The minimum wage tug-of-war doesn’t seem to be ending soon as the Presidency, had on Sunday, July 16 insisted that the Labour’s demand for a N250,000 minimum wage was unsustainable, as the Federal Government would not be able to channel all its resources to meet that demand.
This development is coming two days after the Association of Local Governments of Nigeria (ALGON) voiced their concerns over the N62,000 the FG was proposing.
According to ALGON if the N250,00 wage got approved, it might possibly hamper the councils’ financial burden.
Discussions between the Federal Government and Organised Labour had fallen apart on May 28, after both sides failed to see the opposition’s preposition.
The labour unions had tagged FG’s proposal as an insult to the intelligence of the average Nigerian worker.
However, the Special Adviser to President Tinubu on Information and Strategy, Bayo Onanuga, had during an interview disclosed that unless the Nigeria Labour Congress and the Trade Union Congress were after their own personal pockets, they should do well to consider that the resources meant for the entire Nigerians could not be channeled to benefit only their members who were not more than 10% of the entire population.
It is noteworthy to mention that Tinubu had during his Democracy Day speech, said that an executive bill on the new national minimum wage for workers would be sent to the National Assembly, and according to Onanuga, this would be done after the Sallah break.
What They’re Saying
The Special Adviser on Information and strategy had said:
“I am not certain when he plans to do it (Bill). May be after Sallah. But I am not sure whether the FG is meeting with them or whether its position on the minimum wage has changed. Don’t forget the current amount on the table was arrived at by the committee that also has the private sector where the NECA and NACIMMA were also represented.“That was the figure the FG delegation, sub-nationals, employers, NECA and other sectors agreed on. So, the FG cannot just decide on any other amount of money on its own without carrying these people along. And the government cannot just decide anything without ensuring that the state and local governments are able to pay.”
Why It Matters
The minimum wage debate in Nigeria continues to be a contentious issue and doesn’t look like it will be resolved quickly, especially since the Federal Government has proposed and insisted on N62,000 to be the new national minimum wage while, organized labor unions are insisting on N250,000.
While the government is arguing that it cannot allocate all its resources to pay workers, labor unions have maintain that the proposed amount is insufficient for the average Nigerian worker, thus there is a stalemate in this situation.
The situation remains unresolved, and both sides need to find a realistic solution that considers the welfare of workers while also ensuring economic sustainability.