OPINION: Why the National Assembly Must Lead on Wage Increase. By Abdulmumin Yinka Ajia

Date: 2017-08-05

It is a good development to hear Senator Bukola Saraki's rhetoric on increasing the minimum wage in Nigeria. As an economist who have written about the pitiable state of the working poor in Nigeria and advocated for a wage increase to reflect current inflationary indices, I would like the senator to match his words with action. The idea that the legislature is waiting on the executive in order to raise the minimum wage is alien to both the presidential and the parliamentary democracies that we have adopted. Whether or not we raise the minimum wage in Nigeria falls squarely on the shoulders of the legislature and instead of Nigerian legislators working for themselves, its high time they start working for the millions of Nigerians who are still earning 18,000 Naira minimum wage that doesn't even come regularly. 

In an opinion piece almost two years ago, I made the ethical argument why the minimum wage in Nigeria should be increased to 52,000 Naira and adjusted for inflation every five years. See http://www.ilorin.info/fullnews.php?id=15758.The Nigerian Labour Congress agreed with my proposal and made a 56,000 Naira demand of the federal government. And yet even the best economists will still tell you "ceteris paribus" all things being equal. Ceteris paribus is a Latin phrase that has been embraced by economists for decades and it is premised on the assumption that all other variables except the ones under immediate consideration are held constant. 

Can we honestly say that all other variables have held constant in Nigeria since two years ago when yours truly made the case for a 52, 000 Naira wage increase? Or in the last one year since the NLC made a 56, 000 demand? The truth is that, compared to 2014, when Nigeria's gross national income was at a peak of 2980 USD (see https://data.worldbank.org/indicator/NY.GNP.PCAP.CD?locations=NG), Nigeria's 2016 GNI has fallen to 2450 USD, therefore, policy makers in Nigeria and in particular federal legislators need to look at the underlying factors behind the decrease in GNI and work towards its remedy. 

While I believe that the Nigerian worker deserves an increase in wages to bring his or her income to a living wage, there is a greater need in Nigeria today - and that is the need for the Nigerian government at all levels - to go back to paying workers their wages in a timely manner. This is where the Nigerian National Assembly has been missing over the last two years. As Nigerian public intellectuals, many of us have railed against this clear injustice and yet the National Assembly sat on its butt and did nothing about the major moral crisis of our time. 

Going back to economics, since all things have not held constant over the last few years in Nigerian economic indices, the first order of business is for the National Assembly to look into and put a stop to the practice of irresponsibly owing workers their wages in Nigeria. The National Assembly ought to be reminded that the reason for their existence is to make laws for the safety and wellbeing of Nigerians. This is a friendly reminder in case they have forgotten. 

While the National Assembly embark on a fight to get justice for the Nigerian worker, it can also simultaneously begin to look into Nigerian economic indices critically, combined with the power of the purse, the Nigerian National Assembly can then partner with all relevant stakeholders (Academia, labour unions, all tier of government, the private sector, and the civil society) to come up with a new minimum wage legislation that is couched in the existing reality of the Nigerian state. 

This will be a better route towards getting justice for the Nigerian worker and will not come across as both an abdication of responsibility and an empty political platitude. 

Dr. Abdulmumin Yinka Ajia is a managing partner and lead consultant at Clearwater Research LLC, a business analytics research firm with head office in Fort Wayne, Indiana, USA. The author can be reached at ajia01@clearwaterresearchllc.com

 

Cloud Tag: What's trending

Click on a word/phrase to read more about it.

Gobir     Oke-Odo     Council Of The Wise     Oko-Erin     Kwara 2019     Oko Erin     Harafat E. Mukadam     Tafida Of Ilorin     Risikat Lawal     Rasaq Jimoh     Kale Ayo     Chief Imam Of Ilorin     Kolawole Akande     Akeem Lawal     Jawondo     Akanbi-Oke     Tescom.kwarastate.gov.ng     EFCC     Sobi Hill     Government High School (GHS), Adeta     Balikis Jawondo     Abdulkadri Ahmad Alaiye     Lukman Adeloyin     Yusuf Badmus     UTME     Afusat Nike Ibrahim     Lanwa     Nigeria Foundation For Artificial Intelligence     Yahaya Seriki     Mohammed Abdulahi     Niyi Ogundiran     Oba-Solagberu     CLAY POT     Moshood Kashimawo Abiola     Ubandawaki     Transition Implementation Committee     Idris Garuba     Yahaya Abdulkareem Babaita     Ilorin Emirate Stakeholders Forum     Peter Obi     Adesoye College     Young Progressives Party     Makama Of Ilorin     Gobir Organization Foundation     Mashood Dauda     Rebecca Bake     Toyin Saraki     Ilorin Emirate Staff Association     Mutawalle     Ibraheem Adeola Katibi     Oluranti Idowu     Eleja Taiwo Banu     Balogun Fulani     YAKOOYO     Ridwan Agboola     ARMTI     Zainab Abass     Ganiyu Taofiq     Ilorin     Femi Ogunsola     CELF     Eleyele     Taiwo Joseph     Olokoba Abdullahi Ayinla     Susan Modupe Oluwole     Kaosarah Adeyi     Kwara North     Kwara United     Raheem Adaramaja     Gbugbu     Olomu Of Omu-Aran     Gbemi Saraki     Arinola Fatimoh Lawal     Basic Education Certificate Examination     KWAFFA     Abdulmajeed Abdullahi     TIC    

Cloud Tag: What's trending

Click on a word/phrase to read more about it.

Babatunde Ishola Babaita     Senior Special Assistant On Student Affairs     Bahago     Jelili Yusuf     Azeez Bello     Adekunle David Dunmade     Adedeji Onimago     Abdulkadir Bolakale Sakariyah     Issa Baba     NIRSAL     Yusuf Amuda Gobir     Abdulmumini Jawondo     Amuda Aluko     Musibau Akanji     Damilola Yusuf     Christopher Ayeni     Mumini Ishola Hanafi     Bond     Kaiama     Kwara NIPR     Ubandawaki     Kwara State Geographic Information Service     Hassan Saliu     Sulaiman Gado     Isau     Raji Ayodele Kamaldeen     Nigerian Medical Association     Summit University     Jamila Bio Ibrahim     Elerin Of Adanla Irese     Sam Onile     Issa Manzuma     Ahmed \'Lateef     Mohammed Yahaya Barki     Tayo Alao     Code Of Conduct     Ibrahim Oloriegbe     Kwara Consultative Forum     Lawan     Yunus Lawal     Yashikira     Bamidele Adegoke Oladimeji     Gbemisola Oguntimehin     Muslim Cementary     Oke-Ogun     Ahman Pategi University     Baba Adini Of Kwara State     Ilota     Tsado Manman     School Of Nursing     Femi Oladiji     Societe Generale Bank Of Nigeria     Abdulrazaq Solihudeen     Women Radio     Nurudeen Mohammed     Olatunji Moronfoye     Abdulazeez Uthman     Kola Adesina     Femtech     Goodluck Jonathan     Radio SBS     Mary Arinde     Quareeb Islamic Association     Rotimi Oyedepo     NIPR     Academic Staff Union Of Universities     Lanre Issa Onilu     Ariyo     GAMA     Shaykh Luqman Jimoh     Saad Omo\'ya     Kaosarah Adeyi     Adeleke Ogungbe     Split Diamond Interchange     Muhammadu Gobir     Toyin Falola     KSIRS