The Nigerian Labour Congress and Trade Union Congress are calling for a new minimum wage of N615,000 for workers in the country, according to Sunday PUNCH.
According to a source, an executive of organised labour who wishes to remain anonymous, the new monthly wage of N615,000 was determined through extensive consultations between the NLC and TUC, Punch reports.
According to a source familiar with the matter, a member of a government sub-committee working on the country’s minimum wage, there is a possibility of a wage increase due to the recent hike in electricity tariff.
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During a recent interview with one of the Punch correspondents, a source revealed that the NLC and TUC have submitted their proposed figure of N615,000 to the government regarding the minimum wage. That is the stance taken by the NLC and TUC regarding the issue. The government has also been notified.
In January 30, President Bola Tinubu established a 37-member panel at the Council Chamber of the State House in Abuja, with Vice President Kashim Shettima leading the initiative.
The panel was given the responsibility of suggesting a new national minimum wage, with members from various sectors including federal and state governments, the private sector, and organised labour.
During the panel’s first meeting, Shettima emphasised the importance of reaching a resolution quickly and urged members to submit their reports early. It is crucial to address the issue as the current minimum wage of N30,000 will expire by the end of March 2024.
Leading the panel is Bukar Aji, a former Head of the Civil Service of the Federation. During the inauguration ceremony, he expressed confidence that the panel would propose a minimum wage that is fair, practical, implementable, and sustainable.
The inauguration came after a period of intense pressure from organised labour, who had been frustrated by the government‘s failure to fulfil its promise of inaugurating the new national minimum wage committee during negotiations in October.
Representatives from the government included Nkeiruka Onyejeocha, Minister of State for Labour and Employment; Lydia Jafiya, permanent secretary of the Ministry of Finance and Coordinating Minister of the Economy; Atiku Bagudu, Minister of Budget and Economic Planning; Dr Yemi Esan, Head of the Civil Service of the Federation; and Dr Nnamdi Mbaeri, Permanent Secretary of GSO/OSGF, among others.
The Nigeria Governors Forum is represented by a diverse group of individuals. Mohammed Bago of Niger State represents the North Central region, while Senator Bala Mohammed of Bauchi State represents the North East. Umar Radda of Katsina State represents the North West, and Charles Soludo of Anambra State represents the South East. Senator Ademola Adeleke of Osun State represents the South West, and Otu Bassey of Cross River State represents the South-South.
The Director-General of the Nigeria Employers’ Consultative Association, Adewale-Smatt Oyerinde, along with Chuma Nwankwo, Thompson Akpabio, and members from the Nigeria Association of Chambers of Commerce, Industry, Mines and Agriculture, including Michael Olawale-Cole, Ahmed Rabiu, and Humphrey Ngonadi, are part of the group.
The Nigeria Labour Congress is represented by its president, Joe Ajaero, along with President of the TUC, Festus Osifo, and his deputy, Tommy Etim-Okon, among others.
Ajaero recently declared a new minimum wage of N1m, citing the detrimental impact of rising inflation on his members’ financial well-being.
This sparked numerous debates, as certain experts argued that the wage was unattainable or not viable in the long run.
During an interview with one of our correspondents, a different labour leader mentioned that the NLC and TUC had tentatively set the new wage at N615,000.
When questioned about the status of the May 1 deadline, the labour leader assured, “Rest assured, we are putting in our utmost effort.” The TUC and NLC have come together and shared their stance with the government.
“We are in the process. Be assured that once anything happens, I will, as usual, inform you. That is all I can tell you for now, because we have not met; even though we have submitted our unified positions to the Federal Government. We will be speaking with one voice.
“But, let me also hint you that with the removal of the electricity tariff subsidy, we are going to have another round of serious conversations with the government. Mind you, the tariff increase is also very good for us, because they (the government) did it when the new minimum wage process had not been concluded. So, it is going to be a good ground for us to ask for more.
“Our position will be defended based on the new price of N225 per kWh of electricity. Although we (the government and Labour) are not in agreement, we are waiting to meet and decide on the next point of action.”
The source added, “This is because if you look at the Electricity Act, it canvassed a position that before any increase at all, there must be stakeholders’ engagement. However, the Nigerian Electricity Regulation Commission unilaterally imposed the removal of the electricity tariff on the consumers, without recourse to stakeholders. That is in total defiance to the provisions of the Act.
“These are the issues that will be in the front burner of our next negotiation with the Federal Government.
“The new tariff will also give us another strategy to press the government on the need to move the minimum wage upward. This is because the government has not announced any new minimum wage yet, as we are still negotiating.
“As I said, the NLC and TUC have harmonised positions, which we have sent to the government. It is even now that the negotiation will start properly. All that we have done so far was to try to lay the foundation, and now that we have come up with our positions, the government will also come up with their own. We will then start a fresh negotiation.”
