Tinubu and Labour representatives will meet Thursday to discuss minimum wage as local governments seek more funding allocation. Get the latest updates.
On Thursday, President Bola Tinubu will convene with labour leaders once more to come to an agreement on a new minimum wage. Additionally, the Association of Local Government in Nigeria has requested a revised revenue formula that prioritizes the 774 local government areas across the nation.
Following his consultation with stakeholders, Labour leaders will hold a follow-up meeting with Tinubu as announced by Mohammed Idris, the Minister of Information and National Orientation at the 15th Federal Executive Council meeting in Abuja on Monday.
Once a consensus on the new minimum wage has been reached, an amendment bill to the budget will be sent over to the National Assembly.
On Thursday, a meeting was held between the President and labor leaders to discuss a new minimum wage. However, no agreement on an exact amount was made and the meeting has been postponed until next Thursday.
The President was presented with two distinct figures by the Tripartite Committee on the New National Minimum Wage as a result of discord among those involved.
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The government team and the organized private sector suggested N62,000 whereas Organized Labour insisted on N250,000.
After receiving the committee’s report, the President requested additional time to converse with pertinent stakeholders and coordinate figures. This is in preparation for sending an executive bill to the National Assembly.
At the conclusion of the FEC meeting, reporters were briefed by the information minister who announced that additional support for the 2024 budget would be devised by the Ministry of Budget. This was intended to cover any discrepancies or gaps between what existed at approval time and current requirements.
You are undoubtedly cognizant of the fact that, last week, Mr. President held discussions with the Nigeria Labour Congress along with representatives from both the organized private sector and sub-national entities subsequent to receiving a report from tripartite labor committee regarding an assessment of employment conditions across our nation. The primary aim was to ensure thorough analysis conducive towards establishing minimum wage standards beneficial for all Nigerians regardless of affiliations- including those associated with Federal Government organizations alongside other members within respective spheres such as small business owners or entrepreneurs looking out for their interests among others involved in similar enterprises/ventures – these issues were also raised during today’s meeting.
He stated that the government is putting in a lot of effort to establish a minimum wage that benefits all Nigerians. This will subsequently be handed over to the National Assembly for legislative approval, he confirmed.
Idris clarified that Tinubu was willing to engage in further discussions with the Organised Labour and its associated groups.
The meeting is scheduled to take place this upcoming Thursday, as previously requested by the labor unions during their meeting with Mr. President last week.
The President is on board with Labour’s desire to swiftly resolve the matter of minimum wage, as the government too is eager to move past it.
Idris clarified that the Nigeria Labour Congress, Trade Union Congress, and all their associates are anticipated to convene with the President on Thursday as they had requested last week. The outcome of this meeting will be transmitted by the President to the National Assembly for legislative action; it may include final agreements or his views on the tripartite committee’s report.
The council did not deliberate on the minimum wage figure as consultations are currently in progress, according to the government’s representative.
The notion of a wage increase is not in conflict with the President, Federal Executive Council, or the Federal Government.
We need to pursue a wage increase that meets several criteria: it must be defensible, ensuring no inflationary effects; feasible for not just the Federal Government but sub-nationals and private sector stakeholders alike; and ultimately sustainable.
According to him, the President proposed that instead of waiting for a full five years to review wages, they could assess them every two to three years. He emphasized that their discussion focused on the overall principles and parameters of wage hikes rather than specific figures.
According to the minister, the proposed revision to the budget was essential in order to incorporate recent fiscal changes such as the forthcoming implementation of a new national minimum wage.
Idris has refuted the claim that Nigeria is operating multiple budgets and stated that the Minister of Budget has been tasked with providing additional information to enable informed decision-making by the National Assembly on such issues.
Certainly, it is customary for the executive to delegate portions of these matters to be uncovered by the National Assembly, which reinforces our reluctance in divulging additional specifics.
It is likely that the National Assembly will receive their budget soon and once they do, I am confident that they will take action. The executive branch always demonstrates respect for the traditional protocol of the National Assembly.
Allocations are required in greater quantity by LGs.
The National President of ALGON, Aminu Mu’azu-Maifata, has expressed the need for a rise in monthly allocation to the 774 LGAs so that they can afford to implement and pay their employees according to the new minimum wage once it is officially enacted.
During a press briefing in Lafia on Monday, he emphasized that with the recent Supreme Court ruling granting financial autonomy to LGAs, it will be mandatory for all council chairmen to abide by the forthcoming legislation of enacting and implementing minimum wage once passed into law by the National Assembly.
Exploring ways to adhere to this law is our next step. In addition to obtaining funds for salaries, we will seek methods of attracting and coordinating resources in order to avoid any breaches.
Mu’azu-Maifata further stated that regarding the N62,000 issue, as a member of the tripartite committee, he made it clear that without a review of the revenue sharing formula in favor of local government councils, no council in Nigeria would be able to meet the minimum wage.
I firmly believe that due to President Bola Tinubu’s strong drive for the growth and democratization of local government councils throughout the nation, improvements will be made in regards to fund allocation. As a result, we’ll have a clearer understanding on how to manage matters concerning minimum wage before reaching a final decision.
He urged the 774 council chairmen to take advantage of local government autonomy and make a positive impact on the lives of those at grassroots level.
Enhanced democracy at the grassroots level throughout the country and a boost in decision-making power for local authorities, leading to positive impacts on their constituents’ lives is what ALGON’s President stated as benefits of granting autonomy to LGAs.
The President was praised for his endeavors to uphold the Constitution by ensuring efficient operation of local government councils.
The Chairman of Lafia LGA in Nasarawa State, Mu’azu-Maifata, affirmed that council chairmen nationwide are committed to utilizing their abilities to provide democratic benefits for the citizens.
He said that although autonomy was clearly stated in the constitution prior to the Supreme Court’s ruling, it had not been put into action due to resistance from certain individuals or groups.
With this statement, it’s evident that everyone is on board. Nigerians are eagerly anticipating the realization of the Supreme Court’s declaration.
I urge all council chairmen across the 774 LGAs in our country to provide excellent leadership for their constituents. It is crucial that you utilize your available expertise and resources to guarantee efficient delivery of democratic dividends to your people.
“We, as council chairmen, hold the Federal Government and governors of Nigeria to high standards. It is crucial that we do not misuse our positive expectations from them or President Bola Tinubu’s fervent commitment towards ensuring efficient local government councils in accordance with Nigeria’s Constitution.”
He encouraged his colleagues to place greater focus on several areas, such as salary payments, the construction and renovation of essential healthcare facilities, providing support for grassroots schools to operate effectively, ensuring ample security measures at that level. These efforts would enhance the quality of life for people in rural communities.
Mu’azu-Maifata urged all pertinent parties, such as community leaders and citizens alike, to stand behind the Supreme Court ruling and collaborate towards maximizing its positive outcomes for public welfare.