Organized Labour has strongly opposed claims by the Nigeria Governors’ Forum (NGF) that they cannot afford a minimum wage of N60,000, warning that such a stance could lead to a significant national crisis.
Representing Labour, the Nigeria Labour Congress (NLC) accused the governors of misrepresenting their financial situation, asserting that the truth is quite the opposite. According to the NLC, the Federal Account Allocation Committee (FAAC) allocations have increased from N700 billion to N1.2 trillion, significantly enriching state governments at the expense of the people.
In a statement titled “Save the Country from a Certain Death,” Benson Upah, NLC’s Head of Information and Public Affairs, urged the governors to reduce the high cost of governance, curb corruption, and prioritize the welfare of workers.
The statement reads: “We are alarmed by the statement from the Nigeria Governors Forum that state governments cannot afford to pay N60,000 as minimum wage, claiming some states would need to borrow to pay workers every month.
“We believe the Governors have acted in bad faith. It is unprecedented for such a statement to be issued during ongoing negotiations. It is certainly in poor taste.
“As for the truthfulness of their claim, nothing could be further from the truth. FAAC allocations have increased from N700 billion to N1.2 trillion, making the governments extremely wealthy at the expense of the people.
“All the governors need to do to afford a reasonable national minimum wage (not even the N60,000) is to reduce the high cost of governance, minimize corruption, and prioritize the welfare of workers.
“It is important to clarify that a national minimum wage is not the same as the different pay structures of various states. The national minimum wage is the lowest floor below which no employer is allowed to pay. The aim is to protect the weak and the poor.
“We are not fixated on figures but on value. Those who argue that raising the national minimum wage from N30,000 to N60,000 is sufficient miss the point. In 2019, when N30,000 became the minimum, the exchange rate was N300 to $1 (making the minimum wage roughly $100) while the inflation rate was 11.40%.
“Currently, the exchange rate is N1,600 to $1, with inflation at 33.7% (40% for food). This reduces the minimum wage to $37.5 for a family of six. This is happening as the cost of everything has risen by more than 400% due to the removal of fuel subsidies, which is extremely bad news for the poor.
“Government policies of fuel subsidy removal, mindless devaluation of the Naira, energy tariff hikes by 250%, and interest rate hikes by 26.5% will continue to hurt the economy, especially the manufacturing sector, and the poor.
“We are already seeing the mass incapacity of Nigerians, leading to overflowing warehouses in the productive sector of the economy. This downward trend will continue unless the capacity of workers and businesses is enhanced.
“Paying a miserable national minimum wage poses a grave danger not only to the workforce but to the national economy, as the economies of most states are driven by workers’ wages.
“In light of this, we urge the governors to reconsider their stance and save the country from a certain death.”
No comments:
Post a Comment