May 10, 2024 - The Nigeria Labour Congress (NLC) has articulated a strong rationale for its proposal to set the minimum wage at N615,000, citing the escalating cost of living as the driving factor behind this figure. During a visit to the headquarters of The Nation in Lagos, NLC President Joe Ajaero, along with other union officials, explained the calculations and economic realities that led to this significant wage demand.
According to Ajaero, the proposed wage reflects a conservative estimate of what an average Nigerian family requires to cover basic necessities such as accommodation, food, medical care, and education, without accounting for additional expenses like communication or personal savings. "The figures we arrived at are based on the current economic indices, which if anything, are set to increase due to rising costs in essential services like electricity and the newly imposed cybersecurity levy," stated Ajaero.
The NLC's breakdown included N40,000 monthly for a modest apartment and about N270,000 for feeding a family of six, calculating N500 per person per meal. Additionally, allocations for education and medical expenses were set at N50,000 each per month, with utilities and cooking gas taking up another substantial portion of the budget.
Ajaero highlighted that these costs do not even consider transportation, with the assumption being that a worker could not afford personal vehicle expenses on this budget. The labor leader emphasized, "This proposed wage is a base minimum; it's not meant to provide luxury but merely to cover basic living expenses under current economic conditions."
The NLC President also addressed concerns about state governments' ability to pay the proposed wage. He argued that states could meet these obligations if they prioritized their budgets correctly. "It’s a matter of setting priorities straight. The national assembly’s wages have almost tripled. Why should state workers be left behind?" Ajaero questioned, suggesting that proper fiscal management could allow for higher wages.
The minimum wage proposal comes at a time when many state governments have struggled to meet even the current minimum wage of N30,000, implemented during the administration of former President Muhammadu Buhari. However, Ajaero remains optimistic, noting that if the government fulfills its promises, such as the provision of Compressed Natural Gas (CNG) buses to reduce transportation costs, the economic relief could be substantial.
With another meeting of the Federal Government’s Tripartite Committee on Minimum Wage scheduled for May 15, the NLC hopes its unified stance with labor centers will strengthen its negotiating position. Despite concerns about the suitability of Zoom for serious negotiations, Ajaero is committed to pushing forward the labor agenda.
As the debate continues, the NLC's bold wage proposal underscores the ongoing struggle between maintaining economic stability and ensuring a livable wage for Nigeria's workforce amidst inflating prices and economic uncertainty.
0 Comments