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Minimum Wage: Organised labour warns NGF against crises

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Organised labour has rejected the claim by state governors, under the aegis of the Nigeria Governors’ Forum, that they cannot afford N60,000 minimum wages, urging them not to plunge the country into a monumental crisis.

Recall that the governors under the aegis of the Nigeria Governors Forum rejected the proposed N60,000 minimum wage for Nigerian workers.

The governors had described the N60,000 proposed by the federal government as unrealistic.

However, reacting on Saturday, the Organised Labour faulted the NGF’s position, saying every part of the new minimum wage agreement should be implemented and any state governors who can’t pay it should resign.

A statement by NLC’s Head of Information and Public Affairs, Benson Upah, stated that Federation Account Allocation Committee, FAAC, allocations have since grown from N700 billion to N1.2 trillion, increasing the governors’ capacity to pay more than N60,000 as minimum wage.

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The statement reads: ”Nothing can be further from the truth as FAAC allocations have since grown from N700 billion to N1.2 trillion, making the governments extremely rich at the expense of the people.

“We are alarmed by the statement credited to the Nigeria Governors Forum that state governments cannot even afford to pay N60,000 as minimum wage as a few states will end up borrowing to pay workers every month.”

“We do believe the governors have acted in bad faith. It is unheard of for such a statement to be issued to the world during an ongoing negotiation. It is certainly in bad taste.

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“As for the veracity of their claim, nothing can be further from the truth as FAAC allocations have since grown from N700 billion to N1.2 trillion, making the governments extremely rich at the expense of the people.

“All the governors need to do to be able to pay a reasonable national minimum wage (not even the N60,000) is cut the high cost of governance, minimise corruption and prioritise the welfare of workers.

“It is important to explain here that a national minimum wage is not synonymous with the different pay structures of other states. The national minimum wage is the lowest floor below, which no employer can pay. The aim is to protect the weak and the poor.

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“We are not fixated with figures but value. Those who argue that moving the national minimum wage from N30,000 to N60,000 is sufficiently good enough miss the point. In 2019, when N30,000 became the minimum, N300 exchanged for $1 (effectively making the minimum wage an equivalent of $100 or thereabouts) while the inflation rate was 11.40.

“Paying a miserable national minimum wage portends grave danger to not only the workforce but also the national economy as, in truth, economies of most states are driven by workers’ wages.

“In light of this, we urge the governors to re-think and save the country from a certain death.”

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