The labour unions comprising the Nigeria Labour Congress and Trade Union Congress have walked out of the ongoing minimum wage negotiations with the government and the Organised Private Sector.
Angered by the N48,000 proposal by the Federal Government as the national minimum wage, the labour unions described the offer as ridiculous.
The NLC President, Joe Ajaero, explained that the government is not serious about negotiating with the Labour on the new minimum wage.
He explained that the FG does not have the necessary data to negotiate with Labour.
Ajaero maintained that Government have till the end of the month to arrive at a decision, adding that Labour will take a decision at the expiration of the ultimatum.
The Trade Union Congress was represented at the meeting by the Deputy President, Mr. Tommy Okon.
A joint statement signed by Ajaero and Okon after the meeting read in part, “The Government’s proposal of a paltry N48,000 (forty-eight thousand Naira} as the Minimum Wage does not only insult the sensibilities of Nigerian workers but also falls significantly short of meeting our needs and aspirations.
“In contrast the Organised Private Sector (OPS) proposed an initial offer of N54,000 (fifty-four thousand Naira) though it is worth noting that even the least paid workers in the private sector receives N78,000 (seventy-eight thousand Naira per month) as clearly stated by the OPS, highlighting the stark disparity between the proposed and prevailing standards further demonstrating the minimum wage unwillingness of Employers and Government to faithfully negotiate a fair National Minimum Wage for Workers in Nigeria.
“Furthermore, the Government’s failure to provide any substantiated data to support their offer exacerbates the situation. This lack of transparency and good faith undermines the credibility of the negotiation process and erodes trust between the parties involved.
“As representatives of Nigerian workers, we cannot in good conscience accept a wage proposal that would result in a reduction in income for federal-level workers who are already receiving N30,000 (thirty thousand Naira) as mandated by law, augmented by Buhari’s 40% Peculiar allowance (N12,000) and the N35,000 (thirty-five thousand Naira) wage award, totaling N77,000 (seventyseven thousand Naira) only.
“Such a regressive step would undermine the economic well-being of workers and their families and is unacceptable in a National Minimum Wage Fixing process.
The NLC and TUC had proposed that the Federal government should pay Nigerian workers N615,000 minimum wage, citing high cost of living as the yardstick for the proposal.
N615,000 Wage Proposal
On April 14, the organised Labour demanded N615,000 as the new minimum wage for workers to cope with the many economic realities and high cost of living in Nigeria.
The new wage of N615,000 monthly was reached after consultations between the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC), according to the NLC President, Joe Ajaero.
The labour unions said the current minimum wage of N30,000 can no longer cater for the wellbeing of an average Nigerian worker, lamenting that not all governors are paying the current wage award which will expire by April, five years after the Minimum Wage Act of 2019 was signed by former President Muhammadu Buhari. The Act is to be reviewed every five years to meet up with contemporary economic demands of workers.
NLC and the TUC have at various times called on the administration of President Bola Tinubu to hasten the upward review of wage awards.
Earlier in January, the Federal Government inaugurated a 37-man Tripartite Committee on National Minimum Wage with a mandate to recommend a new National Minimum Wage for the country.
New minimum wage to take effect from May 1
There was a huge expectation among the workers that a new minimum wage would be announced during the Workers Day commemoration on May 1, but that was not to be.
However, the government assured the workers that they will not lose anything, as the new minimum wage whenever it is agreed, will take effect from May 1, 2024.
The Minister of State Labour, Nkeiruka Onyejeocha, gave the assurance while addressing Nigerian workers at the May Day celebration in Abuja.
She said it is regrettable that the new national minimum wage was not ready before May 1, but that a wide consultation is ongoing to ensure that the document is out together as soon as possible.
