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.

Saka Isau     Emir Of Lafiagi     Kolawole Bashirat     Marufat Oladosu     Aisha Ahman Pategi     Basic Education Certificate Examination     Pius Abioje     Ali Ahmad     Pakata Patriots     Logun     Ebun-Olu Adegboruwa     Ojo Isekuse     Hydro-electric Power Producing Areas Development Commission     Amuda Musbau     Ilorin Emirate Stakeholders Forum     Kawu Baraje     Kwara TV     Hassan A. Saliu     Salmon Babatunde Salmon     Bankole Omisore     Yekeen Alabi     JUSUN     Elewu     Sidikat Uthman Ajibola     Ibrahim Oniye     Abdulkadir Remi Hawawu     Special Adviser On Digital Innovation     Yusuf Lanre Badmus     Saliu Ajibola Ajia     Iyiola Oyedepo     Dogara     Matthew Babaoye     Kwara State Sports Commission     Kayode Yusuf     Mufti Of Ilorin     Yahaya A Paniyaro     Isaac Aderemi Kolawole     Sunday Fagbemi     Modupe Oluwole     Olabanji Orilonishe     Akanji     Jelili Yusuf     Rotimi Atere     AbdulGaniyu Kareem     Fatimah Abdulkadir     Taofeek Ibraheem     Plat Technologies     08001000100     Afetu Of Alabe     Monsurat Omotosho     Ghali Muhammed     Maigida Soludero Transit     Abdulkadir Jimoh     Salau Kabiru Abdullahi     HYPPADEC     Muhammad Yahya     Agor     Hassanat Bello     A.E. Afolabi     LEAH Charity Foundation     Musbau A. Akanji     UNILORIN Alumni     Royal FM     Yaru     Amusement Park     Mumeen Lah     Busari Toyin Isiaka     Coalition Of Kwara North Groups     Oko     Siraj Oyewale     Tinubu Legacy Forum     Abdulmumini Sanni Jawondo     Is\'haq Modibbo Kawu     Bond     Eghe Igbinehin     Talaka Parapo     Onilorin    

Cloud Tag: What's trending

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

Eleyele     Tricycle Owners Association Of Nigeria     Muritala Awodun     Rex Olawoye     Ibrahim Abduquadri Abikan     Saraki     Lanre Olosunde     Sarkin Malamai     Abubakar Bature Sulu-Gambari     Adam Abdullahi Al-Ilory     Societe Generale Bank Of Nigeria     Jimoh Akani     Mashood Dauda     Igosun     Yusuf Abdulkadir     Voices Of Tomorrow     Kwara Teaching Service Commission     Yakub Lai Gobir     Millennium Development Goals     Salman Alada     Nigerian Correctional Service     Azeez Salawu     Ita-Nmo Market     Malete     Onikijipa     Okin Biscuits     Sardauna     Balogin Alanamu     Al-Hikmah University     Bisi Kristien     Amos Justus Sayo     Hakeem Idris     Ibrahim Orire     Post Utme     Flights To Ilorin     TIIDELab     Abdulrahman Abdulrasak     Abdullah Janet Amudat     Labaeka     Yusuf Arowosaye     Binta Abubakar Mora     ANCOPPS     Kwara Coalition Of Business And Professional Associations     Pakata     Aliyu Alhassan     Kwara Muslim Pilgrims Welfare Board     Gbemi Saraki     Prince Mahe Abdulkadir     UNILORIN Alumni     Elerinjare-Ibobo     March 28     Yekeen Alabi     Isiaq Khadeejah     Timothy Akangbe     Akeem Olatunji     Unilorin FM     Bareke     Ariyo     Aliyu Sabi     Mustapha Akanbi     Tunde Saad     Just Event Online     Universal Basic Education Commission     Musa Yeketi     Facemasks     Kwara 2023     IFK     Saadu Alanamu     Emmanuel Bello     CCB     Ladi Hassan     Abdulraheem Yusuf     Kwara United     Naira Redesign     Yahaya Dumoye     Kwara Hotel     11th Galadima