CurrentReport Blog In a decisive move, the 36 state governors, under the banner of the Nigeria Governors Forum (NGF), have outrightly rejected the Federal Government’s proposal of a ₦62,000 new national minimum wage. The announcement came on Friday night, with the governors standing firm on their position that they will not exceed ₦57,000.
Background of the Minimum Wage Dispute
The Federal Government had recently increased its new national minimum wage offer from ₦60,000 to ₦62,000. However, the governors argue that accepting a figure higher than ₦57,000 would severely impact the states’ ability to fund developmental projects, as a significant portion of state resources would be consumed by wage payments.
Labour’s Position and Response
In response to the ongoing wage negotiations, organized labour groups, including the Nigeria Labour Congress (NLC) and the Trade Union Congress of Nigeria (TUC), have also made concessions. Initially demanding ₦494,000, they have since lowered their request to ₦250,000. Despite this reduction, the gap between the demands of labour groups and the offers from both the Federal Government and the governors remains vast.
Federal Government’s Stance
Reports indicate that while the Federal Government may be willing to increase the minimum wage offer to ₦65,000, both the governors and the organized private sector maintain that any amount exceeding ₦57,000 would be unsustainable.
Governors’ Argument for a Sustainable Wage
The governors have reiterated their stance, emphasizing that a higher minimum wage would not leave sufficient funds for essential developmental projects. They have called on the members of the tripartite committee to agree on a wage that is fair and sustainable for all parties involved.
Potential Strike Action
The labor groups have not ruled out further industrial action. After temporarily calling off a nationwide strike on Tuesday, NLC President Joe Ajaero issued a stern warning: if the government fails to meet their demands within five days, a renewed and indefinite strike could be on the horizon.
Current Status of Negotiations
The Tripartite Committee on New National Minimum Wage (NNMW) has currently adjourned its meetings, with no agreement reached yet. Insiders suggest that the disparity in proposed figures remains a significant hurdle, with the government’s latest offer of ₦62,000 falling short of labour’s revised demand of ₦250,000. The committee is expected to report the latest developments to the President for further deliberations.
