The Nigerian Governors Forum (NGF) has rejected the proposed N60,000 minimum wage for Nigerian workers, stating that it is too high, not unsustainable and potentially detrimental to state economies. The announcement came in a statement issued on Friday by the Director of Media and Public Affairs for NGF, Halimah Salihu Ahmed......READ THE FULL STORY>>.....READ THE FULL STORY>>
The governors expressed concerns that implementing the N60,000 minimum wage would force many states to allocate their entire Federal Account Allocation Committee (FAAC) funds to salaries, leaving no resources for development projects.
It 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 Nigeria Governors’ Forum is in agreement that a new minimum wage is due. The Forum also sympathises with labour unions in their push for higher wages,” the statement read.
“However, the Forum urges all parties to consider the fact that the minimum wage negotiations also involve consequential adjustments across all cadres, including pensioners. The NGF cautions 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.
“All things considered, the NGF holds that the N60,000 minimum wage proposal is not sustainable and can not fly. It will simply mean that many states will spend all their FAAC allocations on just paying salaries, with nothing left for development purposes. In fact, a few states will end up borrowing to pay workers every month. We do not think this will be in the collective interest of the country, including workers.”
The governor, however, urged all parties involved in the negotiation process, particularly the labour unions, to take into account all socioeconomic variables and settle for an agreement that is sustainable, durable, and fair to all other segments of society who have a legitimate claim to public resources.
The stance taken by the governors follows the organized labor’s demand for a minimum wage higher than the N60,000 proposed by the tripartite committee.
The labor unions, including the TUC and the Nigeria Labour Congress (NLC), had recently suspended their industrial action, which commenced on Monday, after reaching a preliminary agreement with the Federal Government.
The government assured that President Bola Tinubu is committed to a minimum wage exceeding the initial N60,000 offer.
