“The NLC would have expected that the advisers of the President would have told him that we neither reached any agreement with the Federal Government and the employers on the base figure for a National Minimum Wage nor on its other components,” Adeyanju stated.
The Nigerian Labour Congress (NLC) has challenged President Bola Tinubu’s assertions regarding the national minimum wage agreement.
During his Democracy Day speech on Wednesday, June 12, President Tinubu announced that an agreement had been reached with organised labour and that an executive bill would soon be presented to the National Assembly to formalise this agreement.
“In this spirit, we have negotiated in good faith and with open arms with organised Labour on a new national minimum wage. We shall soon send an executive bill to the National Assembly to enshrine what has been agreed upon as part of our law for the next five years or less,” Tinubu had announced.
However, the NLC has refuted these claims, maintaining that no agreement has been reached.
Labour Refutes Tinubu’s Claims
Acting President of the NLC, Prince Adewale Adeyanju, who is temporarily filling in for NLC President Joe Ajaero, emphasised that negotiations concluded on June 7 without any consensus.
Adeyanju stressed that the NLC’s demand for a minimum wage of N250,000 remains unmet. He asserted that as far as the Tripartite Committee on the National Minimum Wage was concerned, discussions were still ongoing, and no agreement had been finalised.
“The NLC would have expected that the advisers of the President would have told him that we neither reached any agreement with the Federal Government and the employers on the base figure for a National Minimum Wage nor on its other components,” Adeyanju stated.
“Our demand still remains N250,000 only and we have not been given any compelling reasons to change this position, which we consider a great concession by Nigerian workers during the tripartite negotiation process,” he added.
Also read: Tinubu fails to announce new minimum wage in Democracy Day speech
The acting NLC president further stressed, “We are therefore surprised at the submission of Mr President over a supposed agreement. We believe that he may have been misled into believing that there was an agreement with the NLC and TUC.
“There was none and it is important that we let the President, Nigerians and other national stakeholders understand this immediately to avoid a mix-up in the ongoing conversation around the national minimum wage.”
The Stance of Labour Unions
The labour unions have remained steadfast in their demand for a N250,000 minimum wage, dismissing the government’s proposal of N62,000 as inadequate.
Chris Onyeka, Assistant General Secretary of the NLC, declared that labour would not accept the latest offers of N62,000 or the N100,000 proposal suggested by some economists.
Onyeka emphasised that the NLC views these offers as insufficient to meet the needs of Nigerian workers, describing them as ‘starvation wages.’
“We cannot be working and yet remain in abject poverty,” Onyeka said.
Intimidation Allegations During Negotiations
Furthermore, Tinubu, in his Democracy Day speech, said his government did not act like a dictatorial regime by clamping down on the leadership of organised labour during the June 3 industrial action, noting that his administration chose the path of cooperation over conflict.
“In the face of labour’s call for a national strike, we did not seek to oppress or crack down on the workers as a dictatorial government would have done. We chose the path of cooperation over conflict.
“No one was arrested or threatened. Instead, the labour leadership was invited to break bread and negotiate toward a good-faith resolution.
“Reasoned discussion and principled compromise are hallmarks of democracy. These themes shall continue to animate my policies and interaction with the constituent parts of our political economy,” the President said.
Adeyanju, however, alleged that the labour leaders were subjected to intimidation by security agencies during the minimum wage talks.
He described an incident where fully armed soldiers surrounded the negotiation venue, which he suggested was a tactic to intimidate the labour representatives. Despite these pressures, the NLC has continued to advocate for a living wage that reflects the economic realities faced by Nigerian workers.
“Fully armed soldiers surrounded us while we were in a negotiation with the government and despite denials; recent statements by senior officials of the government reaffirmed our fears contrary to the assurances by the government,” Adeyanju claimed.
“However, we remain assured that the President’s democratic credentials will come to the fore in favour of Nigerian workers and masses,” he said.
Response from the Organised Private Sector
The Nigerian Association of Chambers of Commerce, Industry, Mines, and Agriculture (NACCIMA) also weighed in on the matter, noting that no consensus had been reached on the national minimum wage.
NACCIMA President, Dele Oye, who is part of the 37-member tripartite committee, urged all parties to resolve outstanding issues to avoid further uncertainty for businesses.
“No agreement has been reached with Labour; however, it is wrong to make a press statement in the middle of negotiations apart from appealing to all parties involved to work harder to resolve outstanding issues, as the impasse is already creating uncertainty in the ability of businesses to make decisions,” Oye cautioned.
Also read: NLC Strike: Nigerian economy suffers as workers down tools over demand for wage increase
He stressed that making public statements in the middle of negotiations could create uncertainty and affect business decisions.
He called on all parties involved to work harder to reach a resolution that is fair and sustainable for all stakeholders.
Government’s Perspective on Wage Demands
Meanwhile, the Federal Government, represented by the Minister of Information and National Orientation, Mohammed Idris, urged the labour unions to consider the broader economic implications of their wage demands.
Idris, who spoke at the opening of the 2024 Synod of the Charismatic Bishops Conference of Nigeria in Abuja on Wednesday, warned that the NLC’s demand for a N250,000 minimum wage could destabilise the economy, lead to widespread job losses, and negatively impact the welfare of Nigerians.
“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,” Idris explained.
“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 added.
Broader Economic Concerns
Minister Idris also highlighted the broader economic concerns related to wage increases. He pointed out that while increasing wages is important, it should be part of a holistic approach to improving the cost of living for Nigerians.
Idris mentioned initiatives like the Presidential Compressed Natural Gas (CNG) programme, which aims to reduce transportation costs by 50 per cent, as examples of the government’s efforts to alleviate living expenses.
“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 programmes like the Presidential CNG initiative come in,” Idris explained, adding, “By replacing or complementing petrol usage with CNG, that programme alone will cut transportation costs by as much as 50 per cent.”
He stressed the importance of considering these broader initiatives alongside wage adjustments to ensure that more money stays in the pockets of Nigerians. He called on religious leaders to help raise public awareness about the government’s efforts to alleviate living costs and improve the overall economic well-being of citizens.
Call for Realistic Wage Adjustments
The government’s position underscores the need for a realistic and sustainable wage system that balances the interests of workers with the broader economic implications. Idris reiterated that while the government is open to increasing wages, it must be done in a manner that does not jeopardise economic stability or lead to mass retrenchment of workers.
Also read: Nigerian workers begin indefinite strike Monday as minimum wage negotiations stall
Idris called for a holistic approach to addressing the needs of Nigerian workers, emphasising that wage increases alone will not solve the economic challenges faced by the country.
“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,” Idris stated.
Moving Forward
The ongoing debate over the national minimum wage highlights the complex challenges faced by the Nigerian economy.
While the NLC remains firm in its demand for a N250,000 minimum wage, the government and organised private sector are advocating for a more moderate increase that balances workers’ needs with economic stability.
The path forward will require careful negotiation and compromise from all parties involved. The government must address the legitimate concerns of labour unions while ensuring that wage increases do not lead to economic instability or mass job losses.
At the same time, the NLC must consider the broader economic implications of their demands and work towards a solution that is realistic and sustainable.
As negotiations continue, it is crucial for all parties to maintain open lines of communication and work together in good faith to reach an agreement that benefits all Nigerians. The goal should be to find a balance between fair wages for workers and the long-term economic health of the country.
