FG, Labour to Meet Again on Tuesday to Discuss ₦48,000 Wage Proposal

The Federal Government will resume negotiations on Tuesday with organized labour and other stakeholders regarding the proposed new national minimum wage of ₦48,000.

There are indications that the government might revise this proposal upwards.

Alhaji Bukar Goni, Chairman of the Tripartite Committee on National Minimum Wage, confirmed this in a letter dated May 16, 2024, inviting labour leaders to resume talks. This invitation came 24 hours after leaders of the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) walked out of the negotiation committee in protest of the Federal Government’s ₦48,000 offer.

The organized private sector proposed an initial offer of ₦54,000. After the walkout, labour leaders held a press conference, expressing their dissatisfaction with the government’s offer.

NLC National President Joe Ajaero insisted on a minimum wage of ₦615,000, citing an analysis of the current economic situation and the needs of an average Nigerian family of six. He blamed both the government and the organized private sector for the breakdown in negotiations. “Despite earnest efforts to reach an equitable agreement, the less-than-reasonable actions of the Government and the Organised Private Sector have led to a breakdown in negotiations,” Ajaero stated.

Adewale-Smatt Oyerinde, Director-General of the Nigeria Employers Consultative Association (NECA), criticized the unions’ walkout, urging them to return to the negotiation table.

‘N48,000 Not Enough’

Ajaero justified the decision to abandon the negotiations, arguing that the ₦48,000 proposal insulted Nigerian workers and fell significantly short of meeting their needs. He highlighted that even the least paid workers in the private sector receive ₦78,000, demonstrating a 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. “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 already receiving ₦30,000, augmented by Buhari’s 40 percent peculiar allowance (₦12,000) and the ₦35,000 wage award, totalling ₦77,000.”

Ajaero called on the government to reconsider its position and approach negotiations with transparency and good faith, reflecting the true value of Nigerian workers’ contributions.

Committee Invites Labour

In his letter, Goni urged labour leaders to return to the negotiation table to analyze the tripartite position and make necessary concessions. “We need to sit back on the negotiation table to analyze the tripartite position and shift grounds to conclude the assignment before you travel to the ILO Conference in Geneva.”

He added that discussions with government representatives indicated a willingness to make further concessions. “I have had discussions with our members, and there is a willingness to shift ground as soon as we start the negotiations. Kindly consider this appeal and talk to your other members too. We look forward to reconvening on Tuesday, May 21, 2024, to continue negotiations,” Goni added.

President Tinubu, through Vice President Kashim Shettima, inaugurated the 37-member Tripartite Committee on Minimum Wage on January 30, 2024, to propose a new minimum wage before the current ₦30,000 wage expires on April 18. The panel, comprising members from federal and state governments, the private sector, and organized labour, is tasked with recommending a new national minimum wage.

During the panel’s inauguration, Shettima urged members to promptly arrive at a resolution and submit their reports early to ensure the emergence of a new minimum wage. The panel held zonal public hearings on March 7 in Lagos, Kano, Enugu, Akwa Ibom, Adamawa, and Abuja. The NLC and TUC proposed various figures as a living wage, considering the economic crunch and high living costs.

In the South-West, the NLC demanded ₦794,000, while the TUC suggested ₦447,000. In the North-Central zone, workers demanded ₦709,000, while their South-South counterparts called for ₦850,000. The North-West proposed ₦485,000, and the South-East stakeholders demanded ₦540,000. Ultimately, organized labour settled for a ₦615,000 living wage.

This article is sourced from The Punch newspaper, with minor edits and adaptations by The Spectacles for clarity and readability.