In an effort to find a long-term solution, the Nigeria Governors’ Forum (NGF) has called for the government and organized labor to agree on a sustainable minimum wage during their ongoing negotiations.
The NGF, in a virtual meeting chaired by AbdulRahman AbdulRazaq, the Governor of Kwara State, assured workers of their commitment to improving wages.
Responding to the NGF’s statement, the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) cautioned state governors against failing to comply with the newly approved minimum wage resulting from the negotiations. The NLC and TUC had previously presented a proposal of N615,000 as the minimum wage to the tripartite committee established by President Bola Tinubu in January.
During the recent May Day celebrations, the government refrained from announcing a new minimum wage, citing reservations about accepting the proposal put forward by labor. However, the NGF stated that they are assessing the fiscal capabilities of each state government and the potential impact of various recommendations to determine an enhanced minimum wage that can be sustained by the states.
The NGF emphasized its commitment to the negotiation process and expressed confidence that improved wages will be the outcome. Tommy Etim, Vice President of the TUC, clarified that any wage increase made by governors would be based on the final agreement reached at the federal level.
As the minimum wage committee and the Federal Government have yet to schedule a meeting, there is no fixed date for their next discussion. Meanwhile, various state officials, including Governor Ahmadu Fintiri and the NLC Chairman in Kwara State, Muritala Olayinka, have expressed differing views on implementing the new minimum wage.
The issue of a new minimum wage has gained importance due to recent economic reforms, such as the removal of fuel subsidies and the unification of the foreign exchange market, which have significantly raised the cost of living. Inflation reached 33.2% in March, exacerbating the challenges faced by the country’s economy.
The NLC’s proposal of a N615,000 monthly salary is based on an independent research effort conducted by the NLC and TUC, which took into account the cost of living for an average family across the country. The NLC argues that the figure is necessary to provide a decent standard of living for workers and their families.
It remains to be seen how the ongoing negotiations will unfold, but the NGF’s push for a sustainable minimum wage reflects the recognition of the challenges faced by workers and the importance of finding a fair and viable solution.