Reaction has trailed the Nigeria Governors Forum (NGF) saying the sixty thousand naira minimum wage for state workers nationwide is not sustainable owing to the current economic realities.
In a statement by its acting director media and press affairs Halima Ahmed Yakubu, the Governors urged all parties to consider the fact that the minimum wage negotiations also involve consequential adjustments across all cadres, including pensioners.
They acknowledged the fact that, a new minimum wage is due and sympathized with the organized labour push for a higher wage while cautioned parties in this important discussion to look beyond just signing a document for the sake of it; any agreement to be signed should be sustainable and realistic.
The Governors added that states will spend all FAAC allocations on just paying salaries with nothing left for development purposes and end up borrowing to pay workers every month.
The Governors Forum appealed to parties to consider all the socioeconomic variables and settle for an agreement that is sustainable, durable, and fair to all other segments of the society who have legitimate claim to public resources.
Reno Omokri, aide to former Vice President, Atiku Abubakar in his reaction on X said, “Since the Governors have said they cannot afford ₦60,000 as minimum wage, then, instead of a unified minimum wage, why can’t we do as the Americans, and have multiple minimum wages?
He added, “One Federal minimum wage and 36 minimum wages, each state having theirs. That will be one small step for workers, and a giant step for true federalism. Because, in truth, why should poor states be forced to pay the same minimum wage as wealthier states”, he asked.
He asked, “what is the use of making an unenforceable minimum wage law? More than half of Nigeria’s thirty six states are already struggling to pay the current ₦30,000 minimum wage.
“It does not take a genius to know that if they are forced to pay ₦60,000, the Governors will have to engage in MASSIVE sacking. Only about eight states can fully survive on their own without federal allocations. Nigerians are notorious for not paying taxes.
“We have tax-to-GDP ratio of less than 10%. Even Ivory Coast has a higher tax-to-GDP ratio than we do. So, where will the states find the extra money for the new minimum wage? From Christ Embassy’s school of miracles?
“Sadly, we, as Nigerians, can be very emotional. it is just like the current complaint in Southern Nigeria about the sudden rise in the price of pepper.
“All we do is complain. Are we aware that if we go to the back of our houses and plant pepper seeds, they will grow, and in ninety days, we will have peppers to harvest and even to sell? No. It is to blame Tinubu.
Meanwhile, and please fact-check me: almost 60% of the British population grow at least some of their vegetables at home. The percentage in the U.S. is 55%. But here in Nigeria, as soon as it rains, it is bedroom enjoyment we think of. Yet, we have more fertile land and much more sunshine than Britons or Americans.
“Unless we allow the states to individually set their own minimum wages and allow the Federal Government set theirs, whatever new minimum wage we come up with will be defaulted on by more than half the states”, Reno Omokri concluded.
Meanwhile, After two days of waiting, the negotiations over the national minimum wage hit another brick wall yesterday.
At the end of yesterday’s meeting, the Federal Government negotiating team raised its offer by N2,000 bringing total minimum wage offer to N62,000 while the Organised Labour reduced its demand to N250,000 from N494,000.
Recall that members of the organised labour comprising the Nigeria Labour Congress and Trade Union Congress had on Tuesday, suspended their strike for five days.
The strike which commenced on Monday and relaxed, was called to protest the failure of the Federal Government to approve new minimum wage by May 31 as well as its failure to reverse the hike in electricity tariff.