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Minimum Wage: Labour Abandons Negotiation Over FG’s N48, 000 Proposal

POSTED ON May 16, 2024 •   Politics      BY Benedicta Bassey •   VIEWS 163
National President of the NLC, Joe Ajaero and others/Photo credit: Punchng.com


The Nigeria Labour Congress and Trade Union Congress have dumped negotiation of the new minimum wage following the Federal Government proposal to pay N48, 000, a figure below their proposed demands.

The union had proposed the sum of N615, 000 due to the economic situation in the country and the recent removal of subsidy.

In a press conference, the union described the act of the Federal Government as “an insult to the sensibilities of Nigerian workers’.

However, the National President of the NLC, Joe Ajaero, explained that the amount was arrived at after analysing the current economic situation and the needs of an average Nigerian family of six.

Rationalising the N615,000 demand, the labour leader stated, “Let me give you a breakdown of how we arrived at that figure. We have housing and accommodation of N40,000. We asked for electricity of N20,000 — of course, that was before the current tariff increase. Nobody can spend this amount currently. We have a utility that is about N10,000. We looked at kerosene and gas, that is about N25,000 to N35,000.

“We looked at food for a family of six. That is about N9,000 in a day. For 30 days, that is about N270,000. Look at medical. With the N50,000 provided, there will be no surgery or whatever.

“For clothing, we looked at N20,000. For education, N50,000. I don’t know about those who tried to put their children in private schools, they will not be able to cope with this amount. We also have sanitation of N10,000.

“I think where we have another bulk of the money is transportation. This is because the workers stay on the fringes and because of the cost of petrol, which amounted to N110,000.

“That brought the whole living wage to N615,000, and I want anyone to subject this to further investigation and find out whether there will be any savings when you pay somebody at this rate,’’ the NLC president explained.

But speaking at the press conference in Abuja on Wednesday, hours after the stalemate, Ajaero disclosed that, in contrast to the N48,000 offer made by the Federal Government, the organised private sector proposed an initial offer of N54,000.

He further said, “The Government’s proposal of a paltry N48,000 as the minimum wage not only insults the sensibilities of Nigerian workers but also falls significantly short of meeting our needs and aspirations.”

“In the light of these developments, and to prevent the negotiation of a wage deduction, the Nigeria Labour Congress and Trade Union Congress have decided to walk out of the negotiation process.

“We remain committed to advocating for the rights and interests of Nigerian workers and will continue to engage in reasonable dialogue with the government if they show serious commitment to find a fair and sustainable resolution to this impasse,” he said.

He urged the government to work alongside Labour to finalise the proposed N615,000 minimum wage.

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