The decision by the Federal Government to set up a Technical Advisory Committee on the implementation of a national minimum wage might just be the right step taken so far to put an end to the recurring conflict the issue has generated in the last few months.
The development though appears to be coming late, deserves commendation as Nigerians have become suddenly tired of economic and social disorder arising from labour’s perennial call out of workers for rallies and protests. Labour should also know by now that calling out workers for strike at any given opportunity is gradually becoming unpopular among Nigerians, judging from the last nationwide rally, which attracted just a few people.
If one is to trust the Federal Government in its new undertaking, the report of the Tripartite Committee on New Minimum Wage should be transmitted to the National Assembly on or before January 23.
This is another indication that even President Muhammadu Buhari has also become tired of the lingering crisis, especially now that elections are fast approaching, beginning February 16. Before now, the Federal Government did not in any way prove to be trusted, as labour always feared that government would renege, not only in paying the recommended wage, but also failing as it really did in implementing it in the third quarter of last year as earlier promised.
The way things are at the moment provides an edge for a positive rapport among the stakeholders by utilising the wisdom of members of the committee to achieve their goal. What cannot be taken away from Federal Government’s seriousness this time around is the integrity of those who constitute membership of the committee and the need to also review the salaries of workers, who are employed in high revenue generating government agencies. It is no longer funny that for years, the average Nigerian worker have had to remain on a minimum wage of N18,000, even when all economic indices point to the fact that inflation and resource mismanagement had eaten deeply into its purchasing power. Pragmatically, today’s so-called minimum wage of N18,000 has become out of tune.
Even when it was introduced over five years ago, Nigerians had condemned it based on the fact that economic realities on ground then far outweighed the figure. Even with recent statistical drop in inflation from as high as 18 per cent to 11 per cent consecutively, the positive effect hardly permeates the ordinary Nigerian’s daily living as prices of commodities are still on a very high side, making the current N18,000 an insult and a direct marker for economic and social marginalisation.
Whereas Nigerian government is haggling with labour over N30,000, country like Chad pays an equivalent of N60,000 as minimum wage; Cameroon, N38,000; Algeria, N83,000, while Libya that is still struggling out of crisis pays as much as N190,000. At the moment, it all appears the state chief executives remain the stumbling block in the effort being made to get things working.
This, according to President Buhari, is the defining moment for everything to sail through. Not wanting to appear unilateral in his decision, the president has taken the path of wisdom to get the governors involved in all legs of the negotiations with the committee.
Like he rightly said, it is important to explain that even though the subject of a national minimum wage is in the Exclusive Legislative List, it is necessary to meet with the state governors as it is imperative that they are carried along in determining any upward review, considering the prevailing public sector revenue challenges, which have made it extremely difficult for some of the governors to pay workers as and when due.
The sympathy for the governors at this time is well thought out, even though they have not proven to be frugal in their spending to ensure an improved welfare for their workers. The personalities carefully selected by the president for the implementation of the wage are known to be men and women of repute.
This is the more reason most Nigerians believe that the process has actually and sincerely moved positively for the very first time since organised labour had been agitating for a change in workers’ income.
On a specific ground, the involvement of renowned economist and Chief Executive Officer, Financial Derivative Company Limited, Bismarck Rewane, in the committee, smacks of confidence and radiates hope in the outcome. Another area, which the Federal Government intends to look into that appears very plausible is with the wages earned by workers at some high revenue generating agencies of government.
For a country where everyone shuttles through the same economic and social order, it is rather reprehensive that a section of the civil service is exposed to more privileges than others with regard to income.
The plan for salary review for all workers who are already earning above the new minimum wage is, therefore very important, especially if there is no law preventing such review. As steps are being taken to get things done, we advise all stakeholders, especially the governors, to cut down on their extravagant officialdom to enable them pay reasonable wages to workers. We also believe it is high time government behaved and put this issue behind to enable labour end the incessant calls for rallies and strike.
