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.

Emir Of Shonga     Oke Sunna     Gobir     Na\'Allah     Wahab Kunle Shittu     Valsolar     All Peoples Party     Abdullahi Dasilva Yussuf     Nigerian Army     Ajase-Ipo     Maimunat Oloriegbe     International Public Sector Accounting Standards     Funmilayo Oniwa     Danhawa     Al-Hikmah Radio     Bello John Olanrewaju     Kemi Adeosun     Patience Jonathan     Kayode Ogunlowo     Bola Olukoju     Joseph Offorjama     Jumoke Gafar     Dar-Al-Handasah Consultants Ltd     Elerinjare     Toyin Abdullahi     KFA     N-Power     Assayomo     Zubair Folorunsho Erubu     Bisi Kristien     Mary Arinde     Noah Yusuf     Makama Of Kaiama     Musa Abdullahi     Sheriff Shagaya     Ahmed     Bamikole Omishore     Saadu Alanamu     Tayo Alao     Ilota     Ibikunle Ogunleye     Olatomiwa Williams     Olushola Saraki     KWATMA     Folorunsho Alao     Abioye Bello     Igosun     Omoniyi Ayinla     Kwara 2019     Muhammed Abdullahi     Alanamu     Plat Technologies     Ahman Patigi     Ayinde Oyepitan     National Information Technology Development Agency     Tunji Ajanaku     Mahee Abdulkadir     Kwara Coalition Of Business And Professional Associations     Hakeem Lawal     Bello Oyebanji     All Confederation Of Principals Of Secondary Schools     Yakubu Dogara     Oasis Muslim Care Foundation     Abubakar Lah     Ahman Pategi     Benin Republic     Tafida Of Ilorin     Olawuyi     Ijagbo Health Centre     Garba Ado Sanni     Offa Metropolitan Club     Abdullahi AbdulMajeed     Ahmed Mohammed Rifun     Kwara Restoration Project     Toyin Olayinka Tejidini     Oluwatoyin Lukman     Saliu Ajibola Ajia    

Cloud Tag: What's trending

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

Bello Taoheed Abubakar     Matthew Babaoye     Gbemisola Saraki     Okiki     Ibrahim Mashood     Makama Of Ilorin     Wahab Abayawo     Sheriff Olanrewaju     Tafidan Kaiama     Kayode Oyin-Zubair     Isiaka Rafiu Mope     Muhammadu Buhari     Ilorin Talaka Parapo     Overland     Yeketi     Bukola Saraki     Olatunde Michaels     Gobir     Funmi Salau     Moshood Kashimawo Abiola     Yusuf Aiyedun     Saheed Alakoso     Bola Tinubu     Fulani     Ganmo Electricity Sub-Station     Suraj Tunji Oyewale     Ubandoma Of Ilorin     Rasaq Jimoh     David Oyedepo     EFCC     Taofeek Ibraheem     IYA YUSUF     Ishaq Abdulkarim     Titus Suberu-Ajibola     Dankaka     Bayo Ojo     Ilorin Emirate     Lola Olabayo     Saheed Popoola     Kawu Baraje     New Model Police Station     Nigeria Association Of Women Journalists     David Oyepinola Adedumoye     SDP     Esinniobiwa Quareeb     Sulyman Buhari     Kola Bukoye     Abdulrazaq Solihudeen     Leke Ogungbe     Government High School Adeta     The Herald     Suleiman Rotimi Iliasu     SSUCOEN     Adisa Logun     Abdulrahman Abdullahi Kayode     Galadiman Ngeri     Amule     Pilgrims Board     Monthly Sanitation Exercise     National Information Technology Development Agency     Dele Momodu     Presidential Election     Bola Olukoju     Women For Change And Development Initiative     Joseph Alex Offorjama     Taofik Abiodun Ahmed     PAACO-PCL Consortium     Gobir Organization Foundation     Umar Ahmed Gunu     Sa\'adu Salahu     Olokoba     Ejidongari     Folorunsho Erubu     Yusuf Mubarak     Fatimah Abdulkadir     COVID     Kwara South