Minimum Wage: We Accepted N70,000 for Govt not to Increase Fuel Price

NLC President, Joe Ajaero

President of Nigeria Labour Congress, NLC, Mr Joe Ajaero yesterday revealed the understanding which the organized labour had with President Bola Tinubu before accepting the N70,000 minimum wage during the national minimum wage talks at the President Villa, Abuja Fielding questions during the Morning Show programme on Arise television yesterday, Mr Ajaero explained that during the meeting on new Minimum wage with President Bola Tinubu at the Presidential Villa, the organised labour turned down the offer of increase in the price of petroleum to accept N70,000 as the new minimum wage.

He also disclosed that after the organized labour had agreed with the president on the Compressed Natural Gas, CNG, alternative, the labour went ahead to negotiate with a team of experts who agreed to convert vehicles to CNG at the rate of N300,000 but that on meeting with the government team, the officials rejected the NLC deal and instead announced that conversion of vehicles to CNG would cost N800, 000.

Recall that the organised labour comprising the Nigeria Labour Congress and the Trade Union Congress, had insisted on N250,000 as the new minimum wage but later settled for the offer of N70,000 from the President.

When asked whether the President betrayed the trust of the NLC by increasing the petrol pump price despite the alleged ‘agreement’ with him, the NLC President said: “I have to narrate the scenario to you, and then we now choose the appropriate word, whether it is betrayed, deceit or whatever. While we were discussing, we stalemated at N62,000, even the states were saying they wouldn’t pay, so there was a stalemate that took us to Mr. President.

We insisted on N250,000 and Mr President at the meeting, turned to me and said, ‘Ajaero, you are the person holding my hand from increasing further’. And I said increase what? The president said, ‘since I said the subsidy is gone, we should have gotten the appropriate price. We should have increased. I want to sponsor you people labour, to travel to these West African countries and know how much they are paying. Some are paying N2,000, N1,800, N1,700’. As he announced it, we declined immediately that we were not going to take that sponsorship.

“He said, ‘Okay, I will go to my office for one hour. You guys decide, if you agree for me to increase the price of petroleum products, I will pay you N250,000 minimum wage, if not, you take this N62,000’.

“But we said, Mr. President, no, we can’t sit down here to decide in your office, we will take about one week to go back and discuss and get back to you, which was exactly what happened and we adjourned for one week. And when we reconvened, we made it clear to Mr. President that we didn’t have any mandate to come there to discuss the price of petroleum products or increase, we were only there to discuss minimum wage and minimum wage alone we were going to discuss. And on the basis of that we accepted 70,000 (Naira)”.

In an interview with Saturday Vanguard after the television programme, Mr Ajaero said the workers were on edge as a result of the hike in the price of petroleum products and it was wrong for the president to take action and ask the people to respond.

According to him, “The basis of accepting the N70,000 minimum wage was for the president not to increase the pump price of petroleum products and we made it clear there. If he had gone ahead to increase it, then we need to discuss the implications because we can’t compare N70,000 with what is happening now.

From N700 to where we are now, we are having about a 70% increase and it is telling more on transportation. And there is no CNG bus that is already operating. Before you do such a thing anywhere in the world, you consult your social partners. And if you check the implications of the increase on the employers, the manufacturers, the organized private sector, as regards the cost of production, then the issue has to be negotiated.

 

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