By Akinsuroju Olubunmi
Inflation concerns in minimum wage debate
A chieftain of the New Nigeria People’s Party (NNPP), Olufemi Ajadi, has urged the federal government to consider the current inflationary trend in determining the minimum wage for workers. Ajadi expressed his dismay over the government’s proposed N48,000 minimum wage, stating it is unrealistic given the current prices of food and other commodities in the country.
During the minimum wage negotiation meeting on Wednesday, the government proposed a N48,000 monthly minimum wage, while the Organized Private Sector proposed N54,000 monthly. Ajadi, who had earlier suggested a minimum wage of N200,000, followed the negotiation closely and criticized the government for not considering the current economic reality when proposing N48,000.
He stated, “The proposed N48,000 minimum wage is unrealistic in present-day Nigeria where petrol is sold above N700 per litre in most filling stations, with only NNPC filling stations selling at N580 per litre. Given the prices of commodities, especially foodstuffs, it is unrealistic for an average worker to survive on N48,000 monthly, let alone support a family and send children to school.”
Ajadi also highlighted inefficiencies within the civil service, suggesting that workers be paid based on their working hours to ensure that those who genuinely contribute are adequately rewarded. He pleaded with the federal government to consider the survival of Nigerian workers and increase the minimum wage, noting that states like Edo have already raised their minimum wage to N70,000.
“I agree with Labour’s decision to reject the N48,000 proposal. However, instead of walking out of negotiations, Labour should continue discussions and explain to the government why no worker can survive on a N48,000 minimum wage. If Labour agrees to anything less than N200,000, they too are being unrealistic,” he added.
Minimum Wage, Inflation,
Inflation concerns in minimum wage debate