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Minimum Wage: Labour Begins Nationwide Strike Today

by Jonathan Nda-Isaiah, Olakunle Olasanmi, James Kwen, Henry Tyohemba, Adegwu John, Yusuf Babalola and Abdullahi Olesin
12 months ago
in Cover Stories
Labour
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Despite earlier pleas from the federal government for consideration, the organised labour has today withdrawn their services in a nationwide strike to push for a new national minimum wage for workers.

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The industrial action comes after a series of unsuccessful negotiations involving both the Nigeria Labour Congress (NLC), the Trade Union Congress of Nigeria (TUC) and federal government representatives at the tripartite committee meetings on the new minimum wage.

Negotiations, however, broke down on Friday last week after the government earlier in the week offered a marginal increase of N3,000 to the N57,000 offer it had earlier made to come up with a N60,000 minimum wage proposal, a figure deemed unsatisfactory by Labour representatives.

With today’s strike, the labour centres aim to pressure the government into offering a higher minimum wage. Both congresses insist on N494,000, which they consider adequate to reflect the current rising cost of living.

In letters directed to members, many affiliates such as the National Union of Electricity Employees (NUEE), National Union of Banks Insurance and Financial Institutions Employees (NUBIFIE), the Amalgamated Union of Public Corporations, Civil Service Technical and Recreational Services Employees (AUPCTRE), the National Union of Civil Engineering, Construction, Furniture and Wood Workers (NUCECFWW), and Medical and Health Workers’ Union of Nigeria (MHWUN) have concluded mobilisation for today’s nationwide strike.

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Other affiliates in conclusive mobilisation, as sighted by LEADERSHIP, include the Judiciary Staff Union of Nigeria (JUSUN), the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), the Nigeria Union of Railway Workers, the Association of Nigeria Aviation Professionals (ANAP), and the Nigeria Union of Journalists (NUJ).

Meanwhile, the National Assembly has took steps to mediate and avert today’s strike from taking place, but both parties failed to reach an agreement.

Meanwhile, the federal government has told the NLC and the TUC to continue with the negotiation and shelve their plan to embark on an ‘illegal’ nationwide strike action from today.

The attorney general of the federation and minister of justice, Prince Lateef Fagbemi, SAN, in a statement on Sunday described the proposed industrial action as “premature, ineffectual and illegal.”

He stated that the agitation for an increase in the minimum wage of workers in the country is currently being addressed, adding that the labour unions failed to fulfil the conditions precedent to enable them to embark on strike.

In a letter addressed to the two labour unions, the AGF noted that the federal government and other stakeholders involved in the Tripartite Committee on the determination of a new national minimum wage had not declared an end to negotiation.

He argued that in view of the fact that the federal government and state governments are not the only employers to be bound by a new national minimum wage, it was, therefore, “vital to balance the interest and capacity of all employers of labour in the country (inclusive of Organised Private Sector) to determine a minimum wage for the generality of the working population.”

Besides, the AGF noted that an order of the National Industrial Court, NIC, which barred the two labour unions from embarking on any form of strike, is still extant as it has not been set aside.

He, therefore, urged the unions to reconsider their proposed strike and return to the negotiation table.

 

Banks, Oil, Insurance, Aviation, Maritime, Varsity, Government Media Workers Join

Unions operating at the nation’s aviation sector, on Sunday, announced their decision to shut down airports across the country in compliance with the directive of the NLC and TUC.

LEADERSHIP reports that the NLC and TUC had on Friday called for an indefinite nationwide strike over the failure of the federal government to conclude on the national minimum wage and its refusal to reverse the electricity tariff hike.

In a statement jointly signed by the National Union of Air Transport Employees (NUATE), Air Transport Services Senior Staff Association of Nigeria (ATSSAN), Association of Nigeria Aviation Professionals (ANAP) and National Association of Aircraft Pilots and Engineers (NAAPE), the unions said Nigerian local airports would be shut by 00:00hrs on Monday, June 3, 2024 while the strike at international airports commences on Tuesday, June 4, 2024.

According to the statement signed by the general secretary of NUATE, Com. Abba Ocheme; deputy general secretary, ATSSSAN, Com. Frances Akinjole; secretary general, ANAP, Com. Abdul Rasaq Saidu and general secretary, NAAPE, Comrade Olayinka Abioye, the service withdrawal is indefinite.

