The Federal Government on Wednesday stated it could not meet the demand of the Academic Staff Union of Universities, ASUU, on allowance running into N284bn, especially with the economy in recession.
The Minister of Labour and Employment, Senator Chris Ngige, made this declaration while answering questions from State House correspondents at the end of a meeting of the Federal Executive Council presided over by Vice-President Yemi Osinbajo at the Presidential Villa, Abuja.
According to the minister, there was no way the government could pay the quoted allowance because there was no money.
ASUU had embarked on warning strike over the non-implementation of a 2009 agreement with the Federal Government.
The minister said the government had conceded to the union the right to exclude endowment funds that accrued to universities from the Treasury Single Account.
He added, “The other aspect of it is the earned allowance. The earned allowance is the only one that is not sorted out now because everybody knows and agrees that we are in recession.
“If we are in a recession and you are asking us to pay you N284bn, nobody will pay it because the money is not there.
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