to rely on generators and decried Nigeria’s deteriorating security and road networks, urging governments to address kidnappings, banditry and “death trap” highways enabling extortion.

The union further rebuked state governments for failing to implement the revised minimum wage, urging alignment with federal counterparts to ensure equity for state university workers.