The Federal Government on Wednesday said the labour union should reconsider it’s push for a higher minimum wage hence face a massive layoff of workers.
Mohammed Idris, Minister of Information and National Orientation, said the amount demanded by the labour union could lead to an undermined economy thus jeopardize the welfare of Nigerians.
However, the labour union disowned President Tinubu’s claim that an agreement has been reached on the new minimum wage as claimed in his Democracy day broadcast on Wednesday.
Prince Adewale Adeyanju, Acting President of the Labour Congress, said agreement on the National Wage had not been reached by the Tripartite Commitee as at 7th June when the negotiation ended.
Adeyanju was acting on behalf of the NLC president, Joe Ajaero, who was attending an International Labour Organisation conference in Geneva, Switzerland.
Tinubu drew the anger of the unions when he stated that an executive bill would soon be submitted to the National Assembly to ratify the agreements reached in the minimum wage negotiations between Labour, the private sector, the states and the Federal Government.
The parties had been in prolonged talks spanning weeks with the unions who are insisting on N250,000 minimum wage while the Federal Government and the Organised Private Sector offered N62,000 but an agreement is yet to be reached.
According to the state governors any minimum wage higher than N60,000 is not sustainable especially at the state level.
While dismissing the Federal Government and the OPS ‘ offers of N62,000, the labour unions described it as a ‘starvation wage’ and refused to consider it.
Chris Onyeka, the Assistant General Secretary of the NLC, said Labour would not accept the latest offer of N62,000 and the N100,000 proposal made by some individuals and economists.
This was as the NLC President, Joe Ajaero, said the unionists were waiting on the President to consider Labour’s proposal.
The Minister of Information Mohammed Idris while speaking at the opening of the 2024 Synod of the Charismatic Bishops Conference of Nigeria in Abuja on Wednesday, stressed the importance of a realistic wage system that safeguards against mass retrenchment while also addressing workers’ needs.
Idris restated the government’s dedication to reassessing the minimum wage but cautioned against demands that could disrupt the economy.
He stated, “As I have repeatedly said, the Federal Government is not opposed to the increase of wages for Nigerian workers but we keep on advocating for a realistic and sustainable wage system for the workers – a wage system that will not undermine the economy, lead to mass retrenchment of workers and jeopardise the welfare of about 200 million Nigerians.
“We want the labour unions to understand that the relief that Nigerians are expecting, and that they fully deserve, will not come only in the form of an increase in wages.”
He highlighed government’s efforts to alleviate the cost of living, citing initiatives like the Presidential Compressed Natural Gas programme aimed at reducing transportation expenses by 50 per cent.
While advocating wage increases, Idris emphasised the importance of holistic relief measures beyond salary adjustments, urging Labour to recognise the significance of programs like the Compressed Natural Gas (CNG) initiative in enhancing citizens’ purchasing power.
“It will also come as an effort to reduce the cost of living and to ensure that more money stays in the pockets of Nigerians. And this is where programs like the Presidential CNG initiative come in.
“By replacing or complementing petrol usage with CNG, that programme alone will cut transportation costs by as much as 50 per cent,” he claimed.
The minister urged religious leaders to raise public awareness about government initiatives and efforts.
