Labour: N200,000 Minimum Wage No Longer Viable
“The Nigerian Labour Congress deems its previously proposed N200,000 minimum wage unrealistic amidst the current economic climate, according to its National Vice President, Tommy Etim, in response to the inauguration of the Minimum Wage Committee by Vice President Kashim Shettima.”
In an exclusive interview with The PUNCH on Tuesday, Etim emphasized that the congress would anchor its national minimum wage negotiation on the prevailing economic conditions rather than its previous proposal. He stated, “When we proposed the N200,000 wage, the socio-economic challenges were less severe compared to the current situation. The exchange rate and devaluation of the naira were not as significant as they are now. Therefore, N200,000 is no longer feasible.”
When asked if there was a specific minimum figure the congress would propose to the committee, Etim stated, “We won’t present a fixed amount, but certainly not N200,000. We’ll decide based on the socio-economic conditions at the time. That’s what will guide our national minimum wage discussion and negotiation.” The Federal Government had urged the 37-man wage committee to expedite its deliberations and submit recommendations promptly. The Ministry of Finance was directed to ensure adequate funding, and collective bargaining in good faith was emphasized, along with adherence to contracts. Committee members were also urged to seek external consultations.
The panel, comprising representatives from federal and state governments, the private sector, and organized labor, is tasked with proposing a new national minimum wage for Nigeria.
President Bola Tinubu emphasized the importance of ensuring sustainability across all government levels during the inauguration of the tripartite committee on the national minimum wage. He urged the committee to consider the parties’ ability to pay the new wage and emphasized the need for timely completion of their assignment. Tinubu, represented by the Vice President, stressed the importance of the committee’s prompt conclusion of deliberations and submission of recommendations to initiate the necessary processes for implementing a new National Minimum Wage.
The President instructed the Honourable Minister of Finance and Coordinating Minister of the Economy to allocate the necessary funds and logistics to the Committee to ensure the timely completion of its assigned task. He officially inaugurated the Tripartite Committee on National Minimum Wage and extended his best wishes for fruitful deliberations. Tuesday’s inauguration comes after months of agitation from organized labor, expressing concerns over the FG’s failure to inaugurate the new national minimum wage committee as promised during negotiations last October. In May 2017, the House of Representatives moved to amend the National Minimum Wage Act for compulsory reviews of workers’ remuneration every five years.
