Polytechnic Workers Kick Against 50% Automatic Deduction from Agencies’ IGR

The Senior Staff Association of Nigerian Polytechnics (SSANIP) on Friday said the federal government policy on the 50% automatic deduction from Agencies’ and Government Enterprise Internally Generated Revenue may have adverse effects on the running of institutions of higher learnings, calling on government to exclude the schools.

The Association said the inclusion of Tertiary Institutions negate the promise made by the government earlier last year that it will not involve higher institutions in the policy.

According to SSANIP in a statement signed by its national President Comrade Adebanjo Philip Ogunsipe said the plea becomes necessary in order to save the education sector from its present predicament.

According to SSANIP, the government need to rescind its stand on the policy as the move may be detrimental to the already beleaguered education sector.

The “Association issues the statement to express its strong disapproval of the recent circular regarding the 30% automatic deduction from Internally Generated Revenue (IGR) of Federal Government Owned Enterprise (FGOE), as directed by the Honourable Minister of Finance.

“While we acknowledged and support the government’s initiatives to enhance internally generated revenues through appropriate policies, we find it necessary to voice our concerns regarding the inclusion of Tertiary institutions, (polytechnics, universities and colleges of education) in this directive.

“We firmly believe that such inclusion would inadvertently undermine the well-intentioned goals of the Government.

SSANIP said “it is crucial to emphasize that the revenues generated by these educational institutions primarily consist of service charges meant to supplement essential services provided to students, including hostel facilities, libraries, health services, sporting activities etc.

“However, these charges are insufficient to cover the costs of these services, leading to persistent pleas from various stakeholders for increased funding over the years.

“Upon seeing the letter from the Permanent Secretary of the Federal Ministry of Education, Mr. Andrew David Adejo (OON), dated November 8, 2023, addressed to the Accountant General of the Federation, and the public statement made by the Honourable Minister for Education during the 75th University of Ibadan Founder’s Day Celebration in November 2023, affirming the exclusion of Tertiary Institutions from the policy,

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“We hold the firm belief that the
Federal Ministry of Finance, which includes Tertiary Institutions, may have been an
oversight.

“We hereby urge the government, in the interest of the public, to reconsider her decision and revert to the well-thought-out position that initially excluded Tertiary Institutions from the 50% Automated Deduction Policy.

The Association said that “any deviation from this stance would be detrimental to the already beleaguered education sector”