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Home In the News

FG plans performance-based salary scheme for workers

Ademola Damilola by Ademola Damilola
May 14, 2024
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The Federal Government announced on Monday its plans to implement a new wage system in the civil service, based on employee productivity. This innovative system would allow workers at the same level to earn varying salaries, reflecting their individual contributions.

Nasir Raji-Mustapha, the Director-General of the National Productivity Centre, revealed this development during a meeting with Labour correspondents. He emphasized the government’s recognition of productivity as a crucial driver of economic growth, prompting the formulation of this new wage structure.

Raji-Mustapha explained, “We are in the process of developing a productivity-led wage system that will ensure that those who are productive are rewarded for their efforts, irrespective of their grade level. Under the proposed system, employees on the same salary scale can earn different wages.”

Addressing concerns about stakeholder involvement, Raji-Mustapha reassured that organized labor was actively engaged in the process. He highlighted previous consultations with labor unions and their expressed support for the proposed wage system.

The Director-General further disclosed that the first phase of the study was completed, with the next step involving consultations with various stakeholders before presenting the findings to the Federal Government for consideration.

Additionally, Raji-Mustapha noted the Center’s collaboration with international agencies to enhance Nigerian workers’ productivity and skills. Partnerships with organizations such as the International Labour Organisation and the Japanese International Cooperation Agency aim to positively impact the economy.

He also mentioned the National Productivity Summit taking place in Abuja, with Vice President Kashim Shettima set to deliver the keynote address. The Center’s initiatives extend to promoting productivity among youth, including NYSC corps members, through advocacy and training programs.

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