JUST IN: Governors oppose N100,000 minimum wage proposal; opt for N70,000
Governors are not considering a minimum wage of more than N70,000, it was learned last night.
At a meeting yesterday in Abuja, state officials evaluated the economic situation and concluded that anything above N70,000 would be unaffordable and unsustainable.
They threw out the N100,000 option proposed by certain people.
According to sources at the meeting, the governors, who gathered under the aegis of the Nigeria Governors' Forum (NGF), discussed possibilities ranging from N60,000 provided to Labour by the Federal Government before the strike to N70,000, which the Edo State Government has begun paying.
After failing to agree on a consistent amount, a committee chaired by Imo State Governor Hope Uzodimma was formed.
Uzodimma is the head of the Progressive Governors Forum (PGF), which comprises governors elected on the All Progressives Congress (APC) ticket.
The governors' attitude yesterday is consistent with an earlier comment by NGF Chairman and Kwara State Governor AbdulRahman AbdulRazaq, who stated that states will only agree to a minimum wage that is "affordable and sustainable.".
According to a meeting source, after deliberating on the minimum salary, we decided to investigate possibilities ranging from N60,000 to N70,000 per month. We were unable to achieve a definite decision on state salary rates.
"Eventually, a committee, led by Governor Uzodimma, was appointed to review all submissions and make recommendations.
"The NGF will soon reconvene to consider the Uzodimma Committee report."
The source went on to say, "No state can afford to pay a N100,000 minimum salary; thus, we have eliminated this standard.
"According to records we obtained, several states continue to pay N18,000 because they cannot afford N30,000 (which went into effect in 2019). Only one state has adopted a N70,000 wage."
According to the presidency, there is no proposal for N105,000.
The Presidency refuted accusations that Mr. Wale Edun, Minister of Finance and Coordinating Minister of the Economy, proposed a new minimum wage of N105,000 to President Bola Ahmed Tinubu.
The President met with Edun yesterday following an audience with an International Finance Corporation (IFC) delegation at the Presidential Villa in Abuja.
According to reports, Edun proposed a new pay for Nigeria's lowest-paid workers to the President.
However, reports published by some online media platforms claimed that the minister proposed N105,000.
The Special Adviser to the President on Information and Strategy, Bayo Onanuga, described the N105,000 proposal as false.
“The Honourable Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has not proposed the N105,000 minimum wage.
"The contrary story being disseminated is false," Onanuga commented on his verified X (previously Twitter) account.
Edun discusses the cost implications of the new minimum wage with Tinubu.
The Federal Government may present a new compensation offer today to the tripartite committee negotiating a new national salary scale.
The possibility emerged following a discussion between the President and the Finance Minister.
Atiku Bagudu, Minister of Budget and National Planning, and Mohammed Idris, Minister of Information and National Orientation, joined Edun for the meeting.
Although the Finance Minister just told reporters after the meeting that there was ''no cause for panic,'' a source said he presented and reviewed the template and cost implications of the new pay proposal with the President.
The Finance Minister was thought to have described the expenses of increased wages for all levels of government employees as well as the expected budgetary consequences of each choice on the national budget.
"A lot of information is included in the report or template he submitted to the President, particularly how much a new wage will cost the government at each grade level in relation to our income and budget.
''A team will review the report, and the President will direct that it be given to the tripartite committee on the new minimum wage.
"And I am confident the presentation to the committee will be completed tomorrow.
"You will recall that the president was clear when he gave the instruction on Tuesday," the person said.
At their meeting eight days ago, the Federal Government and the Organised Private Sector raised their original offers to N60,000. Labour rejected it but reduced their initial demand from N615,000 to N494,000.
The Presidency's intervention resulted in the signing of an agreement between the government and labour, which included the government's commitment to paying more than N60,000 as the minimum wage.
That ended the strike after just one day.
Yesterday, the tripartite committee did little, as it had done on Wednesday.
A member, who spoke on the condition of anonymity, told The Nation that they were waiting for the template, which would have been the focus of their discussions.
He did, however, say that the panel was divided into subcommittees to discuss how to finalise negotiations on the new salary.
Edun, Bagudu, Minister of State for Labour and Employment, Nkeiruka Onyejeocha, and Uzodinma all attended yesterday's meeting.
Speaking to reporters, Uzodimma expressed optimism that a minimum wage agreement may be reached by today.
He stated, "I am confident we will get a concrete deal when we meet tomorrow. This will be presented to the plenary (National Assembly).
"It's not about the amount. We're taking a holistic approach. Wages should be determined by our ability to earn revenue, and the sovereignty of the country is crucial to all of us.
"This isn't about the workers. It is about Nigeria, our nation. We have an obligation as citizens to collaborate with the administration of the day to guarantee that all parties are happy."
