The presidency says Nigeria’s economic reality is at odds with labour’s new minimum wage demand.
In a chat with Femi Akande on TVC’s ‘Politics on Sunday’,
Ajuri Ngelale, presidential spokesperson, highlighted the “consequences” should
labour have its way.
On June 3, the Nigeria Labour Congress (NLC) and Trade Union
Congress (TUC) embarked on a nationwide strike over the federal government’s
refusal to appreciably increase the minimum wage.
The labour unions initially proposed N615,500 as the minimum
wage, citing the high cost of living, before the demand was reduced to
N494,000.
Speaking on the situation, Ngelale said the national minimum
wage threshold would be binding on government, the private sector and small
businesses.
He added that businesses will close shop because “they
cannot live up to the minimum wages that organised labour is asking for”.
“But he [the president] also recognises that there are
economic realities and fundamentals within the country right now that do not
support what the organised Labour movement is advocating for, and I want to be
very clear this evening about what the consequences would be if organised
labour had its way,” he said.
“Right now, there is
this notion out there that the minimum wage conversation in the country is
simply almost a conversation between a federal executive administration and
organised labour about a new minimum wage for the federal civil service. That
is not what we’re talking about.
“We’re talking about a new national minimum wage for every
Nigerian citizen, both within the formal economy as well as the informal
economy.
“This has ramifications. Essentially, we’re moving from the
current minimum wage where it is to, if labour got its way, something north of
N500,000 per month; you’re looking at almost 20 times, right?
“So the impact that would now have on the citizens of the
country, we’re not talking about government now, we’re talking about our
people, is, I want to be practical about this, if you’re thinking of the mom
and pop shop that is dealing in chinchin and bakery and these kinds of goods
and services.
“The idea that you
are going to mandate them to pay 20 times whatever it is they’re paying their
staff within that small business, you know that you are essentially mandating
the closure of that business, and you are literally, indirectly sacking the entire
set of people who happen to be working there because that business is closing
because they cannot live up to the minimum wages that organised Labour is
asking for.”
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But those Economic reality support minimum wage of 60,000. Just asking
ReplyDeleteAjuri, does the economic reality support increased tariff in electricity? Tax seems to be the hallmark of this government.
ReplyDeleteOga, we dey talk of hunger here, no be all these English wey you dey speak.
ReplyDelete