Minimum Wage: Labour rejects govt’s ₦54,000 proposal

…as governors’ absence stalls negotiations

The Tripartite Committee on Minimum Wage has adjourned its meeting to Wednesday, May 23, after failing to reach a consensus on a new minimum wage.

The meeting, which was a follow-up to last week’s session, saw the federal government increase its offer from N48,000 to N54,000, but Labour rejected this proposal, insisting on its demand for a N615,000 living wage.

“Well, during the meeting, the government increased its offer from N48,000 to N54,000. However, labour rejected that offer, and the meeting has been adjourned to Wednesday,” a source, who spoke under conditions of anonymity, disclosed.

Another source revealed that state governors were conspicuously absent, and their representatives lacked the mandate to negotiate on their behalf.

When asked if the government side was showing any sign of seriousness, the source said, “no seriousness at all. Even state governors did not show up. Those who represented them like Bauchi and Niger states did not have the mandates to speak on their behalf.

“As regards the private sector, we did not get to them before the meeting was adjourned but we hope they also increase their initial offer”, the source said.

The Organized Private Sector (OPS) also failed to increase its initial offer of N54,000.

Labour leaders expressed frustration at the lack of seriousness shown by the government and OPS, with the president of the Nigeria Labour Congress (NLC), Joe Ajaero, reiterating the May 31, 2024 deadline for the implementation of the new minimum wage.

Ajaero blamed the government and OPS for the breakdown in negotiations, saying, “Despite earnest efforts to reach an equitable agreement, the less than reasonable action of the Government and the Organised Private Sector has led to a breakdown in negotiations.”

The NLC and TUC have affirmed their commitment to ensuring the interests and welfare of workers are adequately protected in the negotiation process.

The Tripartite Committee, inaugurated by President Bola Tinubu on January 30, 2024, aims to recommend a new national minimum wage to replace the current N30,000, which expired on April 18.

With the negotiations stalled, the nation waits to see if the committee can reach a consensus before the deadline.

The labour unions have shown no signs of backing down, and the government’s offer remains below their demands.

The OPS’s reluctance to increase its offer has also raised concerns about the prospects of a successful negotiation.

With its membership cutting across federal and state governments, the private sector and organised labour, the committee is to recommend a new national minimum wage for the country.

During the inauguration of the panel, Shettima urged the members to “speedily” arrive at a resolution and submit their reports early.

“This timely submission is crucial to ensure the emergence of a new minimum wage,” Shettima said.

In furtherance of its assignment, a zonal public hearing was held simultaneously on March 7 in Lagos, Kano, Enugu, Akwa Ibom, Adamawa, and Abuja.

The NLC and the TUC in different states proposed various figures as a living wage, referencing the current economic crunch and the high costs of living.

In their different proposals on the minimum wage, the NLC members in the South-West states demanded N794,000 as the TUC suggested N447,000.

At the North-Central zonal hearing in Abuja, the workers demanded N709,000 as the new national minimum wage, while their counterparts in the South-South clamoured for N850,000.

In the North-West, N485,000 was proposed, while the South-East stakeholders demanded N540,000 minimum wage.