Workers wary as FG assures on May 1 date for new minimum wage
• I do not take your patience, understanding for granted, Tinubu tells workers
• No minimum wage by end of May, no peace, Labour warns FG
• Obaseki: How we’ll fund N70,000 new minimum wage for Edo workers
Workers across the country who had endured the last 11 months of an agonising administration occasioned by the twin policies of fuel subsidy removal and naira devaluation received ‘Renewed Hope’ as a May Day gift despite President Bola Tinubu not announcing a new minimum wage yesterday.
The president saluted Nigerian workers, saying a review of the minimum wage was imminent and when finally announced, arrears would date back to May 1, 2024.
Nigerian workers had been agitating for a review of the nation’s minimum wage, which is less than $30, but President Tinubu calmed frayed nerves, assuring the Organised Labour that their understanding, patience, commitment and support in the course of implementing his administration’s policies and programmes are not taken for granted.
This is just as he assured the workers that their days of worrying were over, hinting at his administration’s readiness to consider a national living wage that will address their living conditions, instead of a minimum wage, as suggested by the 37-member Tripartite Committee on Minimum Wage set up on January 30, 2024, by the Federal Government.
The President, who spoke yesterday during a ceremony to mark the 2024 May Day celebration at the Eagle Square, Abuja, said it is a fundamental truth that workers are Nigeria’s backbone, even as he acknowledged and appreciated their hard work, sacrifices, and contributions to the nation’s stability and prosperity.
Represented by Vice President, Kashim Shettima, at the event, President Tinubu commended the choice of the theme for this year’s May Day celebration, “People First,” saying it not only resonates with his administration’s agenda but also demonstrates that “the working class holds a central position in the affairs of this nation.”
Delivering the President’s address titled, “Solidarity in Action: Collaborative Governance, Empowered Workers”, Shettima stated: “I do not take for granted the understanding, patience, commitment, and support you have shown throughout the implementation of this government’s policies and programmes aimed at positively transforming our great nation. Your contributions have played a significant role in our efforts to rescue the economy since we came on board.
“The committee’s mandate was to provide counsel and suggest a national minimum wage that aligns with our current economic conditions. Since then, the committee, in collaboration with labour leaders, has been diligently working towards proposing a new National Minimum Wage.
“Unfortunately, despite concerted efforts, the committee was unable to reach a consensus at its last meeting. This shall be resolved soon, and I assure you that your days of worrying are over. Indeed, this government is open to the committee’s suggestion of not just a minimum wage but a living wage.”
Noting that he assumed office at a time when Nigeria, like many other nations, were grappling with what he described as “daunting socio-political and developmental challenges”, President Tinubu maintained that his government has been “resolute in confronting these obstacles head-on .
Earlier, the Minister of State for Labour and Employment, Nkeiruka Onyejeocha, reminded the workers that it was the first May Day under President Tinubu, pointing out that it is a reminder “of the great sacrifices made by the working class toward the enthronement of the dignity of labour which are key to national growth and development.”
Though regretting that the new Minimum Wage was yet to take off, she, however, dropped the cheery note for workers to take home, announcing that the new minimum wage will take off on May 1, 2024 and that workers will enjoy arrears from May 1, whenever it is signed into law.
She noted that although the Tripartite Committee on National Minimum Wage is yet to conclude its negotiations, workers will not lose anything as wide consultations were ongoing to ensure that the document is out as soon as possible.
This is coming against the background of demands by the organised Labour, for a new Minimum wage of N615,000, if the Nigerian worker will cope with current economic realities and the high cost of living in Nigeria.
Joe Ajaero, President of the Nigeria Labour Congress (NLC) made the demand on Wednesday in his speech to mark the 2024 Workers Day celebration in Abuja. The labour unions said the current minimum wage of N30,000, signed by former President Muhammadu Buhari, can no longer cater for the well-being of an average Nigerian worker.
The Organised Labour further gave the Federal Government till the end of May to finalise the process of implementing the new national minimum wage for workers, warning that if the negotiation is not concluded by May 30, there may not be industrial peace in Nigeria.
“All parties in the tripartite process are well represented and the engagement has been robust. We have placed our demand of N615,000 only before our social partners while we await their offer. If, however, the negotiation of the minimum wage is not concluded by the end of May, the trade union movement in Nigeria will no longer guarantee industrial peace in the country,” he said.
Ajaero also said labour had placed a demand that the new Act would have a two-year life span with an agreement for automatic adjustments in wages any time inflation exceeded 7.5 per cent. He said the union further demanded that every employer with up to five workers should pay the new minimum wage.
MEANWHILE, Edo State governor, Godwin Obaseki, has said the N70,000 new minimum wage for workers in the state is within what his administration can afford, noting that the increase became necessary as a result of the current economic realities. The governor said this while addressing workers during a rally held to mark the May Day celebration at the Samuel Ogbemudia Stadium in Benin City.
He praised the workers for the harmonious relationship with his administration, noting that the peaceful disposition of the organised labour in the state with the government has led to several achievements for his administration.
Obaseki said: “Two days ago, I announced that we have raised the minimum wage for Edo workers from N40,000 to N70,000, an increase of over 75 per cent. This is because we know and feel the pains and hardship which most of you experience daily.
“Fuel subsidy has been removed. The exchange rate has more than doubled and food prices have gone almost off the roof and most of you find it difficult to feed yourself and your family.
“We are an empathetic government; we can’t say we do not know and if we know, we can’t sit down without doing anything about it. This is why we say even if it’s a strain on us, we should do what we ought to do to increase the minimum wage for our workers.”He continued: “The N70,000 minimum wage is within what we can afford as a State Government. However, should the Federal government decide on a higher minimum wage and make the funds available to States from the savings which have been made from fuel subsidy, the Edo State Government will adjust its minimum wage to that of the Federal government.
“Your salaries will continue to be paid on or before the 26th day of every month. We would continue to ensure we have an effective health insurance scheme to assist public servants. This scheme has assisted many families. I encourage you to enroll into this scheme.
“I assure our pensioners that we will continue to pay your premium so that it will enable you to attend to your healthcare needs in our health facilities in the state. To our workers, we would continue to pay your health insurance so that if anything happens to you, your families will not be left in penury.”
The governor praised the workers for their support, noting, “I am here today to thank you because you made our several achievements possible because of the harmony and peace between labour and government in the state. We have not had any strike in the Edo State in the last seven and a half years as we have not had any issues with any unions in the state.”
According to him, “I would be leaving office in six months but will not be leaving you because I will be leaving in place a 30-year Benin City and Edo State Regional Development Plan, which will be a direction where we should be going as a people and a state for the next generation.
“In 2016 when I became governor, several issues were crying for attention ranging from a broken pension system, to a flawed recruitment process in the public and civil service, a very unattractive reward system to a generally poor working environment. Today, after seven years we have created a new public and civil service in Edo State and it’s drastically more efficient, has infrastructure, improved service because of you and can be compared to any that can be found in the world.
“We have improved the condition of service and changed the narrative and our processes, systems, workplace and conditions of service are second to none. We have introduced technology on the basis on which civil service rests and have improved the way we work. We have successfully built the first public service in Nigeria to fully go digital and the rate technology is redesigning the work processes in Edo State is unprecedented and our workers can testify the way our E-Gov works.”
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