In Labour Sector of any Economy, a Minimum Wage is the lowest amount of money paid to the lowest grade of worker as his or her monthly salary. A Minimum Wage is usually arrived at after putting many economic factors, including Inflation, and Cost of Living, into consideration.
In arriving at a Minimum Wage, there must be discussions and understanding between Government, the Organized Labour and the Private Sector. The meeting is always Tripartite in nature.
Following series of negotiations between the Federal Government of President Bola Ahmed Tinubu, the Organized Labour spare headed by Nigerian Labour Congress, N L C, led by Comrade Joe Ajiero, and Comrade Festus Osifo of Trade Union Congress, TUC, and the Private Sector represented by Nigerian Employers’ Consultative Association, NECA, the Federal Government of Nigeria, on Tuesday (Nkwo)July 16th, 2024, announced a Minimum Wage of Seventy Thousand Naira for Nigerian workers per month.
On their own, some State Governments, like Lagos has announced a Minimum Wage of N85,000, Rivers N85,000, Enugu N80,000, Akwa Ibom N80,000, Ogun N77,000, Ondo N73,000, Kogi N72,500, Gombe N71,451.15, and Abia 70,000.
Though it is called a Minimum Wage, the increase is not restricted to workers on the lowest rung of Salary Scale. It also extends to workers on higher pedestals. Why not?
The same market the lowest worker goes to buy his needs, is the same that a Permanent-Secretary buys from. What the poor uses to buy a cup of garri at Ariaria Market in Aba is also what the rich uses to buy it in the same market.
Therefore, when a salary increase is made, especially in the Civil and Public Services, and taking into consideration stark economic realities which are no respecter of any class, Governments always try to capture all strata of employees. This broad spread is achieved through what is known as Consequential Adjustments.
If a Minimum Wage is announced and there is no Consequential Adjustment, it could lead to a ridiculous situation where a Salary Grade Level 1 or 2 employee could earn higher than his or her Seniors. In Abia State, for instance, where a Level 10 Officer earns about N52, 000 a month, if there is no Consequential Adjustment made across board, it would simply mean that a Level 1 or 2 worker earning a Minimum Wage of N70,000 would earn higher than the one on Level 10. This would be the easiest way to recklessly destroy the Public Service.
From investigations conducted by Equityreporters.net, the Government of Abia State, under Governor Alexander Otti, has not concluded negotiations on the issue of Minimum Wage with the Organized Labour in the State, that is Nigerian Labour Congress, NLC, and the Trade Union Congress, TUC, yet it has announced that payment of Minimum Wage will commence this October. Starting payment of approved Minimum Wage in October is quite good but the inevitable question is, has any understanding been reached on Consequential Adjustments between the Parties involved?
Governor Otti should cease taking Abia workers for granted. As a Man who parades himself as a dictator, it is evident he would like to intimidate Leaders of the Organized Labour in the State to kowtow to his whims and caprice. But this is where strength of character and tenacity of purpose of the Chairman of NLC in Abia State, Comrade Ogbonnaya Okoro, and Chairman of T U C in the State, Comrade Ihechi Enogwe, will come in handy.
Leaders of the Organized Labour in the State should not allow him continue to treat Abia State Workers as people captured in a war by an all conquering Emperor, which Governor Otti portrays himself as. They should arise above Governor Otti’s characteristic intimidation and boldly insist on systematic negotiation of Consequential Adjustment of Minimum Wage to Abia Workers.
So far, Abia Workers have been subjected to all manner of humiliation, financial and psychological torture by the Labour Party, or is it Zenith Labour Party Government of Governor Alexander Otti. Directors in Abia State Civil and Public Services that Governor Otti is wickedly desperate to retire erroneously based on a Federal Government Circular, which was jettisoned by other State Governments, have their terminal point as Salary Grade Level 16 and earn only N151,000 a month while their Federal Government Counterparts advance up to SGL 17 and enjoy a monthly take-home of N450,000. The Federal Directors on retirement are paid Severance Allowance but their Abia State Counterparts go home wretched, without any Severance Allowance, and are deceived into signing an undertaking to forfeit a large chunk of their gratuity and pension by the Otti Administration.
It is on record that it is only Governor Alexander Otti’s Abia State, out of the 36 States in Nigeria, that is heartlessly and wickedly pursuing implementation of a Federal Government Circular on retirement of Workers who have served as Directors for eight years, even when some of them have more than ten more years to retire. Due to this obvious display of inhumanity by Governor Alexander Otti, majority of Abia Workers due for interview for Directorship now cleverly dodge it.
Equityreporters.net implores the Government of Governor Alexander Otti to apply some humanity to the deplorable plight of Abia Workers by allowing negotiation on their Consequential Adjustment to lay out an effective Minimum Wage for them.
In the same vein, this Blog would plead with the Governor to reconsider his inhuman hard stand on retirement of Abia Workers as Directors after eight years, taking into consideration that the privileges granted to Directors in Federal Civil Service where the circular emanated from are non-existent when compared to meagerly-remunerated Directors in Abia State Civil and Public Services.
Sir Don Ubani; KSC, JP
Okwubunka of Asa and Oke Amadi Gburugburu.
Publisher, equityreporters.net.