Minimum Wage: NLC threatens one-month shutdown as lawmakers target fresh decision
By Doris Isreal Ijeoma Ahead of President Bola Ahmed Tinubu’s planned Thursday meeting with leaders of organized labour, the Nigeria Labour Congress (NLC) has threatened a one-month shutdown if the minimum wage is expunged from the Exclusive to Concurrent list in the Constitution by Nigerian lawmakers. NLC President, Joe Ajaero, gave the warning on Monday while addressing participants at the opening ceremony of the 2024 annual Rain School of the NLC in Uyo, Akwa Ibom State. Ajaero issued this warning against National Assembly members’ proposed decision to remove wages from the Exclusive to Concurrent list in the Constitution. He added that if National Assembly members proceed with the move to remove the minimum wage from the Exclusive list—a law that would allow each state governor to determine the minimum wage—he would mobilize labor and shut down Nigeria’s economy for a month. Although the National Assembly’s decision is yet to be made public, Ajaero said, “As we are here, a Joint Committee of the Senate, the House of Representatives, and the Judiciary are meeting. They have decided to remove section 34 from the Exclusive legislative list to the concurrent list so that the state governors can determine what to pay you and so that there will be no minimum wage again. “When they finish that meeting, they will collect minimum wage, I promise all of you that. The very moment the House of Representatives and the Senate come up with such a law that will not benefit Nigerian workers, they will be their drivers and gatemen, and there will be no movement for one month. “Comrades, I am putting you on standby. If that committee comes up with such a policy, for one month nobody should come out. They are the major threat to democracy in this country. Democracy is not all about starving and punishing people. That’s not the democracy we fought for. “They were not there when we fought for this democracy, and now they are trying to make laws to remove the minimum wage from the exclusive list. So, comrades, as I have talked to you here, I have talked to everybody. We are waiting for them to come up with such hypocritical laws. And from today, let them abolish the security vote,” he said. The development comes as the Minister of Information, Mohammed Idris, announced that President Tinubu will meet with organized labor leaders on Thursday to finalize a decision on the country’s minimum wage. This follows last Thursday’s decision on a harmonized minimum wage, which ended in a deadlock. Recall that the government had proposed a 62,000 naira minimum wage, while organized labor insisted on 250,000 naira. The National Minimum Wage Tripartite had earlier submitted the minimum wage proposal to the President. While the minimum wage impasse persists, Nigerians have continued to groan over hardship occasioned by the rising headline and food inflation, which stood at 34.19 percent and 40.87 percent, respectively, in June 2024.
BREAKING: Ondo NLC gets New Chairman
The Ondo State Council of the Nigeria Labour Congress (NLC) has elected Comrade Olapade Ademola as the Chairman of the Congress. Comrade (Prince) Ademola is equally the State Chairman of the Nigeria Civil Service Union (NCSU). Members of the State Executive Council (SEC) of the Congress spreading across 22 affiliate unions took the decision at a special meeting held at the State NLC Secretariat at Alagbaka Akure today Thursday 11th July, 2024. The position of the NLC Chairman became vacant last month following the retirement of the former occupant, Comrade Victor Oladele Amoko. During the meeting presided over by the NLC Vice Chairperson, Comrade (Mrs) Busola Adewumi, the SEC members numbering 41, unanimously empowered Comrade Ademola to henceforth act as the Chairman of the NLC in the state in line with Article 11 of the Congress’ Constitution. The SEC-in-Session also approved Comrade Akin Sunday as the substantive State Secretary of NLC. In an acceptance speech, Comrade Ademola Olapade who appreciated the determination and doggedness of the SEC members in enthroning leadership for the Congress, vowed that he would work for enhanced welfare packages for workers in Ondo State. The NLC Acting Chairman who commended Governor Lucky Aiyedatiwa’s commitment towards improving welfare of the state workers and pensioners since he assumed, described the recent payment of gratuities to primary school teachers and local government workers who retired since 2012 as heart warming. Ademola said “I want to appreciate the SEC members of Ondo state Nigeria Labor Congress for giving me the privilege and power to pilot the leadership of the Congress, I’m very happy about it and it is a big task and i pray that Almighty God should help me to do the needful. “Workers should be expecting something better in terms of improved salary, pension, promotion and training. For that reason, I want to appreciate the state Governor, Hon Lucky Aiyedatiwa in the area of wage award to the tertiary institutions, government should not relent, they should continue the payment and then should please review upwardly that of the workers of Ondo state too because base on the economic factor.” Ademola also called on government to approve labour demand on the new minimum wage for better welfare of Nigerian workers.
