The President of the Nigeria Labour Congress (NLC), Joe Ajaero, emphasized the importance of a living wage for workers, stating that it should be set at N615,000.
Ajaero expressed his views during an interview on Channels Television, where he criticized the federal government’s 35% pay rise for civil servants, calling it mischievous.
He also highlighted that the previous minimum wage of N30,000 had expired on April 18.
Ajaero expressed concern that the government had not reconvened discussions on the new minimum wage, despite legislation being passed through the national assembly.
He further explained that the NLC and the TUC were worried about the timing of the government’s announcement, as there was no actual wage increase being announced.
Ajaero clarified that the NLC had agreed on N615,000 as the living wage for civil servants, emphasizing that it should be sufficient to cover basic needs without causing financial strain.
He provided a breakdown of the figure, including allocations for housing and accommodation, electricity, utilities, and kerosene and gas expenses.
The analysis focused on the expenses related to a family of six, with an estimated daily expenditure of N9,000. Over the course of 30 days, this amounts to a total of N270,000.
In terms of medical expenses, a budget of N50,000 was considered, assuming that no surgical procedures or additional costs would be incurred.
Moving on to clothing expenses, a sum of N20,000 was taken into account. When it comes to education, a budget of N50,000 was allocated.
It is worth noting that for those who opt to enroll their children in private schools, this amount may not be sufficient to cover the expenses associated with such institutions. Additionally, a sanitation budget of N10,000 was included.
The largest portion of the overall living wage was found to be allocated to transportation. This is primarily due to the fact that workers reside in the outskirts of the city and the high cost of Premium Motor Spirit (PMS).
As a result, transportation expenses amounted to N110,000. 4. Taking all these factors into consideration, the total living wage was calculated to be N615,000.
It is recommended that further investigation be conducted to determine whether any savings can be achieved when compensating individuals at this rate.
