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.

Sulyman Atolagbe Alege     Mohammed Ajia Ibrahim     PharmAccess Foundation     Isiaka Alikinla     Share/Tsaragi     Saadatu Modibbo-Kawu     Magaji Erubu     Diagnostic Centre     Bankole Omisore     Lanre Badmus     Tsaragi/Share     Yakub Ali-Agan     Shao     Ella Supreme Tissue Paper     Christopher Ayeni     Mohammed Abdulahi     SDP     CT Ayeni     TIC     Iyabo Adisa Ibiyeye     Olusegun Adeniyi     Ahmad Fatima Bisola     Kolo     Kwara University Of Education     Muhammed Taofeeq Abdulrazaq     Iyabo Adewuyi     Kazeem Gbolagade     Sa\'adu Gambari     Prince Bola Ajibola     SUBEB     Sola Saraki University     Ibrahim Mohammed     Sarkin Malamai     Baba Idris     Kwara State Branch Of The National Library     Oke-Ogun     Marufat Oladosu     Akanbi-Oke     Olumide Daniel Ibitoye     Gurei     Nigerian Army     UNIFEMGA     Ibrahim Orire     Talaka Parapo     Split Diamond Interchange     Olusola Saraki     Abdulrahman Abdulrazaq     John Kehinde Salako     Haliru Yahaya     Abdulrazaq Adebayo     Aliyu Salihu     Abdulraheem Yusuf     CACOVID     Olaoye B. Felix     Femi Gbajabiamila     AbdulGaniyu Kareem     Chief Imam Of Offa     Baba Adini Of Kwara State     Cornelius Adebayo     Ayedun     Daud Adeshola     Aisha Ahman-Pategi     Ahmad Ali     Olatunji Abdulmumeen     Yahya Mohammed     Kaiama     Ajibike Katibi     Ishaq Salman     Okoolowo     Lasiele Alabi Yahaya     Aisha Ahman Pategi     Col. Adedipe     Abdulrasheed Na\'Allah     Kamaldeen Gambari     Dauda Adesola     ASUU     Sheriff Olanrewaju    

Cloud Tag: What's trending

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

Bello Oyebanji     Apaola     Bio Ibrahim     TIC     Abdulkadri Ahmad Alaiye     Florence Saraki     Bola Ahmed Tinubu     Erin-ile     Alaiye     Senior Staff Union Of Colleges Of Education     Garba Idris Ajia     Tsaragi/Share     Bolakale Ayo     Balogun-Ojomu     State Bureau Of Internal Revenue     Saliu Ajibola Ajia     Sherif Shagaya     Alfa Modibbo Belgore     AbdulQowiy Olododo     Bareke     All Peoples Party     Oluwatoyin Lukman     Sulu Gambari     Malete     Congress For National Consensus     Ashiru     Bashir Omolaja Bolarinwa     Opolo Global Innovation Limited     Saliu Ajia     Ayobola Ipinlaiye     Sheikh Ridhwanullah El-ilory     Kamaldeen Gambari     Amos Sayo     Adesina Simon Sodiya     Binta Sulyman     Coronavirus     NIPOGA     Samuel Adaramola     Ndakene     Adamu Atta     Trade Lenda SME Fair     Oniyangi     Ahmed Shuaib Buranga     Ahmad Olayiwola Kamaldeen     Gbenga Adebayo     Afin Descendants Union Of Odo-Owa     HICA     Yusuf Zulu-Gambari     Rafiu Olasile     Yahaya Jibril Usman     Abdul-Rahoof Bello     Salman Alada     Isiaka Abdulrazak     Aremu Odolaye     Alapansapa     Abdulraheem Olesin     Olayinka Jelili Yusuf     Adijat Adebiyi     Toyosi Thomas     Moremi High School     Bilikisu Gambari     Oluwarotimi Boluwatife Adenike     Danladi     Doyin Group     Kwara State Printing And Publishing Corporation     Femi Gbajabiamila     Communication Network Support Services     Saka Adeyemo     Just Event Online     Ilorin Airport     Habeeb Abdullahi Al-Ilory     Oluranti Idowu     Salaudeen Oyewale     Salihu S. Yaru     Pategi     Abdulmumini AbdulRazaq     Shagari