Minimum Wage: Tinubu To Meet With Organised Labour
President Bola Tinubu will meet with the Organised Labour in Abuja on Thursday to further discussions on a new minimum wage for workers in Nigeria. A top labour source told Channels Television that the President invited the leadership of the Nigeria Labour Congress (NLC) and Trade Union Congress (TUC) to the meeting expected to be held at the Aso Villa in the nation’s capital city. The President is expected to make a decision on the ₦62,000 proposal of the government and private sector side; as well as the ₦250,000 demand of the Organised Labour. The Thursday meeting is coming about a month after the President said in his Democracy Day speech on June 12, 2024, that an executive bill on the new national minimum wage for workers would soon be sent to the National Assembly for passage. On June 25, the Federal Executive Council (FEC) chaired by the President stepped down from consideration and deliberation on the memo on the new minimum wage to allow for more engagement with stakeholders. Two days after, Tinubu and Vice President Kassim Shettima, at the 141st meeting of the National Economic Council (NEC), met with governors of the 36 states of the Federation and ministers to deliberate on a new minimum wage for workers. Long Walk To New Wage Talks for a new minimum wage for Nigerian workers have been on for a while. The Minimum Wage Act of 2019, which made ₦30,000 the minimum wage, expired in April 2024. The Act should be reviewed every five years to meet with contemporary economic demands of workers. President Bola Tinubu in January set up a Tripartite Committee to negotiate a new minimum wage for workers. The committee comprises the Organised Labour, representatives of federal and state governments as well as the Organised Private Sector. However, the committee members failed to reach an agreement on a new realistic minimum wage for workers, forcing labour to declare an indefinite industrial action on Monday, June 3, 2024. Businesses were paralysed as labour shut down airports, hospitals, the national grid, banks, National Assembly, and state assemblies’ complexes. The labour unions said the current minimum wage of ₦30,000 can no longer cater to the well-being of an average Nigerian worker, saying the government should offer workers something economically realistic in tandem with current inflationary pressures, attendant effects of the twin policies of petrol subsidy removal and unification of the forex windows of the current administration. Labour “relaxed” its strike on June 4, 2024 following assurances from the President that he was committed to a wage above ₦60,000. Both the Trade Union Congress (TUC) and Nigeria Labour Congress (NLC) leadership subsequently resumed talks with the representatives of the Federal Government, states, and the Organised Private Sector. On Friday, June 7, 2024, the two sides (labour and the government) still failed to reach an agreement. While labour dropped again its demand from ₦494,000 to ₦250,000, the government added ₦2,000 to its initial ₦60,000 and offered workers ₦62,000. Both sides submitted their reports to the President who is expected to make a decision and send an executive bill to the National Assembly to pass a new minimum wage bill to be signed into law by the President.
Minimum Wage struggle not dead – TUC President, Osifo
President of the Trade Union Congress, Festus Osifo has written off criticisms that the struggle for a new national minimum wage may have waned. While reacting to the insinuations, Osifo said the Federal Government is still having conversations with all relevant stakeholders cutting across the Nigerian Governors Forum, Local Government Administrators as well as the Organised Private Sector and Labour Unions. Osifo noted that both Unions still insist on the N250,000 demand it made to the government which was part of the recommendations submitted to the President by the Presidential Tripartite Committee on New National Minimum Wage. He made reference to the existing minimum wage of N30,000 which took two years to be negotiated, assuring that the Tripartite Committee has made appreciable progress since January 2024 when negotiations started. His words, “minimum wage negotiations cannot be dead, you know when we started this conversation you asked us that in 2017 if you remember we started the minimum wage that was signed in 2019, it took about two years to see the light of day. We promised you when we started in January that we will ensure this one is fast-tracked for us not to be in the conundrum that we were as at 2019 which took two years. “So where we are today, we submitted the divergent position in June, when we did that you know clearly that Mr President came out to say that he wanted to consult across board which is the governors, local government chairmen, organised private sector and labour, so we are doing some level of reach out and conversations. “So that what will be submitted to the National Assembly will actually be a minimum wage that will cater for the poorest of the poor, so for the fact that in the media we are not shouting, we are doing some level of internal work so that this bill will be submitted in earnest soon. Of course, we still insist on the N250,000 benchmark as the ideal minimum wage”.