While urging all aviation workers to recognise the seriousness of the struggle and comply unfailingly, it asked all branch officers of the unions to ensure full compliance at all airports.

Also, the Maritime Workers Union of Nigeria (MWUN) has vowed to comply with Labour’s directive to shut down economic activities at the seaports nationwide.

According to a press statement by the head of Media, MWUN, Kennedy Ikemefuna, the workers will join in the indefinite strike by enforcing the total lockdown of the country’s seaports commencing from today.

It said the president-general of MWUN, Adewale Adeyanju, was obliged to comply with the directive of NLC and TUC.

The Academic Staff Union of Polytechnics (ASUP) has directed its members to join the nationwide indefinite strike declared by the Organised Labour starting today.

ASUP Secretary General Lawani F. Jimoh, who confirmed this, urged all members to comply fully with the strike directive.

The strike is expected to disrupt activities in polytechnics nationwide, affecting academic schedules.

 

Wage Increase Not Guarantee Of Purchasing Power, Expert Warns

The leadership of organised labour in Nigeria has been warned that the nationwide strike planned for today will not augur well for the Nigerian economy.

A legal expert and business consultant, Mr Chyma Anthony, called for reconsideration of the strike in a press release yesterday in Abuja.

Anthony said the new minimum wage of N494,000 demanded by Labour will further push the Nigerian economy into hyperinflation as the purchasing parity of Nigerians will worsen from expected hikes in the prices of goods and services.

Rather, Anthony urged the labour organisations to push for a reduction in energy prices, especially electricity, petrol, cooking gas, kerosene and diesel, which are the key drivers of the local economy.

He said asking for higher wages will result in the rise in the cost of essential commodities, making the impact of the new minimum wage useless.

“With the current economic reality in Nigeria, organised labour should press on the federal government to fix the refineries and ensure that the price of key energies in the country drop and, by such, the impact on lives of Nigerians will be significant, especially as it affects workers and businesses across the nation.

“I must say that a price reduction in PMS is capable of forcing down prices of goods and commodities across all sectors of the Nigerian state.

“Also, I expect labour to mount pressure on the federal government to reduce insecurity in the country to a minimum level so as to allow farmers go back to their farms and businesses in the hinterlands to pick up instead of demanding a huge new minimum wage that clearly and sincerely government cannot afford, and this will further exacerbate the condition of Nigerians,” Anthony said.

He further urged the leadership of the National Assembly to urgently propose solutions and modalities to strengthen governance, by working   with the executive to fix the economy.

According to him, the Naira must be supported by encouraging made-in Nigerian products against the current penchant for foreign goods.

 

Union’s demand will hurt economy – Presidency

The presidency has cautioned that Labour’s demand for a huge increase in the national minimum wage could have “far-reaching and devastating consequences” for the country’s economy.

Speaking on TVC’s “Politics yesterday, Special Adviser to the President on Media and Publicity Ajuri Ngelale said while the president wants to improve workers’ welfare, the economic realities do not support Labour’s demand.

Unions are calling for an indefinite nationwide strike from Monday over a deadlock in negotiations to raise the minimum monthly wage from its current level of around N30,000.

While the government and private sector are offering N57,000, Labour representatives reduced their initial demand from N615,000 to N497,000 naira.

But Ngelale warned that mandating a 20-fold increase would lead to “massive job losses, business closures and unsustainable price increases for goods and services”.

He said it was not just about the federal civil service but would affect the entire economy, including small businesses and the informal sector.

The presidential aide urged Labour to “consider the pragmatic implications”, saying their demands could mean soaring school fees, food and commodity prices for struggling Nigerians.

He said “I think the starting point is to recognise that President Bola Tinubu would love to have a minimum wage in this country. That is even north of N1 million per month for every Nigerian; he would love to be able to do that. He does, and his administration does have the highest regard for our people, and he believes they deserve the best.

“But he also recognises that economic realities and fundamentals within the country right now do not support what the organised Labour movement is advocating for. I want to be very clear this evening about the consequences if organised Labour had its way.

“Right now there is this notion out there that the minimum wage conversation in the country is simply almost a conversation between a federal executive administration and organised Labour about a new minimum wage for the federal civil service.

“That is not what we’re talking about. We’re talking about a new national minimum wage for every Nigerian citizen within the formal and informal economies.”


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Tags: Nigeria Labour Congress (NLC)
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