• Wednesday, July 24, 2024
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NECA Disagrees With Senate On Payment Of Stipends to Unemployed

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Nigeria Employers’ Consultative Association (NECA) has disagreed with the resolution by the Senate for the Federal Government to commence payment of stipends to unemployed Nigerians till they are able to secure a means of livelihood.

The Director-General of NECA, Timothy Olawale told journalists that “though the resolution of the Senate seemed plausible as the implementation might increase the disposable income of unemployed youths and stimulate consumption, it was, however, not sustainable in the long run.

Giving insight into the fundamentals critical to the success of the programme, the NECA DG argued: “One critical success factor is the availability of accurate data.

It is important to know the number of Nigerians that are actually unemployed to forestall the programme becoming another scheme bedevilled with patronage.

 

Also of importance is the funding and administration of the project. The project was not captured in the already passed 2020 appropriation bill, thus it is worrisome where the funds to bankroll it will come from. It is hoped that the government will not further burden the already overtaxed private businesses.”

Olawale further observed that all the social intervention programmes of the government have so far been “cosmetics and short-term in nature without the potential to solve the real issues of unemployment in Nigeria.”

 

He, therefore, advised government at all levels to take a more than cursory look at the private sector, noting that more deliberate efforts should be put in place to support the organised private sector to grow and create employment by ensuring a favourable operating environment.

“Businesses are currently overburdened with different forms of taxes and levies, inadequate infrastructures and unfriendly regulatory environment. Herein lies the solution to the teething unemployment scourge of our nation,” he contended.