Members of the organised labour, including the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC), on Saturday criticized the 36 state governors for their refusal to implement a N60,000 minimum wage.
The unions described the governors’ stance as an act of wickedness and called for a reconsideration to avert looming dangers.
The Nigeria Governors’ Forum (NGF), through its Director of Media and Public Affairs, Hajiya Halimah Salihu Ahmed, stated on Friday that they could not afford the proposed N60,000 minimum wage.
Reacting to this, Benson Upah, Head of Information and Public Affairs at the NLC headquarters, expressed alarm at the governors’ position, noting the significant increases in the cost of living, including fuel prices and the exchange rate of the dollar against the Naira.
“We are alarmed by the statement credited to the Nigeria Governors Forum that state governments cannot even afford to pay N60,000 as minimum wage as ‘a few states will end up borrowing to pay workers every month’,” Upah said.
“We do believe the governors have acted in bad faith.
It is unheard of for such a statement to be issued to the world in the middle of an ongoing negotiation.
It is certainly in bad taste.”
The labour leaders also refuted the governors’ claims by pointing out that FAAC allocations have significantly increased from “N700 billion to N1.2 trillion,” suggesting that state governments have become wealthier at the expense of the people.
“All that the governors need to do to be able to pay a reasonable national minimum wage (not even the N60,000) is cut the high cost of governance, minimize corruption, and prioritize the welfare of workers,” the unions asserted.
Upah elaborated that a national minimum wage sets a baseline below which no employer is allowed to pay, aiming to protect the most vulnerable workers.
He argued that the proposed increase from N30,000 to N60,000 is necessary given the current economic realities.
“In 2019, when N30,000 became the minimum, N300 exchanged for $1 (effectively making the minimum wage an equivalent of $100 or thereabout) while the inflation rate was 11.40.
At the moment the exchange rate is at N1,600 to $1 while inflation hovers at 33.7% (40% for food).
This puts the value of the minimum wage at $37.5 for a family of six.
This is happening at a time costs of everything rose by more than 400% as a result of the removal of fuel subsidy,” he explained.
Upah warned that government policies, including the removal of fuel subsidies, currency devaluation, energy tariff hikes, and high-interest rates, would continue to harm the economy and the poor unless addressed.
“Paying a miserable national minimum wage portends grave danger to not only the workforce but the national economy as in truth, economies of most states are driven by workers’ wages,” he cautioned.
The labour unions urged the governors to reconsider their position to prevent a national crisis. “We urge the governors to do a re-think and save the country from a certain death,” Upah appealed.
