…Why we recommended N30,000 – Pepple
Juliana Taiwo-Obalonye, Abuja
President Muhammadu Buhari has endorsed N30,000 minimum wage recommendation by Tripartite Committee on National Minimum Wage.
President Buhari while responding said he was committed to having a new national minimum wage within the shortest time.
He said the necessary machinery will put in place to transmit an executive bill to the National Assembly on the new national minimum wage.
He told labour assured the workers that as the Executive Arm commences its review of the submission, “we will continue to engage you all in closing any open areas presented in this report. I therefore would like to ask for your patience and understanding in the coming weeks.”
President Buhari urged workers not to allow themselves to be used as what he tagged, as “political weapons.”
The President said that in the last three years, his administration has focused on correcting this deficiency.
President Buhari said, “We are working to create a diversified and inclusive economy.
“We are pushing to clear pension arrears owed to our retired workers with the limited resources available to us.
“We supported State Governments to pay workers salary. And of course, we set up a committee in order to review the minimum wage of workers.
“In constituting this committee, we took into account the need for all stakeholders to be adequately represented – the government, the private sector and most importantly the workers. Our goal was to get an outcome that was consensual.
“From the onset, we knew the committee had a difficult task ahead of it. But at the same time, we were also confident that the patriotic and professional background of its members would produce realistic, fair and implementable recommendations that will be considered by both the executive and legislative arms of government.
“I am not surprised that the committee has worked for close to one year. I am also not surprised that on a few occasions, the debates got heated and sometimes, these differences came out.
“What is truly inspiring is that, in almost all instances of disagreements, the committee members always came back to the negotiating table with a common goal of improving the welfare of Nigerian workers.
“On behalf of all Nigerians today, I want to thank you for your commitment and sacrifice in getting us to where we are today.
“In the past few days, I have been receiving regular updates on your deliberations. And today, I am pleased that you have completed your work in a peaceful and non-confrontational manner. The entire nation is grateful to you all.
“The Committee Chairman highlighted some of the challenges encountered during your deliberations, especially as it relates to having a consensus position acceptable by all parties.
“I understand, on the government side, the concerns raised were around affordability – that today many states struggle to meet their existing salary requirements.
“On the side of labour, the points raised focused on the need for any increase to be meaningful.
“In a way, both arguments are valid. I want to assure you all that we will immediately put in place the necessary machinery that will close out these open areas. Our plan is to transmit the Executive Bill to the National Assembly for passage within the shortest possible time.
“I am fully committed to having a new National Minimum Wage Act in the very near future.
“Let me use this opportunity to recognise the leadership of the organised labour and private sector as well as representatives of State and Federal Governments for all your hard work. The fact that we are here today, is a notable achievement.”
The chairperson of the Tripartite Committee, Amal Pepple, had earlier said the committee recommended N30,000.
She also said the committee also provided a draft bill to be sent to the National Assembly for confirmation.
Submitting the report, Pepple said, “To arrive at our recommendation, the committee carefully weighed the demand of the Nigerian workers which was predicated on the high cost of living occasioned by unfavourable exchange rate and rising inflation over the past few years, among other factors. The committee also considered the overall macro-economic indicators, including the revenue and expenditure profile of government as provided by the honorable ministers of Budget and National Planning and Finance as well as the Minimim Wage proposed by some state governments in their memoranda submitted to the committee.
“Consideration was also given to the critical role of the informal sector in employment generation and the need for a realistic minimum wage that will not stifle the growth of the sector and the overall economy.
“After carefully weighing these critical factors and bearing in the mind the overriding interest of the economy the Committee while noting the offer of N24,000 by the federal government, is recommending an increase in the existing minimum wage from N18,000 to N30,000. We believe that the implementation of the recommended minimum wage, will, no doubt, boost the purchasing power of workers, increase consumption expenditure and ultimately stimulate business and overall economic growth.”
She added, “The committee has also produced a draft national minimum wage bill 2018 for condition by government. We strongly believe that the enactment of the draft bill into law is very critical to the operation and future reviews of the National Minimum Wage.