Labour insists N250,000 as minimum wage
The Nigeria Labour Congress (NLC) has unequivocally maintained its stance on the proposed ₦250,000 minimum wage, resisting the Federal Government’s offer of ₦62,000. The declaration was made by NLC President, Joe Ajaero, at an award ceremony in Kano, highlighting the union’s commitment to advocating for the interests of Nigerian workers. Despite several meetings aimed at resolving the wage dispute, no agreement has been reached, with both the government and the NLC holding their grounds. The impasse continues even after the expiration of the existing minimum wage in April 2024, which has heightened tensions between the parties involved. During his speech, delivered by NLC General Secretary Emmanuel Ugboaja, Ajaero voiced concerns over the current economic challenges and escalating inflation rates, which he argued have severely impacted the living standards of workers. “The economic reality and worsening inflation could no longer sustain Nigerian workers,” Ajaero stated, emphasizing the urgent need for a wage that ensures a dignified life for all labourers.
Organised Labour Told To Begin Nationwide Strike Immediately Over Minimum Wage Delay
The Campaign for Democratic and Workers’ Rights, CDWR, has called on Ogranised Labour to immediately mobilize and declare a nationwide strike over the minimum wage and the recent hike in electricity tariff. According to CDWR, Nigeria Labour Congress, NLC, and Trade Union Congress of Nigeria, TUC, as the next step in the minimum wage struggle, should declare and mobilise widely for a 48-hour general strike and mass protest to demand a minimum wage not less than N200, 000 and the reversal of all anti-poor policies (privatization, deregulation, subsidy removal, electricity tariff hike etc). In a statement by its National Publicity Secretary, Chinedu Bosah, CDWR said “The NLC and TUC have been at loggerheads with the government and private sector over a new minimum wage and negotiation has been deadlocked for over 3 weeks and still counting. Government and Private Sector insistence on paying N60, 000 provoked the declaration of an indefinite strike which started on June 3rd 2024 but was suspended on the 4th of June, 2024. “The suspension was to last for five days but it does not appear that the labour leadership put in place any plan of action should the government as usual failed to meet their demands as many principal leaders proceeded on the trip to the meetings of the International Labour Organisation (ILO) in Switzerland. This is the second time the labour leadership has suspended action this year and gone to sleep. The first one was a 2-week ultimatum that was declared following the suspension of a nationwide mass protest on February 28, 2024, and lapsed on March 13, 2024. “The strike organised on June 3, 2024, was the most effective and widely supported compared to previous strikes since 2016 even though it was not adequately mobilized. The capitalist ruling elite came under pressure as major sectors of the economy were shut down including sea, airport and electricity. Rather than build on the momentum, labour leaders have again gone to sleep. Unfortunately, this inaction gave the capitalist ruling elite more time to maneuver and recover. “The labour leaders could make the case that they were engaged in important meetings at the International Labour Organisation, in that case, they could have sent one or two people to Europe instead of a delegation of around 116 so-called ‘workers representatives’. Then the other ‘workers’ representatives’ could have travelled around Nigeria campaigning rather than sitting in Switzerland. Instead, when millions upon millions of Nigerians suffer a massive drop in living standards, the “Generals” left the battlefield for too long and did nothing serious to mobilise support for what was likely to be a major struggle. “Wage is a very crucial integral aspect of the unfair/exploitative/profiteering capitalist system, the self-serving capitalist ruling elite, government and private sector employers will continually do everything to condemn Nigerian workers to poverty wage to secure huge profit and profligate lifestyle for themselves. Weak Nigerian capitalism can only function based on low wages; hence, the government and the organised private sector resist a genuine living wage for workers. Even the N30, 000 minimum wage, which ought to have been outdated, has not been implemented by some states. For instance, Zamfara State government just announced implementation of N30,000 minimum wage structure this month (June 2024) more than five years after it had become law. In line with class struggle, the challenge for the trade union movement is to force the capitalist ruling elite to grant living wage to Nigerians workers and also resist all anti-people policies. High inflation “This is urgent. Inflation rate is 33.95 percent, the rising cost of living is notoriously high as prices change rapidly, and food generally has become unaffordable forcing many people to go hungry. A basket of tomatoes is over N60, 000, a bag of beans is over N180, 000, a big tuber of yam is over N1
