States Have Capacity To Pay N615,000 Minimum Wage, Labour Insists

The Nigeria Labour Congress (NLC) insists the proposed N615,000 minimum wage is realistic, dismissing claims that some states cannot pay such an amount if approved.

Recent reforms in Nigeria including the removal of fuel subsidy and the unification of the foreign exchange market have pushed the cost of living to newer levels.

Inflation figures hit 33.2 per cent in March, further compounding a troubled economy.

Labour unions and the Federal Government have since been locked in negotiations over measures including a new minimum wage to cushion the impacts of the harsh economy.

The NLC is proposing a N615,000 monthly salary for workers, a jump from the current N30,000. Although many believe it is unrealistic, the labour union believes many states can pay it if they get their priorities right.

“Well, I think we need to understand the issue of ability to pay and the issue of not getting the priority right now,” the NLC president Joe Ajaero said on Thursday’s edition of Channels Television’s Politics Today when asked if states can pay the current minimum wage can

“Most of the states that have shown a willingness to pay are not among those that are getting the highest revenue. Even during the time of General Muhammadu Buhari, some states were declared as not having enough money to pay and he released funds for them to pay, those states still went ahead and refused to pay.

“Now, it’s not a question of whether the quantum of money they have or not is what they decide to do with such money. If they get their priority right, then a lot can happen.”

‘Mischievous’

The unionist who suggested states should go into mechanised agriculture among others, believe self-sufficiency in food production will help Nigeria fight the biting economy.

“Remember I told you before that if we do what we are supposed to do in terms of what is expected of us as a government and as people and we’re able to check inflation, check all other indices; check the cost of foodstuff; go into massive agriculture; have a kind of self-sufficiency in the nation, then we will pay less attention to the quantum to hundreds and of millions and thousands,” Ajaero said.

The Federal Government announced an increment of pay for some workers on the eve of Labour Day. But Ajaero has faulted the move, describing it as “mischievous”.

“The announcement appears mischievous because there is no wage increment that the government is announcing,” he said on Wednesday’s edition of Channels Television’s Sunrise Daily.

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