Trade Unions Provide List of Names to Government’s New Minimum Wage Panel

Trade Unions Provide List of Names to Government’s New Minimum Wage Panel

In preparation for the upcoming negotiations on a new minimum wage, scheduled to begin in April 2024, organized labor has provided a list of its representatives who will advocate for Nigerian workers on the negotiation panel to be established by the Federal Government.

When implementing a new minimum wage, the Federal Government typically forms a tripartite committee to facilitate the negotiation process. The previous committee, appointed by the administration of former President Muhammadu Buhari in 2019, was headed by Ama Pepple, the then Head of Civil Service of the Federation. The committee included representatives from organized labor, such as the Nigeria Labour Congress and the Trade Union Congress, as well as government officials and private sector representatives.

It was previously reported that the administration of President Bola Tinubu allocated N1 trillion in the 2024 budget to cover minimum wage adjustments and other expenses. Although the amount was later adjusted, government officials emphasized that the minimum wage would align with the current cost of living in the country.

Following the removal of subsidies on Premium Motor Spirit (petrol) during Tinubu’s inaugural speech on May 29, 2023, which resulted in a significant increase in the cost of living, organized labor has been calling for an increase in the minimum wage. While the government acknowledged that negotiations were not yet ripe for a new minimum wage, it approved a monthly wage award of N35,000 for workers until the implementation of the new minimum wage.

According to Muhammed Idris, the Minister of Information and National Orientation, the new minimum wage will take effect in April 2024. However, Benson Upah, the Head of Information at the Nigeria Labour Congress (NLC), stated that although the union was not aware of the constitution of a new minimum wage panel, the government requested that organized labor submit a list of its representatives. Tommy Etim, Vice President of the Trade Union Congress (TUC), expressed concerns about the delayed establishment of the panel but assured Nigerians that every effort would be made to negotiate effectively with the government on the National Minimum Wage.

In December 2023, the NLC emphasized that it would only accept an amount that reflects the current economic realities. NLC President Joe Ajaero, speaking at the 19th edition of the NLC 2023 Harmattan School, stated that it was crucial for governments at all levels to recognize the increasing difficulty of life and living conditions.

 
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