Minimum wage: Why Govs can’t take over negotiations, Labour
Organised Labour, including the Nigeria Labour Congress and the Trade Union Congress, has rejected the proposal of the Southern Governors’ Forum to decentralise minimum wage negotiations to state governments. The NLC condemned the proposal as “unfriendly and anti-worker”, noting that allowing states to determine their minimum wages would be detrimental to workers’ welfare. On Friday, The PUNCH had reported that the Southern Governors’ Forum sought for states to be allowed to negotiate the minimum wage for workers independently. At the end of a meeting held on Monday at the Ogun State Presidential Lodge in Abeokuta, the forum resolved that wages should be reflective of the cost of living. This was revealed in a communique issued from the meeting and signed by the newly-appointed Chairman of the forum, Governor Dapo Abiodun of Ogun State; and Vice-Chairman, Prof Charles Soludo of Anambra State. The meeting was attended by Governors Seyi Makinde of Oyo State; Babajide Sanwo-Olu of Lagos; Godwin Obaseki of Edo; Hope Uzodinma of Imo; Abiodun Oyebanji of Ekiti; Duoye Diri of Bayelsa; Ademola Adeleke of Osun; Umo Eno of Akwa Ibom; Siminalayi Fubara of Rivers; and Bassey Otu of Cross River. Other attendees included Governors Francis Nwifuru of Ebonyi State; Lucky Aiyedatiwa of Ondo; Peter Mbah of Enugu; Sheriff Oborevwori of Delta State; and Alex Otti of Abia State. “The forum discussed the minimum wage demanded by Labour and unanimously agreed that the minimum wage should be reflective of the cost of living, and that each state should be allowed to negotiate its minimum wage,” the communique stated. Meanwhile, the Presidency had on Monday appealed to Nigerians not to put unnecessary pressure on the President, assuring them that the Federal Government would transmit the proposed bill on the new minimum wage to the National Assembly once it was ready. The Special Adviser to the President on Information and Strategy, Bayo Onanuga, made the plea in a terse statement sent to The PUNCH on Thursday. “People should be patient,” he stated. While Organised Labour is adamant about its N250,000 minimum wage demand, the state governors said that paying even the N62,000 proposed by the Federal Government would plunge many states into debt. This was even as President Bola Tinubu demanded more time for consultation on Wednesday. Reacting to the proposal of the governors, the National Treasurer of the NLC, Akeem Ambali, in an interview with Saturday PUNCH, insisted that the governors had no power to negotiate the new minimum wage. He added that the governors were compelled by law to implement the new national minimum wage. Ambali advised the governors to stop trying to strong-arm the Federal Government and labour with their request to negotiate with labour individually, and rather focus on how they would implement the national minimum wage when it is approved. Ambali noted that it was regrettable that labour had to always resort to strike actions to get the government to yield to its demands. He asked the governors make public how much they earn, and subject it to negotiations. He said, “Traditionally, the minimum wage is a national issue; it is not a sub-national negotiation. That is the essence of the Minimum Wage Act, and the law is clear. Governors don’t have the power to negotiate the minimum wage. What they can only negotiate are other allowances, but the minimum wage is a social protection content, and it is not only applicable to Nigeria. “My advice for the governors is that they should prepare their balance sheet and look at how to implement the national minimum wage once it is approved. They should not stress themselves with the issue of negotiating with Labour on a state level. After all, we have seen what happened in Zamfara, where they refused to pay the current minimum wage (N30,000) until Labour issued an ultimatum, and they quickly started paying. Some states are still not paying the current minimum wage. We know what happened i
Each State Should Be Allowed To Negotiate Their Minimum Wage – Southern Governors (Full Text)
Governors of the states in the southern region of the country have demanded that each state should be allowed to negotiate its minimum wage with organized labour and other stakeholders. This position was made known in a 16-point communique issued by Governors at the end of their meeting held on Monday in Abeokuta, the Ogun State capital, under the auspices of the Southern Governors’ Forum (SGF). According to them, the new minimum wage should be reflective of the cost of living and the ability to pay for each state, adding that such a move would be a true reflection of federalism. The communique also called for the establishment of state police and stressed the resolve of the governors to adopt Compressed Natural Gas (CNG). The Governors commended President Bola Tinubu for the coastal road project and called for the repair of Trunk A roads and the transfer of roads to state governors who have indicated interest in repairing them. The members of the forum further commended the President on the food palliative support to States, and the Governors were also