The Federal Government has proposed a new minimum wage of N54,000 following a walkout by the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) during a recent meeting with the Tripartite Committee on Minimum Wage. This increase comes after an initial offer of N48,000 was rejected by the labour unions.
A source present at the ongoing meeting in Abuja confirmed the new proposal. “The Federal Government has now proposed the sum of N54,000,” the source disclosed.
Despite this revised offer, it remains uncertain whether the labour unions will accept it. The NLC and TUC have been demanding a minimum wage of N615,000, arguing that this amount is essential given the current economic conditions and the needs of an average Nigerian family of six.
NLC President Joe Ajaero has criticized the government and the Organised Private Sector (OPS) for the impasse in negotiations. “The unreasonable actions of the Government and the OPS have led to a breakdown in negotiations,” Ajaero stated. He emphasized that the initial N48,000 proposal was insufficient and insulting to Nigerian workers, noting that even the lowest-paid private sector workers receive N78,000.
Adewale-Smatt Oyerinde, the Director-General of the Nigeria Employers Consultative Association (NECA), described the unions’ walkout as unfortunate and urged union leaders to return to negotiations for the benefit of their members and the nation’s development.
Ajaero defended the decision to leave the negotiation table, highlighting the stark disparity between the proposed minimum wage and prevailing standards. He accused the government of failing to provide data to support its offer, undermining the credibility of the negotiation process and eroding trust between the parties.
President Bola Tinubu, through Vice President Kashim Shettima, inaugurated the 37-member Tripartite Committee on Minimum Wage on January 30, 2024. The committee, which includes representatives from federal and state governments, the private sector, and organized labour, is tasked with recommending a new national minimum wage before the current N30,000 wage expires on April 18.
During the committee’s inauguration, Shettima emphasized the need for a swift resolution and timely submission of the committee’s report to ensure the establishment of a new minimum wage. Public hearings were held on March 7 in various locations, where NLC and TUC members proposed different figures as a living wage, reflecting the economic crunch and high living costs.
In the South-West, NLC members demanded N794,000, while the TUC suggested N447,000 as the new minimum wage.
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