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.

Ibrahim Abdulkadir Abikan     Apado     Emmanuel Olatunji Adesoye     Abdulraheem Olesin     Oyawoye     Ayeyemi Sulaiman     Kwara State Pension Board     Orisa Bridge     Segun Adeniyi     Saadu Gbogbo Iwe     Yomi Adeboye     Bilikisu Gambari     Salman Suleiman     Joseph Alex Offorjama     Sa\'adu Gambari     Oba Of Jebba     Hameed Oladipupo Ali     IEDPU     Kale Ayo     GGDSS Pakata     Mohammed Danjuma     Is\'haq Modibbo Kawu     Galadiman Ngeri     Imam Gambari     Modibo Kawu     Woro     Odo-Owa     Falokun-Oja     Moses Salami     Hassan Oyeleke     Wakilin Mata Lafiagi     Oniwasi Agbaye     Segun Ogunsola     Shade Omoniyi     Mohammed Lawal     Danhawa     Muhammad Sirajo Aliyu     Muslim Media Watch Group Of Nigeria     Mary Kemi Adeosun     April 11     Olaosebikan     Dagbalodo     Toyosi Thomas     Fatai Olodo     Nigeria Foundation For Artificial Intelligence     Joseph Offorjama     Sobi Specialist Hospital     Fatimat Saliu     Mamatu Abdullahi     Mumini Ishola Hanafi     Obasanjo     Sodiya     Olofa Of Offa     Olaiya Lawal     Ilorin Talaka Parapo (ITP)     Saad Omo Iya     Mahmud Ayinla Giwa     Ishaq Salman     Folashade Omoniyi     Offa Grammer School     Kwara Central     Lanre Issa-Onilu     Osinbajo     Afeyin-Olukuta     Isaac Gbenle     Kazeem Adekanye     Magaji Erubu     Alabe     Veterinary Teaching Hospital     Bola Shagaya     Belgore     Yusuf Zulu-Gambari     Ndakene     Federal College Of Education (Special), Afon     Magaji Nda     Kwara Muslim Pilgrims Welfare Board     Ope Saraki    

Cloud Tag: What's trending

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

Sango-UITH Road     Gambari     Abdullahi G. Mohammad     General Tunde Idiagbon International Airport     Ganiyu Abolarin     Afolabi-Oshatimehin Adenike Harriet     Salman Suleiman     Abdullateef Abdussalam     Femi Oladiji     Talaka Parapo     Saad Omo Iya     Asa LGEA School     Abdulwahab Oba     Jeunkunu-Malete-Bani     Bayer AG     Shehu Raheem Adaramaja     Esinniobiwa Quareeb     Olatunde Olukoya     Toyin Saraki     Ganiyu Taofiq     Joseph Alex Offorjama     LABTOP     Saidu Kawu     Admiralty Villa     Umaru Saro     Ahmad Fatima Bisola     Kwara Apc     Alloy Chukwuemeka     Firdaos Amasa     Raji AbdulRasaq     Shaaba Lafiagi     Mahmud Durosinlohun Atiku     Shonga Farm Project     Isapa     Saba Mamman Daniel     Saduki Lafiagi     Rafiu Olasile     Oba Of Jebba     Bureau Of Lands     Ajuloopin     Ahmad Uthman     Kazeem Adekanye     Lawal Arinola Kudirat     Al-Hikmah University     CCT     Abdulrahman Abdulrazaq     Ayobola Ipinlaiye     Abdulkadir Orire     Lucky Omoluwa     Halidu Danbaba     TETFUND     Aiyedun     Adebayo Mohammed Kamaldeen     Kunbi Titiloye     ITEM 7     Jumoke Gafar     Isiaka Abdulrazak     Fatimat Saliu     Salman Alada     Olupako Of Share     Saeedat Aliyu     FERMA     Kawu     Abdul-Rasheed Na\'Allah     Babatunde Idiagbon     Jawondo     Ilorin Central Mosque     Omoniyi     Dan Masanin     LEAH Charity Foundation     Magaji Erubu     Ibrahim Abiodun     Offa Grammer School     Abubakar Baba     IsDB     Katibi Ibraheem Adeola     Obasanjo