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Presidency Warns Against Unsustainable Minimum Wage Demands, Urges Realism from Labour

Written by Jerry Alomatu on June 17, 2024

News Views: 47

The Presidency reiterated its stance on the sustainability of the N250,000 minimum wage advocated by Organised Labour, emphasizing that the Federal Government cannot allocate all its resources to meet such demands. This warning follows concerns raised by the Association of Local Governments of Nigeria regarding the proposed N62,000 wage.

Talks between the Federal Government and Organised Labour hit an impasse recently, with labour unions rejecting the government’s offer, deeming it inadequate for Nigerian workers. In an exclusive interview with The PUNCH, Special Adviser to President Bola Tinubu on Information and Strategy, Bayo Onanuga, urged labour to reconsider its stance, highlighting the need for realism.

Onanuga stressed that resources allocated to workers should consider the broader population, with workers constituting less than 10% of the total populace. He underscored the collaborative efforts between the government and private sector in determining the proposed wage, urging labour to be pragmatic in their demands.

While Tinubu had announced plans to transmit an executive bill on the new national minimum wage to the National Assembly, Onanuga indicated that this might occur after the Sallah break, with the possibility of further discussions with labour leaders depending on developments.

Efforts to reach labour leaders for comment were unsuccessful, as they were returning from a trip to Geneva for the International Labour Organisation conference. Meanwhile, the tripartite committee tasked with reviewing the minimum wage urged labour to reconsider their demands, citing various government incentives and interventions aimed at addressing economic challenges.

Committee chairman, Bukar Aji, emphasized the importance of balancing wage demands with economic realities to prevent job losses and support struggling businesses. He called on labour unions to accept the N62,000 minimum wage offered by the Federal Government, highlighting the need for cooperation in navigating Nigeria’s economic landscape.