commended for complementing the President in their various States through numerous initiatives ranging from food palliatives to transport allowances. The Forum concluded that quarterly meetings will be held and rotated among member states Below is the full text of the communique issued after the meeting of the Governors. “At the conclusion of the Southern Governors Forum meeting held on Monday, June 24, 2024, and having paid respects to our immediate past Chairman, HE, the late Governor Oluwarotimi Akeredolu; with condolences extended to his family, and appreciating the past Chairman for the solid foundation he laid by putting the forum in good stead; we the Governors resolved as follows: 1. Thanked and appreciated all member Governors for their support and commitment to the “Asaba declaration” of 2021, which was a resolve to ensure that Southern Nigeria produced the 2023 Presidential Candidate; we also thanked the Northern Governors’ Forum for their unwavering support for the resolution. 2. The Forum commended the laudable economic recovery reforms and policies of HE President Bola Ahmed Tinubu GCFR and the implementation of the Renewed Hope Agenda; and unanimously committed to supporting him in his unwavering resolve to reposition the country and build a greater future for us all. 3. The Southern Governors applauded the President for conceptualizing and commencing the construction of the Lagos-Calabar Coastal Road, which cuts across eight (8) states. We noted that this will create employment in the construction industry, boost productivity by drastically reducing travel time, promote tourism, and open up and integrate all the Southern States to increased trade and investment opportunities whilst enhancing the ease of doing business. 4. The Southern Governors advocated that the Federal Government should rehabilitate, repair and reconstruct Trunk A roads and transfer roads to States that have expressed interest in taking them over. 5. The Forum will commission a regional multimodal transport master plan that will prioritise connectivity of rail, road, air and water transportation, to facilitate interstate, intra-regional movement of persons, goods and services and thereby enhancing the ease of doing business . 6. Being the economic and industrial region of the country, the Forum highlighted the need to address the inadequate power supply in the region. Member states were encouraged to take advantage of the recent constitutional amendment that now allows States to regulate, generate, transmit and distribute electricity whilst also considering optional sources like renewables. 7. The Forum resolved further to aggressively embark on energy transition plan from fossil fuels (petrol and diesel) to cleaner energy and specifically CNG (Compressed Natural Gas) and ultimately EV’s (Electric Vehicles) to help reduce the cost of transportation, which will lowe
Raising Minimum Wage Above N62,000 Will Lead to Job Losses, NECA Warns
The Nigeria Employers Consultative Association (NECA) has warned that approving a minimum wage above N62,000 could result in significant job losses. NECA’s Director-General, Adewale-Smatt Oyerinde, voiced this concern during a press briefing on Tuesday in Abuja. His comments came during the third edition of the Nigeria Employers Summit, which focused on “Economic Renaissance: Harnessing Government Reforms and Private Sector Agility.” Oyerinde emphasized that the organized private sector cannot afford a minimum wage higher than N62,000, a figure agreed upon during tripartite committee negotiation meetings. He cautioned that exceeding this amount could lead to non-compliance and subsequent legal battles. “Setting a national minimum wage that businesses cannot sustain will inevitably result in litigation and crises,” Oyerinde stated. In response to allegations of delays in the wage review process, Oyerinde clarified that there have been no unnecessary delays and that the process is actively progressing. “There is no waiting game, and I think we must put all this into context. It is misinformation,” he said. He explained that after the tripartite committee submits its recommendations to the president, a bill will be forwarded to the National Assembly for legislation. He also mentioned that labor groups can advocate for an expedited process.
FEC Steps Down Minimum Wage Memo For Consultation
The federal Executive Council (FEC) has stepped down the memo on the new minimum wage. Minister of Information and National Orientation, Mohammed Idris, told State House Correspondents that 39 items were on the agenda and all were taken. On the Minimum wage, he said there was a report by the Tripartite committee which comprises of local government, States , NLC/ TUC and the federal government. He said the Tripartite Committee submitted its report and there was a memo to that effect. He, however, said Council could not take a decision on it because it involves Local Government, states, FG, Organized Private Sector and Labour unions. He therefore said the memo on the new minimum wage was stepped down so that President Bola Tinubu could consult widely before a final submission is made to the National Assembly.