This has arisen because the states have mortgaged their Federation Account Allocations to contractors by signing irrevocable payment orders with various banks. In effect, payment to contractors are deducted at source and have become first lien charge.
Most states' internally generated revenue are not enough to meet their obligations and as such workers are owed several months salaries.
Nigeria Labour Congress states that the following states are owing salaries, Abia, Akwa Ibom, Bauchi, Benue, Cross River, Ekiti, Imo, Kano, Katsina, Kogi, Ogun, Ondo, Osun, Oyo, Plateau, Rivers and Zamfara.
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