MINIMUM WAGE: Labour accuses FG of bad faith, threatens strike
Nigerian workers have handed a two-week ultimatum to the Federal Government to accede to its demand on the consequential adjustment of salaries of workers following the signing into law of the Minimum Wage bill by President Muhammadu Buhari on April 18, 2019, or face industrial action
The workers’ ultimatum was conveyed after Organized Labour comprising the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) met on October 2, 2019, with the Joint National Public Service Negotiating Council (JNPSNC-Trade Union Side) at the Labour House in Abuja.
Labour said it was forced to take the decision after noting the attitude of the Buhari administration, which it said, bordered on insincerity.
For months, the two parties have been involved in negotiations over the appropriate level percentage for consequential adjustment of salaries against the backdrop of the increase of the minimum wage for workers from N18,000.00 to N30,000.00. Whereas Labour is pushing for an upward salary adjustment of 29 percent for workers on salary grade level 07-14 (after initially demanding a blanket increase of 66.6 percent for workers of all grade levels), and 24 percent adjustment for workers of grade-level 15-17, the Federal Government is insisting it can only pay 11 percent for workers of grade-level 07-14 and 6.5 percent for officers on level 15-17.
In a statement issued on Wednesday after its meeting, and signed jointly by Comrade Ayuba Wabba( President of the NLC), Comrade Quadri Olaleye(President, TUC), Comrade Simon Anchaver( Acting President, JNPSNC), and Comrade Alade Bashir Lawal( Secretary-General, JNPSNC), Labour expressed disappointment with the attitude of government noting that it smacked of bad faith on its( government) part to insist on paying so little despite the concessions made by the workers’ body.
“The nonchalant attitude of the government negotiating side has dragged negotiations for consequential wages adjustment unduly. Nigerian workers have exercised tremendous patience and restraint already,” the statement noted.
Labour stated that between 2011 when the minimum wage was increased to N18,000.00 and this year when it was raised to N30,000.00, workers have been forced to suffer huge inflation and an astronomical hike in the prices of essential goods and services. It noted for instance that the country’s currency, the naira had suffered devaluation from N150 to $1 in 2011 to N360 to $1 in 2019, a depreciation of 140 percent; petroleum price has been hiked from N87 per liter to N145 per litre, which translates to a 60 percent price increase, electricity tariff has been increased by about 60% with the Value Added Tax (VAT) has been reviewed from 5 percent to 7.2 percent.
Decrying this development Labour stated:
“The offer by government for salary adjustment of 11% for public workers on salary grade level 07 – 14 and 6.5% consequential increase for public workers on grade level 15 – 17 is not acceptable to Nigerian workers. We view the position of government as a show of insensitivity to the plight of workers and an attempt to collect with the left hand what government had offered with the right hand.
The workers’ leadership called for the reconvening of the meeting of the committee negotiating the consequential adjustment with a view to concluding the process that started on May 28, 2019, within one week. It also demanded that the Federal Government enter into an agreement with labour to the effect that salary of officers on grade 07-14 should be reviewed upward by 29% while that of officers on grade level 15-17 should be reviewed upwards by 24%; and the immediate implementation of the signed agreement on consequential adjustment of public workers’ salaries with effect from 18th of April 2019 when the new national minimum wage of N30,000 per month was signed into law.
The workers ended with their demands with a warning to the government:
“The leadership of organized labour in Nigeria wishes to categorically state that the leadership of labour cannot guarantee industrial peace and harmony in the country if our demands are not met at the close of work on Wednesday, 16th October 2019.
SEE FULL STATEMENT BELOW:
Press Release
NEED FOR URGENT INTERVENTION ON THE STALLED NEGOTIATION OF CONSEQUENTIAL ADJUSTMENT OF SALARIES ARISING FROM THE NEW NATIONAL MINIMUM WAGE OF N30,000 PER MONTH TO AVERT INDUSTRIAL CRISIS
The leadership of Organized Labour in Nigeria comprising the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) met today, 2nd October, 2019 with the Joint National Public Service Negotiating Council (JNPSNC-Trade Union Side) at the Labour House, Abuja.
The sole agenda of the meeting was to receive briefing from JNPSNC and to discuss the way forward on the deadlock in negotiations for consequential wage adjustment for workers in public service arising from recent enactment of the new national minimum wage of N30, 000. Subsequently, the meeting went into very extensive deliberations around the following concerns;
i. Organized labour has out of its patriotic disposition demonstrated a great deal of restraint, consideration and patience with government. In the course of negotiations for consequential salary adjustment, organized labour had to moderate its initial position of having 66.6% upward salary adjustment for workers on salary grade level 07 – 17 by accepting an upward adjustment of 29% for officers on salary level 07-14 and 24% adjustment for officers on salary grade level 15 – 17. Despite this patriotic gesture, government has kept insisting that it can only pay 11% for officers on grade level 07 – 14 and 6.5% consequential wage increase to public workers for officers on level 15-17;
ii. Since the last national minimum wage of N18, 000, workers have been forced to suffer huge inflation and astronomical hike in the prices of essential goods and services. The following examples would suffice;
- The country’s currency, the naira had suffered devaluation from N150 to $1 in 2011 to N360 to $1 in 2019, a depreciation of 140%.
- Furthermore, petroleum price has been hiked from N87 per liter to N145 per liter which translates to 60% price increase.
- Electricity tariff has been increased by about 60%.
- Of recent, the Value Added Tax (VAT) has been reviewed from 5% to 7.2%.
iii. The nonchalant attitude of the government negotiating side has dragged negotiations for consequential wages adjustment unduly. Nigerian workers have exercised tremendous patience and restraint already.
At the end of our deliberation, the leadership of organized labour in Nigeria resolved as follows;
a. The offer by government for salary adjustment of 11% for public workers on salary grade level 07 – 14 and 6.5% consequential increase for public workers on grade level 15 – 17 is not acceptable to Nigerian workers. We view the position of government as a show of insensitivity to the plight of workers and an attempt to collect with the left hand what government had offered with the right hand;
b. We demand the reconvening of the meeting of the committee negotiating the consequential adjustment with a view to concluding the process that started on the 28th of May, 2019 within one week;
c. Entering into an agreement with labour to the effect that salary of officers on grade 07-14 should be reviewed upward by 29% while that of officers on grade level 15-17 should be reviewed upwards by 24%; and
d. Commence immediate implementation of the signed agreement on consequential adjustment of public workers’ salaries with effect from 18th of April 2019 when the new national minimum wage of N30,000 per month was signed into law.
In conclusion, the leadership of organized labour in Nigeria wishes to categorically state that the leadership of labour cannot guarantee industrial peace and harmony in the country if our demands are not met at the close of work on Wednesday, 16th October, 2019.
Aluta continua… Victoria Ascerta!
Comrade Ayuba Wabba, mni Comrade Quadri Olaleye
President, NLC President, TUC
Comrade Simon Anchaver Comrade Alade Bashir Lawal
Ag. Chairman, JNPSNC (Trade Union Side) Secretary, JNPSNC (Trade Union Side)
2nd October, 2019
