The presidency has declared that the latest minimum wage demand by organised labour of ₦250,000 is unsustainable and will require the government at all levels to devote a substantial part of their resources to meet this demand.
This sentiment has also been echoed by the Association of Local Governments of Nigeria (ALGON) who have even raised concerns over the much smaller proposal by the federal government of ₦62,000 minimum wage, saying it may strain council finances.
The FG’s position was revealed recently by Mr. Bayo Onanuga, special adviser to President Bola Ahmed Tinubu on information and strategy. Mr. Onanuga said that resources intended for the entire population cannot be directed solely to benefit the labour unions who, he says, constitute less than 10 percent of the population.
“That is why we keep telling labour to be realistic because the government cannot use all its resources to pay workers. They have other things to do. The workers we are even talking about are not up to 10 per cent of the population. Many people are self-employed or engaged in the private sector, who are not members of Labour, and are not affected by this demand.
“This is even more reason why labour has to reconsider their decision critically instead of always striving to shut down the system. What the FG did was in consultation with the private sector and others. Only Labour, which appears to be in the minority, kept saying they won’t accept ₦62,000. They are not even employers but employees.
“Let us wait and hear what they are going to say after their return from the ILO conference. But they have to be realistic,” the presidential aide said.
Recall President Tinubu recently announced during his democracy day speech that an executive bill on the new national minimum wage would be sent to the national assembly. Commenting on the revelation, Onanuga said he could not reveal a specific date for when that promise will materialize but hinted it may be soon after the Eid public holiday.
“I am not certain when he plans to do it (Bill). May be after Sallah. But I am not sure whether the FG is meeting with them or whether its position on the minimum wage has changed. Don’t forget the current amount on the table was arrived at by the committee that also has the private sector where the NECA and NACIMMA were also represented.
“That was the figure the FG delegation, sub-nationals, employers, NECA and other sectors agreed on. So, the FG cannot just decide on any other amount of money on its own without carrying these people along. And the government cannot just decide anything without ensuring that the state and local governments are able to pay,” he said.
