A recent study has revealed the vast disparity between the salaries of African leaders and the minimum wage in their countries.
The study, conducted by SBM Intelligence in the top 10 economies in Africa, found that in some cases, leaders earn hundreds of times more than their citizens.
The data revealed a stark contrast, raising questions about economic inequality and the priorities of leadership in these nations.
“Most African countries are deeply unequal, and this is reflected in the disparity between the wages earned by supposedly elected representatives and the minimum wage.
“It begs questions about whether leadership is indeed seen as a service to the people or an opportunity to exploit. It can spark social unrest,” the SBM Intelligence stated in the report.
Nigeria has the lowest minimum wage among the top ten African economies, however, the president’s monthly salary is 287.5 times the national minimum wage, a figure that underscores the deep economic divide.
Similarly, in Kenya, the president earns 117.7 times the minimum wage, while in Algeria, the ratio is 99:1. These figures are indicative of a broader trend across the continent, where leadership roles often come with higher compensation compared to the average worker’s earnings.
The data also notes that Ethiopia’s prime minister chose to earn a modest $300 monthly, a stark contrast to the higher salaries of other leaders in the top ten African economies.
In Nigeria, where workers are currently agitating for an upward review of their salaries, the president earns N8,625,000 monthly ($5,750 converted at N1,500/$), 287.5 times higher than the minimum wage, which is N30,000 ($20).
Nigeria is currently contending with a record high inflation rate at 34.19 per cent in June 2024 due to the two-time devaluation of the naira and removal of petrol subsidy.
The inflationary trends have raised Nigeria’s interest rates by a combined 750 basis points from 18.75 per cent last July to 26.25 per cent in May as the central bank continues to deploy monetary tools to restore the battered economy.
Labour unions have consistently lamented that the existing minimum wage of N30,000 is insufficient for workers’ well-being, noting that not all governors are adhering to the current wage, which expired in April 2024.
Despite the harsh economic conditions, the Nigerian government has failed to increase the national minimum wage, prompting the workers to embark on an indefinite strike last month.
The industrial action, which grounded activities in the country, was suspended on the second day following President Bola Tinubu’s pledge to meet the workers’ demands.
A meeting between labour leaders and the president last week ended in deadlock as both parties failed to reach a compromise on the new minimum wage.
According to reports, the labour is insisting on N250,000 monthly minimum wage, while the government is proposing between N62,000 and N65,000.
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