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Why Labour Accepted ₦70,000 Minimum Wage — NLC, TUC

 

Why Labour Accepted ₦70,000 Minimum Wage — NLC, TUC


The Nigeria Labour Congress (NLC) and Trade Union Congress (TUC) have agreed to a new minimum wage of ₦70,000 for Nigerian workers. This decision was influenced by a significant change in the frequency of wage reviews, which will now occur every three years instead of every five.


Key Points

Shorter Review Period:

  • New Agreement: Wage reviews will take place every three years, offering more frequent adjustments to reflect economic changes.
  • Previous System: The old system reviewed wages every five years, often lagging behind inflation and other economic factors.


Statements from Labour Leaders:

  • Joe Ajaero, NLC President: Emphasized the importance of more frequent wage reviews to keep up with economic conditions.
  • Festus Osifo, TUC President: Highlighted the rapid changes in both macro and microeconomic policies, necessitating more regular wage adjustments.


Government's Response:

  • Meeting with President Bola Tinubu: Labour leaders discussed various issues, including the wage review and other labor-related concerns.
  • Support for University Workers: Addressed payment issues for SSANU and NASU, with the President directing relevant agencies to resolve these matters.





Economic Justifications:

  • Inflation and Cost of Living: Frequent wage reviews are essential to mitigate the impact of inflation and rising living costs on workers.
  • Dynamic Economic Environment: Nigeria's fast-paced economic changes require a more responsive wage review system.


Next Steps:

  • Legislative Process: The ₦70,000 minimum wage proposal will be finalized and sent to the National Assembly for approval.
  • Implementation: Labour leaders expect the new minimum wage to be implemented promptly, reflecting the latest economic realities.


Conclusion

The agreement on a ₦70,000 minimum wage, coupled with more frequent reviews, represents a significant shift in Nigeria's labour policy. This change aims to provide workers with better protection against economic fluctuations and improve their overall living standards. The proactive approach by the government and labour unions highlights a collaborative effort to address workers' needs more effectively.

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