On Sunday, June 16, the Nigerian presidency firmly rejected the organized labor’s demand for a N250,000 minimum wage, deeming it unsustainable. President Bola Ahmed Tinubu’s administration emphasized that allocating the nation’s resources to meet such a high wage demand would be impractical.
This stance follows closely on the heels of concerns raised by the Association of Local Governments of Nigeria (ALGON) regarding the federal government’s proposed N62,000 minimum wage. ALGON cautioned that implementing this wage could significantly strain the financial capabilities of local councils.
In contrast, the Nigeria Labour Congress (NLC), led by Joe Ajaero, has been vocal in urging the federal government to meet its demands for a revised minimum wage.
Ajaero criticized President Tinubu’s statements made on Democracy Day, reminding him of his commitment to ensuring a living wage for Nigerian workers.
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Bayo Onanuga, the special adviser to President Tinubu on information and strategy, responded on behalf of the presidency. He reiterated the need for the NLC and the Trade Union Congress (TUC) to adopt a realistic approach.
Onanuga highlighted that the government’s resources are intended to benefit the entire population, not just the labor union members, who represent less than 10 percent of Nigerians.
“That is why we keep telling labour to be realistic because the government cannot use all its resources to pay workers. They have other things to do.”
“The workers we are even talking about are not up to 10 per cent of the population. Many people are self-employed or engaged in the private sector, who are not members of Labour, and are not affected by this demand.”
“This is even more reason why labour has to reconsider their decision critically instead of always striving to shut down the system. What the FG did was in consultation with the private sector and others. Only Labour, which appears to be in the minority, kept saying they won’t accept N62,000. They are not even employers but employees.”
“Let us wait and hear what they are going to say after their return from the ILO conference. But they have to be realistic.”
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The debate over the minimum wage reflects the broader challenges facing Nigeria’s economic policies. The government’s position underscores the difficulty of balancing fair wages for workers with the financial sustainability of public resources.
As this dialogue continues, the emphasis remains on finding a viable solution that considers the economic realities of the entire nation.