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Minimum Wage: States to pay sustainable minimum wage, urges NLC to be reasonable in demand- NGF

Minimum Wage: States to pay sustainable minimum wage, urges NLC to be reasonable in demand- NGF

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States on Thursday said it would only pay sustainable minimum wage.

Workers unions in the country, the NLC and the TUC presented a proposal of N615,000 minimum wage to the wage review committee.

But the Nigeria Governors’ Forum said it is prepared to pay improved wage.

In a communique issued at the end of its virtual meeting and signed by its Chairman and Kwara State Governor, AbdulRahman AbdulRazaq, assured labour of governors’ commitment to pay the workers an improved wage.

In response, the Nigeria Labour Congress and Trade Union Congress warned the state governors against defaulting on the new minimum wage that would be approved during the ongoing negotiations.

In January, President Bola Tinubu constituted a tripartite committee comprising government, labour, and private sector representatives to assess the N30,000 minimum wage implemented during former President Muhammadu Buhari’s tenure.

During the May Day celebrations on Wednesday, the government refrained from announcing a new minimum wage, citing its reluctance to accept labour’s proposal.

However, the NGF, in its statement, said it was assessing each state government’s fiscal capacity and the potential effects of different proposals to determine an enhanced minimum wage that could be sustained by the states.

The communique read in part “The forum celebrates with workers across the country for their dedication to service and patience as we work with the Federal Government, labour, organised private sector and relevant stakeholders in arriving at an implementable national minimum wage.

“While we acknowledge various initiatives adopted of recently by way of wage awards and partial wage adjustments, it is imperative to state that the 37-member tripartite committee inaugurated on the National Minimum Wage, is still in consultation and yet to conclude its work.

“As members of the committee, we are reviewing our individual fiscal space as state governments and the consequential impact of various recommendations, to arrive at an improved minimum wage we can pay sustainably. We remain committed to the process and promise that better wages will be the invariable outcome of ongoing negotiations.”

Speaking on the governors’ pledge, the TUC Vice President, Tommy Etim, argued that the new minimum wage would be binding on the governors.

“Governors increasing wages are taking individual decisions as the new minimum wage hasn’t been drafted. What will be binding on governors is what is agreed upon at the federal level and that is why governors are on the committee,’’ he said.

including the removal of fuel subsidy and the unification of the foreign exchange market have pushed the cost of living to newer levels. Inflation figures hit 33.2 per cent in March, further compounding a troubled economy.

Labour unions and the Federal Government have since been locked in negotiations over measures including a new minimum wage to cushion the impacts of the harsh economy.

The NLC is proposing a N615,000 monthly salary for workers, a jump from the current N30,000. Although many believe it is unrealistic, the labour union believes many states can pay it if they get their priorities right.

Ajaero in the statement said the figure was a product of a painstaking effort through which we captured the cost of living of Nigerian workers and masses in all parts of the country. It was essentially an outcome of an independent researchconducted by the NLC and TUC on the cost of meeting the primary needs of an average family around the country. Our research was based on a family with both parents alive and four children without the burden of having other dependents with them.

“A questionnaire was designed and sent to all the State Councils of NLC and TUC from where these questionnaires were sent to our members in all the Local government areas in the country to gather the monthly cost of living for the average family as described above. Below is a summary of our findings and we hope that this will enable Nigerians understand what propels our demand so that better clarity is made to create better engagement around the ongoing National Minimum Wage Negotiation process,” the labour leader explained.

Ajaero further noted that the union arrived at the figure before the increase in electricity tariff and the recent scarcity of Petrol across the nation leading to the appearance of long queues with attendant increased transport fares.

He said Any figure below this amount becomes a starvation wage and condemns Nigerian workers and their families to perpetual poverty.

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