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More states reach agreement with labour on N30,000 minimum wage

minimum wage

More state governments have signed agreement with their respective workers’ unions to pay the new national minimum wage of N30,000, as the deadline issued by the organised labour expires this Friday, January 31.

Among the states are Lagos, Kaduna, Bauchi, Kastina, Borno, Adamawa, Kebbi, Kano and Jigawa, while others are reportedly in negotiation process with their workers. Sokoto State a few days ago announced that it will commence payment by end of January 2020.

About 21 other states are said to be at different levels of reaching conclusion on the consequential adjustment, while four other states are reportedly yet to commence negotiation.

This is happening as the labour movement insists it is not backing down on its planned showdown with state governments that will fail to fully comply with the implementation of the new wage after the January 31, 2019 deadline.

The national minimum wage law was signed into effect in April 2019, by President Muhammadu Buhari. The prescribes N30,000 as national minimum wage in Nigeria, below which no employer in the formal and public sectors of the economy should pay their workers.

President of the Trade Union Congress (TUC) Quadri Olaleye told BusinessDay on Wednesday, that the labour movement will not go back on the January 31 ultimatum, stressing that any state that failing to comply with the ultimatum will face the wrath of the workers. He said that the workers are fully mobilised for a showdown with the state governments.

The Federal Government and the organised labour in October 2019 reached an agreement on the consequential adjustments of N30, 000 minimum wage for workers after intense negotiations.

The minister of Labour and Employment, Chris Ngige, noted that enforcement of payment of the minimum wage will be done immediately and tasked all stakeholders to comply with the new minimum wage.

However, some states of the federation appear to be having problems complying with the implementation and payment of the new minimum wage, which prompted the TUC to issued industrial action threat against states that may fail comply with the law.

Quadri said “There is no going back because after we issued a threat a lot of the states that were negotiating have signed. Before the meeting we only had six states that signed but yet to commence implementation but now we have almost 11 states that have signed and have commenced implementation.

“Others are finalising. We only have about four states yet to commence payment. I restated it yesterday at the Joint Negotiating Council of the Public Service in Bayelsa that immediately it is 31 January 2020, any state yet to comply will have to face the wrath of the workers because we cannot continue to be patient while the governors live their extravagant life at the expense of the Nigerian workers. So there is no going back or shifting of the goal post.

“We will embark on strike action on individual state basis.  The dates may differ because we need to be on each of the states on different dates, but we will take action immediately. At the expiration of the ultimatum, we will decide which state we are going to take on first and we continue like. Our members are well-mobilised,” he said.

Musa Lawal, Secretary General of TUC, had last week told BusinessDay that the intent of the planned strike is not to shut down the economy, but to force state governments to comply with the law.

Issues bordering on minimum wage in Nigeria are in the exclusive legislative list; meaning that the Federal Government (with input from states, labour and private sector representatives), decides what national minimum wage should be. Once endorsed by the National Assembly and signed by a sitting president, it becomes a law and binding on state governments. Minimum wage is the benchmark that employers of labour in the formal sector and government at all levels are required by law not to go below.

State governments have, however, complained against this constitutional provision, arguing that matters on wage should be re-routed to the concurrent legislative list which allows both the federal and state governments to negotiate and legislate independently.

The National Executive Council (NEC) of the TUC during its meeting in Lagos on Thursday, January 9, had given states up till January 31 to pay the new wage or incur the wrath of the organised labour.

 

JOSHUA BASSEY & INNOCENT ODOH, Abuja