The Nigeria Governors’ Forum (NGF), which comprises the 36 state governors, has declared that the proposed N60,000 minimum wage by the Federal Government is unsustainable and cannot be implemented. They have called for a fair and sustainable minimum wage that considers the financial realities of the states.
Mrs. Halima Ahmed, Acting Director of Media Affairs and Public Relations for the NGF, stated that if the N60,000 minimum wage were to be adopted, many states would have to use their entire monthly allocations from the federation account solely to pay workers’ salaries, leaving no funds for other essential services and development projects. In some cases, states might even need to borrow money each month just to cover payroll, which would not be in the best interest of the country or its workers.
The NGF has acknowledged the necessity of a new minimum wage and expressed sympathy with labor unions in their pursuit of higher wages. However, they emphasize the importance of considering the broader implications of the wage increase, including necessary adjustments for all pay grades and pensioners. The NGF cautions against hastily signing an agreement that is not financially sustainable or realistic.
The governors urge all parties involved in the minimum wage negotiations, particularly the labor unions, to take into account all socioeconomic factors and strive for an agreement that is sustainable, durable, and fair to all segments of society that depend on public resources.
Organized labor had previously rejected the N60,000 proposal and initiated a nationwide strike on Monday. The strike was suspended on Tuesday after the Federal Government promised to increase the minimum wage to an amount higher than N60,000 as negotiations resume.
The President of the Trade Union Congress (TUC), Festus Osifo, reiterated on Channels Television’s Politics Today program that workers would not accept a small increase to the N60,000 proposal. He stressed that the tripartite committee must offer a realistic amount that reflects the current inflationary pressures.
The tripartite committee continues to meet in Abuja to finalize a new national minimum wage. This ongoing meeting, the fifth since the suspension of the strike, is being held behind closed doors at the Nicon Luxury Hotel. Key participants include the Director General of the Nigeria Governors’ Forum, the Minister of Labour and Employment (State) Nkiruka Onyejeocha, the Governor of Imo State Hope Uzodimma, representatives from the Salaries, Income and Wages Commission, the Minister of Finance Wale Edun, and the Minister of Budget and National Planning Atiku Bagudu. The committee members have assured that a new wage figure might be announced soon, possibly by Friday.
