- The Federal Government should call off the wage increase rhetoric and face the challenge of governance
Plans by the Federal Government to spearhead another round of negotiations for wage increase in 2017 should ordinarily be happy news. There is no doubt that the current wage regime is already overtaken by current realities. Inflation has eaten up the value and, consequently, hunger, squalor and misery have become the lot of the vast majority of Nigerians, including public servants.
It would, therefore, appear wicked to suggest that government should not review wages upward. However, the other side of the equation is that many state governments are struggling to pay the current wages. Since last year, many Federal Government agencies have been unable to pay salaries as and when due. The situation with state workers has been even more pathetic, thus necessitating intervention through bailout by the Federal Government.
Even at that, many governments at the state and local government levels owe their workers up to seven months salary arrears. Others have resorted to paying half salaries to the discomfiture of the workers, many of whom had to withdraw their wards from schools. Others who took ill could not avail themselves of good medical care due to soaring hospital bills.
It is within this context that we call on the Buhari administration to rethink the plan announced by the Minister of Labour and Employment, Dr. Chris Ngige. What should engage the attention of the government now is how to stabilise and expand the economy to get many of the unemployed gainfully engaged. Then, ensure that state governments generate sufficient revenue to meet with their statutory duties.
The proposed wage increase appears to us more like campaign rhetoric. Politicians are known to make outlandish pledges during electioneering to woo the electorate. This they do most of the time knowing that the revenue could not support such deceitful promises. This is not the time for cheap political talks. It is time for governance. This government promised the people better conditions of living during the period leading to last year’s General Elections. But, pleading unanticipated drop in revenue, it has not fulfilled the promise.
We urge the Federal Government to be faithful in reflating the economy in 2017 by paying domestic debts and starting early to execute the capital projects in the budget. The real sector of the economy is crying for attention, with the foreign exchange regime still constraining manufacturers who need to import raw materials. These should be the priority in the coming year.
Any attempt to open up wage talks now would inflame passions and cause disruption in the workplace. The Labour movement is already asking for what appears an unrealistic N75,000 minimum wage. As was the case in previous negotiations, state governments are likely to distance themselves from the talks and the outcome.
The private firms are also likely to cry out as many are beginning to fold up, others relocating to neighbouring countries while others are reducing wages and laying off staff. This is not a time to introduce new salaries that would further compound our woes.
We call on all agitators for wage increase to hold their peace for now. This is a time to put all hands on deck to ensure that the country is pulled out of the woods. It is to be noted that much of next year’s budget would be financed by external loans that have not been guaranteed. These, indeed, are unusual times when gloating and muscle-flexing are out of place. Populist measures do not sit well during an emergency period.
