ALLOCATION SHOULD PAY NEW SALARY, OSHIOMHOLE

The Senator representing Edo North, Adams Oshiomhole, has said state governors can no longer cite low revenue as an excuse for withholding payment of a new minimum wage to their workers.

Oshiomhole said this is based on improved federal allocation payments to their coffers.

Oshiomhole, who was a guest on Channels Television’s Politics Today on Wednesday, said that all concerned parties acknowledged that the current minimum wage of N30,000 is outdated and should be increased to meet with rising cost of living.

He also emphasised mutual agreement between workers and the Federal Government and the state counterparts that there is an urgent need to increase the minimum wage.

“I think there is some agreement between employers, including private employers and obviously the Federal Government, and I believe state governments that the current minimum wage of N30,000 is a joke,” Oshiomhole said.

The senator stated that state governors purchasing cars at current prices have no valid justification for failing to implement the new wage upon approval.

He added, “Those governors are buying cars at the current price. They don’t pity them because revenue is low. The truth of the matter is that we have to speak the language of the market. Those forces that drive prices also drive the cost of living.

“There is a recognition of the fact that the purchasing power of the workers across the board including directors, permanent secretaries not to talk of those on levels one to four, has dropped radically and you need to beef it up and put food on the table for families.

“In a market economy, there are even countries where wages are indexed to the weight of inflation. So, I think there is a shared commitment that wages should go up and go up radically as much as prices have skyrocketed. All employers, including the private sector, should increase their wages as they are charging higher prices ”

Following several months of discussions between the government and the workers, there was an expectation that a new minimum wage would be announced during Workers Day on Wednesday.

The current Minimum Wage Act of N30,000 was signed by former President Muhammadu Buhari in 2019. The Act is to be reviewed every five years to meet with contemporary economic demands of workers.

On his part, the governor of Nasarawa State, Sule Abdullahi, said the government is ready to implement whatever amount is agreed upon as minimum wage at the national level.

Abdullahi, who agreed that Nigerian workers deserve better pay given the current inflation statistics, confirmed that all subnational now receive more allocations to their coffers and can pay a little more than what is currently paid.

He said, “No state in the federation can say we have not seen improved revenue that has come to us and I think every state is proving it by the number of so many infrastructure developments and other kinds of development that are taking place.

“Nasarawa is number 33 in federal revenue distribution up till now but what has happened is that last month, because of the improved revenue, we didn’t wait for the federal government, we paid our medical workers hazard allowance to calm them down. We have also implemented promotions from 2009 and 2018, and this is because we have improved IGR.

“Do the Nigerian workers deserve more because of inflation and other indicators, definitely yes. Can every state afford to pay a little more than what we are paying now? Yes, we can. We have started negotiations at our level, but we decided to wait until the federal government gives its verdict. But I tell you that if the government gives an amount, I assure you that Nasarawa will follow.”