The Nigeria Labour Congress and Trade Union Congress have withdrawn from the ongoing minimum wage discussions with the government and the Organised Private Sector.
This decision came in response to the government’s proposal of N48,000 as the national minimum wage, which the unions deemed unacceptable.
NLC President, Joe Ajaero, expressed frustration, stating that the government lacks seriousness in the negotiations and doesn’t have the necessary data for meaningful discussions.
Ajaero emphasized that the government has until the end of the month to reach a decision, after which Labour will decide its next steps.
The Trade Union Congress was represented by its Deputy President, Mr. Tommy Okon, at the meeting.
In ajoint statement signed by Ajaero and Okon after the meeting, the labour unions said, “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.
On April 14, organized labor in Nigeria demanded a new minimum wage of N615,000 to address the country’s economic realities and high cost of living. This proposal followed consultations between the Nigeria Labour Congress and the Trade Union Congress, as stated by NLC President Joe Ajaero.
The unions argued that the current minimum wage of N30,000 is insufficient to support the average Nigerian worker’s well-being.
They also expressed concern that not all governors are implementing the current wage, which is set to expire in April, five years after the Minimum Wage Act of 2019 was signed by former President Muhammadu Buhari.
This Act requires a review every five years to align with workers’ contemporary economic needs.
Both the NLC and TUC have urged President Bola Tinubu’s administration to expedite the wage award’s upward review.
In January, the Federal Government established a 37-man Tripartite Committee on National Minimum Wage to recommend a new national minimum wage.
Despite expectations that a new minimum wage would be announced during the Workers Day commemoration on May 1, this did not occur. However, the government assured workers that they would not lose out, as any new minimum wage agreed upon would be implemented from May 1, 2024.
Minister of State for Labour, Nkeiruka Onyejeocha, acknowledged the delay in finalizing the new national minimum wage but assured workers that extensive consultations were ongoing to expedite its release.
