Organised labour in Nigeria, represented by the Nigerian Labour Congress (NLC) and the Trade Union Congress (TUC), has proposed a new minimum wage of N615,000 per month for workers across the country.
This online newspaper reports that the demand follows consultations within the NLC and TUC, as well as recent economic changes such as an increase in electricity tariffs.
According to a source from organised labour who spoke on condition of anonymity, the decision to demand the N615,000 wage was reached after careful discussions.
“We (NLC and TUC) have given our figures to the government, and it is N615,000. That is the position of the NLC and TUC on the matter. The government has been informed as well,” the source said.
Government Panel Established
On January 30, 2024, President Bola Tinubu, through Vice President Kashim Shettima, established a 37-member panel tasked with recommending a new national minimum wage. The panel includes representatives from the federal and state governments, the private sector, and organised labour. Former Head of the Civil Service of the Federation, Bukar Aji, chairs the panel.
At the panel’s inaugural meeting, Shettima urged members to “speedily” reach a resolution and submit their reports promptly as the current N30,000 minimum wage is set to expire at the end of March 2024.
Organised Labour’s Position on New Minimum Wage
While initial reports suggested that the NLC and TUC were considering a higher figure of N1 million, the recent proposal is N615,000 per month. This proposal was made in response to rising inflation and the removal of subsidies, especially on electricity tariffs.
“With the removal of the electricity tariff subsidy, we are going to have another round of serious conversations with the government,” the labour leader mentioned in an interview. He emphasized that the wage might increase further due to the rise in electricity tariffs.
Further Negotiations Expected
The labour leader added that negotiations with the government regarding the new wage will continue. The electricity tariff hike has created an opportunity for labour to press for an increase in the minimum wage beyond the proposed N615,000.
The panel aims to establish a “fair, practical, implementable, and sustainable” minimum wage for workers.
Organised labour plans to defend their position based on recent economic changes, including the new price of N225 per kWh of electricity.
As the NLC and TUC continue their negotiations with the government, they seek to secure a significant increase in wages that reflects the current economic challenges faced by Nigerian workers.